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SKYTSkyWater Technology, Inc.Sell5.6·$34.92+0.29%
SellModerate Confidence
Investment thesis

SkyWater Technology posted 162% revenue growth year-over-year and carries a 96% return on equity, but negative free cash flow quality and a below-floor quality score signal the business has not yet translated top-line expansion into durable financial strength.

Thesis pillars

  • Hypergrowth Revenue UnconfirmedStable
  • Negative Free Cash FlowStable
  • Momentum Technicals DivergeStable
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

Open full analysis

SkyWater Technology, Inc. (SKYT) Stock Analysis

SellVALUE-TRAP 1/5Moderate Confidence

Technology · Semiconductors

Sell if holding. Engine safety override at $34.92: Quality below floor (3.5 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Rich valuation; Negative price momentum.

SkyWater Technology, Inc., together with its subsidiaries, provides semiconductor manufacturing services in the United States. The company operates through two segments, Legacy SkyWater and SkyWater Texas. The company offers foundry services; advanced technology services (ATS);... Read more

$34.92+11.6% A.UpsideScore 5.6/10#22 of 54 Semiconductors
QualityF-score1 / 9FCF yield2.13%
Stop $32.54Target $38.22(resistance)A.R:R -1.3:1
Analyst target$35.00+0.2%4 analysts
Range unavailable (4 analysts)

Sell if holding. Engine safety override at $34.92: Quality below floor (3.5 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Rich valuation; Negative price momentum. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.6/10, moderate confidence.

Passes 5/8 gates (no SEC red flags, news events none recent, earnings proximity 33d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and clean insider activity. Suitability: aggressive.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-07-06

Recent Developments — SkyWater Technology, Inc.

Latest news

Generated 2026-07-06T04:40:27Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Aug 5, 202633d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Target reached (-13.1% upside)
Quality below floor (3.5 < 4.0)

Key Metrics

P/E (TTM)14.6
P/E (Fwd)-168.4
Mkt Cap$1.7B
EV/EBITDA47.5
Profit Mgn21.0%
ROE95.8%
Rev Growth162.1%
Beta3.32
DividendNone
Rating analysts10

Quality Signals

Piotroski F1/9MoatNarrow

Options Flow

P/C0.23bullish
IV82%elevated

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

2 floor-breakers·1 ceiling hit

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Macd
0.0
Obv
1.0
Volume
3.4
Ma Position
4.0
Rsi
5.5
Volume distribution (falling OBV)Above 200-day MA

Quality below the gate floor. Component breakdown shows what dragged the score down.static

Roa
0.0
Gross Margin
0.0
Operating Margin
0.0
Piotroski F
1.1
Current Ratio
2.1
Fcf Quality
2.5
Moat
6.0
Roe
10.0
Net Margin
10.0
Excellent ROE: 96%Strong margins: 21%Earnings quality RED FLAG: 31% FCF/NIWeak Piotroski F-Score: 1/9
GatesMomentum 2.8<4.5A.R:R -1.3=NEGATIVEINSIDER 0.31%=HEAVYNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 33d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Aggressive
RSI
42 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $33.55Resistance $39.00

Price Targets

$33
$38
A.Upside+9.5%
A.R:R-1.3:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-13.1% upside)
! Quality below floor (3.5 < 4.0)
! momentum at 2.8 (below the engine's 4.5 threshold)

Earnings

B
B
M
M
2/4 beats
Next Earnings2026-08-05 (33d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is SKYT stock a buy right now?

Sell if holding. Engine safety override at $34.92: Quality below floor (3.5 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Rich valuation; Negative price momentum. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $32.54. Score 5.6/10, moderate confidence.

What is the SKYT stock price target?

Take-profit target: $38.22 (+11.6% upside). Prior stop was $32.54. Stop-loss: $32.54.

What are the risks of investing in SKYT?

Target reached (-13.1% upside); Quality below floor (3.5 < 4.0).

Is SKYT overvalued or undervalued?

SkyWater Technology, Inc. trades at a P/E of 14.6 (forward -168.4). TrendMatrix value score: 4.0/10. Verdict: Sell.

What do analysts say about SKYT?

10 analysts cover SKYT with a consensus score of 2.5/5. Average price target: $35.

What does SkyWater Technology, Inc. do?SkyWater Technology, Inc., together with its subsidiaries, provides semiconductor manufacturing services in the United...

SkyWater Technology, Inc., together with its subsidiaries, provides semiconductor manufacturing services in the United States. The company operates through two segments, Legacy SkyWater and SkyWater Texas. The company offers foundry services; advanced technology services (ATS); wafer manufacturing services for analog, mixed-signal, MEMS, and specialty CMOS devices; and advanced semiconductor packaging. The company serves quantum computing, aerospace and defense, automotive, bio-health, and industrial sectors. SkyWater Technology, Inc. was incorporated in 2016 and is headquartered in Bloomington, Minnesota.

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