Diamonds and Dogs

12/11/19

5G should be good for Skyworks Solutions (SWKS). The semiconductor and radio component maker is up 4% on an upgrade. The analyst believes 5G could prove to be one of the more compelling and investible themes in the semi space driven by the exponential growth and required upgrade for 1.4 billion 4G smartphones and several hundred million other devices. The new price target is $122 a share. The stock is already up over 40% in the last two months.

A couple of retailers taking a hit. Video game retailer, GameStop (GME) is down 17% following disappointing earnings and guidance. Gamestop doesn't see an uptick in business until the fourth quarter of 2020. That's a long time to wait. Kids clothing retailer, Children's Place (PLCE) is down 22% following better than expected earnings, but lower guidance. Children's Place is facing a number of headwinds including warm weather into late October and weaker quarter-to-date mall traffic. Mall traffic is a common problem for mall retailers.