BofA’s List Of AI & Semiconductor Stocks That Fund Managers Love & Hate: 16 Stocks On The Manager Radar

9. Qorvo, Inc. (NASDAQ:QRVO)

Number of Hedge Fund Holders In Q2 2024: 37

Section: Gaining Popularity

Qorvo, Inc. (NASDAQ:QRVO) makes a variety of chips for communications, consumer electronics, and industrial markets. Its shares have been on quite a roller coaster ride this year. Qorvo, Inc. (NASDAQ:QRVO)’s stock tanked by 19.5% between late April and early May and the shares further dropped 16% in the first week of August after paring the May loss earlier. The May drop was after Qorvo, Inc. (NASDAQ:QRVO)’s Q2 revenue guidance of $850 million missed analyst estimates of $924 million by a wide margin. Then, the shares dropped further in August after the Q3 calendar quarter guidance of $1.03 billion met estimates. As a result, Wall Street concluded that the global smartphone market on which Qorvo, Inc. (NASDAQ:QRVO) relies for its revenue is yet to undergo a full recovery. With China’s economic growth remaining muted, this pessimism is reflected in Qorvo, Inc. (NASDAQ:QRVO)’s stock.

Qorvo, Inc. (NASDAQ:QRVO)’s management shared details about the smartphone industry during the Q1 2025 earnings call. Here is what they said:

“Within mass-market smartphones, we secured multiple design wins with our recently launched portfolio of low, mid, high band pad. Each LMH pad integrates the low, mid and high band main path content that previously required two placements. This saves approximately 40% in board space, simplifies design and helps customers accelerate their time to market. In mobile Wi-Fi, MediaTek selected Qorvo as the exclusive supplier of Wi-Fi 7 FEMs for customers of their DX4 Wi-Fi chipset. MediaTek’s DX4 chipset and Qorvo’s Wi-Fi 7 FEMs are optimized to deliver superior performance for flagship and mass-market smartphones. We also expanded our Ultra-Wideband wins in the Android ecosystem to include an additional handset customer. Motorola’s Moto X50 Ultra, which launched in the June quarter, features Qorvo’s Ultra-Wideband SoC.”