Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE.
Cirrus Logic (CRUS) is back on investor radars after Apple formally identified the company as a supplier and Cirrus secured a new design win for integrated circuits powering Face ID technology in future Apple devices.
See our latest analysis for Cirrus Logic.
Cirrus Logic’s momentum has been strong, with a 1-month share price return of 19.02% and a 90-day share price return of 31.17%. The 1-year total shareholder return of 88.23% reflects how news around Apple recognition and recent earnings has sharpened investor focus on the stock’s role in premium devices.
If you are tracking how chip suppliers linked to major platforms are moving, it can be useful to compare Cirrus Logic with other semiconductor names in related growth themes via 36 AI infrastructure stocks
With shares up sharply over the past year and trading above the average analyst price target, the key question now is whether Cirrus Logic is still priced for upside or if the market already reflects future Apple driven growth.
The most followed valuation narrative puts Cirrus Logic’s fair value at $146.33, which sits below the recent close of $159.71, raising questions about how much optimism is already priced in.
Cirrus Logic is expanding beyond its core smartphone audio business by increasing the value and breadth of its high-performance mixed signal solutions, particularly in areas like camera controllers, battery/power management, and sensing. This strategic diversification positions the company to capture new revenue streams and reduce customer concentration risk, which can drive higher revenue growth and bolster earnings stability over time.
Want to see what sits behind that fair value gap? The narrative leans on modest growth, pressured margins, and a richer future earnings multiple than today. The exact mix of these inputs might surprise you.
Result: Fair Value of $146.33 (OVERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, investors still need to watch customer concentration in smartphones, as well as the early stage auto and PC efforts, where slower traction could challenge the current optimism.
Find out about the key risks to this Cirrus Logic narrative.
The Simply Wall St fair ratio suggests Cirrus Logic’s current P/E of 20.2x is richer than a fair ratio of 15.6x, even though it sits well below the US Semiconductor industry average of 39.1x and peer average of 27.8x. Is that gap a warning sign or just the price of quality exposure?
