Why Did Chip Stocks Slide 1.15% as SWKS, SPCX, TSM and APLD Made News, and What Could Happen Next for Skyworks (NASDAQ:SWKS)?

Vinay Lochav

08 October 2026 11:44 PM AEDT

Why Did Chip Stocks Slide 1.15% as SWKS, SPCX, TSM and APLD Made News, and What Could Happen Next for Skyworks (NASDAQ:SWKS)?

Image Source: Shutterstock

You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research. Learn more

Start Your Free Trial Now!

What Are the Main Signals for Skyworks (NASDAQ:SWKS) Right Now?

Skyworks (NASDAQ:SWKS) completed its roughly USD 22 billion Qorvo combination on October 5, 2026, with each Qorvo share converting into USD 32.50 in cash plus 0.960 of a Skyworks share, based on company releases.
SpaceX (NASDAQ:SPCX) is reported to be seeking about USD 40 billion, roughly USD 10 billion of bank loans and USD 30 billion of investment-grade debt, to buy Nvidia chips; the company has not confirmed the plan.
TSMC (NYSE:TSM) depositary receipts slipped about 2.09% to USD 472.20 on October 7, 2026, as the Philadelphia Semiconductor index lost 1.15% to 13,066.15 and the 10-year Treasury Yield touched about 5.36%.
Applied Digital (NASDAQ:APLD) reported fiscal first quarter 2027 revenue of USD 341.9 million, up 322%, with about 1.41 GW leased across five campuses; the stock reaction after the report was not verified at the time of writing.

Could Qorvo Deal Closed Change the Next Move for Skyworks (NASDAQ:SWKS)?

On September 30, 2026, Skyworks indicated that it had received all necessary regulatory clearances, and the two-step Merger with Qorvo closed on October 5, 2026. The risks are execution and handset exposure. Qorvo became a wholly owned subsidiary, renamed Qorvo Technologies, LLC, and Skyworks (NASDAQ:SWKS) keeps its ticker, with Phil Brace remaining chief executive. A company announcement confirmed that The companies had the cash-and-stock agreement on October 28, 2025. Legacy Skyworks holders own about 63% of the combined company on a fully diluted basis. Simple arithmetic on two published numbers shows the value effect: at a Skyworks price near USD 81.73 on October 6, 0.960 shares is worth about USD 78.46, which plus USD 32.50 in cash is roughly USD 110.96 per Qorvo share. Management targets annual cost synergies of USD 500 million or more within 24 to 36 months and projects the deal to be immediately accretive to non-GAAP earnings per share. Fiscal third quarter revenue slipped 3.1% to USD 934.8 million, and smartphones are reported to exceed 60% of sales. Skyworks also indicated that it will not declare a dividend going forward and approved a new USD 2 billion repurchase program. A reported 3.4% share gain on October 7 could not be verified. Watch the November 3, 2026 outlook call.

SpaceX (NASDAQ:SPCX): USD 40 Billion Chip Financing

A published report on October 7, 2026, citing people familiar with the matter, said SpaceX (NASDAQ:SPCX) is seeking about USD 40 billion to buy Nvidia chips for its AI data centers. The risk is leverage. Apollo Global Management is projected to lead, PIMCO is reportedly among the lenders in talks, the chips would likely serve as collateral, and closing is expected in 2027. The package is reported to include roughly USD 10 billion of bank loans and USD 30 billion of investment-grade debt. A company announcement confirmed that SpaceX has not the plan, and talks are described as preliminary. The mechanism is financing against hardware: borrowing against chips lets the company add compute without another Equity raise after its June 2026 IPO of about USD 86 billion including the overallotment option. In the second quarter it reportedly spent about USD 18.4 billion on capital projects, roughly USD 15.8 billion of it on AI compute. The five-year Credit Default Swap spread reportedly hit a record 194 basis points on October 7, and chips depreciate quickly, which matters if they are collateral. SpaceX (NASDAQ:SPCX) closed near USD 167.60, down from about USD 172, per published market data. Watch for a company statement, term sheets and Starship 15, expected in late October or November.

Could Rates Hit Chip Valuations Change the Next Move for S&P 500. TSMC (NYSE:TSM)?

The Philadelphia Semiconductor Index slipped 151.67 points, or 1.15%, to 13,066.15 on October 7, 2026, a wider drop than the 0.22% slide in the S&P 500. For TSMC (NYSE:TSM), the risks include multiple compression, geopolitical tension around Taiwan, export controls and customer concentration in AI accelerators. No company-specific announcement was found. TSMC (NYSE:TSM), the Taiwan foundry that makes advanced chips for Nvidia and Apple, lost about 2.09% to close at USD 472.20, and the SK Hynix depositary receipt was reported lower by about 2.4%. The mechanism is rates. The 10-year Treasury yield touched about 5.36%, its highest since April 2002, before settling near 5.28%, which lowers the present value of chip earnings expected years out. Federal Reserve minutes showed most participants expected another rate increase before year end. Higher borrowing costs can also slow Data Center orders funded with debt. Although Nvidia slipped roughly 0.74% to about USD 237.47, The selloff was selective: Micron climbed about 4.02% and Broadcom 0.19%. Watch the USD 22 billion 30-year bond auction on October 8 and September CPI on October 14 at 8:30 a.m. ET. A company announcement confirmed that TSMC's own reporting dates should be on its Investor relations page.

Applied Digital (NASDAQ:APLD): Revenue Up 322%

For the quarter ended August 31, 2026, Applied Digital (NASDAQ:APLD), the latest disclosure put revenue at USD 341.9 million versus USD 80.9 million a year earlier, with adjusted EBITDA of USD 64.4 million. The risk is that spending runs ahead of cash generation: operating cash flow was USD 63.9 million against capital spending of USD 2.07 billion, and total Debt stood near USD 6.4 billion. The model is to build data center campuses and Lease the capacity to large customers, so revenue rises as buildings reach readiness. HPC Hosting contributed USD 262.6 million of revenue. The company says it has leased about 1.41 GW across five campuses, worth about USD 36 billion of contracted revenue over initial terms. Polaris Forge 1 in North Dakota has 250 MW live and is leased to CoreWeave. A subsidiary issued USD 1.59 billion of 7.000% senior secured notes due 2031 to fund construction. Net loss attributable to common stockholders was USD 237.1 million, and management gave no formal financial outlook. The cash figure of USD 3.7 billion in the release does not fully reconcile with Balance Sheet lines. The stock reaction after the October 7 report was not verified, and Applied Digital (NASDAQ:APLD) held its call at 5:00 p.m. ET.

Where Does Skyworks (NASDAQ:SWKS) Stand After the Latest Update?

Chip stocks weakened 1.15% on October 7, 2026 mainly because Treasury yields climbed to about 5.36% and the Fed minutes pointed to another rate increase, not because of the company news. The four names moved for different reasons. SpaceX (NASDAQ:SPCX) is reportedly raising debt for chips. Skyworks (NASDAQ:SWKS) finished a deal. TSMC (NYSE:TSM) slipped with the group. Applied Digital (NASDAQ:APLD) posted a revenue surge funded by heavy borrowing. The common thread is the Cost of Capital for AI buildouts. The September CPI report on October 14 is the next test.

What Should Investors Know Next About Skyworks (NASDAQ:SWKS)?

FAQs

Q:SWKS)?

A: The Philadelphia Semiconductor Index slipped 1.15% on October 7, 2026 as the 10-year yield touched about 5.36% and the Fed minutes pointed to another rate increase.Company news at Skyworks (NASDA

Q:SWKS)?

A:Yes. Skyworks (NASDA

Q:SWKS)?

A: No. The plan is reported by published coverage citing people familiar with the matter, and SpaceX (NASDA

Q:SWKS)?

A: No.Applied Digital (NASDA

Download Free Report – Explore 3 Stock Ideas & Industry Insights

Unlock 3 stock ideas and key industry insights in our free report. This information is general in nature and does not consider your personal objectives, financial situation, or needs. It is not financial advice.

All investments involve risk—consider independent advice before making any investment decisions.

View 3 Research Reports

Disclaimer:

This article (“Article”) has been prepared by Kalkine Pty Limited (ABN 34 154 808 312) (Australian financial services licence number 425376) (“Kalkine”) and its related bodies corporate who are authorised to provide general financial product advice. Kalkine.com.au and its associated pages are published by Kalkine.

Any information/advice provided in this article is general in nature and does not take into account your objectives, financial situation or needs. You should therefore consider whether the information is appropriate for your objectives, financial situation and needs before acting upon it.

There may be a Product Disclosure Statement, Information Memorandum or other offer document (“Offer Document”) for the securities or other financial products referred to in Kalkine articles. You should obtain a copy of the Offer Document and consider it before making any decision about whether to acquire the security or financial product.

Kalkine strongly recommends that you seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) before acting on any advice/information in this Article or on the Kalkine website. Not all investments are appropriate for all people.

The information in this Article and on Kalkine website has been prepared from a wide variety of sources, which Kalkine, to the best of its knowledge and belief, considers accurate. Kalkine has made every effort to ensure the reliability of the information contained in its articles (including this Article), newsletters and websites. All information represents our views at the date of publication and may change without notice.

The information in this Article does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products.

Kalkine does not issue, sell or deal in any financial products.

This Article may contain information on past performance of particular investments. Please note past performance is neither an indicator nor a guarantee of future performance.

To the extent permitted by law, and excluding any dishonesty or gross negligence by Kalkine, Kalkine disclaims and excludes all liability for any direct, indirect, implied, punitive, special, incidental or other consequential loss or damage arising from the use of or reliance on this Article, the Kalkine website and any information published on the Kalkine website without any warranties or representations by Kalkine to you. To the extent the law prohibits or limits this exclusion, Kalkine limits its liability to the resupply of services.

Please also read our Terms & Conditions and Financial Services Guide for further information.

Employees and/or associates of Kalkine and its related entities may hold interests in the securities or other financial products covered in this Article or on the Kalkine website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.

Some of the images/music that may be used in the Article are copyright to their respective owner(s). Kalkine does not claim ownership of any of the pictures displayed/music used in the Article unless stated otherwise. The images/music that may be used in the Article are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Kalkine Media Pty Ltd, an affiliate of Kalkine Pty Ltd, may have received, or be entitled to receive, financial consideration in connection with providing information about certain entity(s) covered on its website.