From The company name for www.nasdaq.com is “Nasdaq”.: 2024-05-17 07:11:00

Shares of SkyWater Technologies (NASDAQ: SKYT) dropped over 30% after Q1 2024 earnings update but have rebounded slightly. The unique business model relies heavily on Advanced Technology Services (ATS) revenue, which increased 28% year over year to $79.6 million in Q1. However, ATS is not a profitable source of revenue and was never designed to be. With a transition year for SkyWater, the focus is on moving customers from ATS to more profitable Wafer Services. Volatility is expected in 2024, making it a high-risk, potentially high-reward stock.

Investors should weigh the risks before buying SkyWater stock. The Motley Fool did not select SkyWater as one of the 10 best stocks to buy now. Consider other semiconductor stocks for new investments.



Read more at The company name for www.nasdaq.com is “Nasdaq”.: 1 Small-Cap Chip Stock Just Tanked Nearly 30% — Time to Buy?