
Cirrus Logic (CRUS) Stock Forecast & Price Target
Cirrus Logic (CRUS) Analyst Ratings
Bulls say
Cirrus Logic Inc. demonstrated solid sales growth of 4.5% year-over-year and 3.5% quarter-over-quarter, attributed to an improved product mix and higher smartphone unit volumes, particularly in the audio segment. The company's gross margin saw an increase of 60 basis points quarter-over-quarter, indicating favorable product performance along with reduced inventory reserves, which positively impacted profitability. With cash on hand reaching $1.08 billion and expectations for revenue to exceed $2 billion annually for the first time, Cirrus Logic is positioned for future growth, particularly with significant opportunities in the automotive sector projected to contribute to revenue expansion over the next few years.
Bears say
Cirrus Logic's stock faces a negative outlook primarily due to significant revenue dependence on a single client, Apple, which constituted 94% of quarterly revenue and raised concerns about customer concentration risk. Additionally, declines in sales from the General Markets segment, particularly a substantial drop of 38% quarter-over-quarter, reflect issues with legacy products nearing end-of-life and potential negative impacts from the de-prioritization of Android. Furthermore, the potential for supply chain disruptions exacerbated by economic downturns or health crises presents a risk to future revenue stability and growth, suggesting structural vulnerabilities in Cirrus Logic's business model.
This aggregate rating is based on analysts' research of Cirrus Logic and is not a guaranteed prediction by Public.com or investment advice.
Cirrus Logic (CRUS) Analyst Forecast & Price Prediction
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