ARLO vs SWKS

For growth investors, Arlo Technologies, Inc.

(ARLO) is the stronger pick with 3. 6% revenue growth year-over-year, versus -2. 2% for Skyworks Solutions, Inc. (SWKS). Skyworks Solutions, Inc. (SWKS) offers the better valuation at 21. 1x trailing P/E (13. 8x forward), making it the more compelling value choice. Analysts rate Arlo Technologies, Inc. (ARLO) a "Buy" — based on 10 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Skyworks Solutions, Inc.

(SWKS) is the cheapest at 21. 1x versus Arlo Technologies, Inc. at 104. 1x. On forward P/E, Skyworks Solutions, Inc. is actually cheaper at 13. 8x.

Over the past 5 years, Arlo Technologies, Inc.

(ARLO) delivered a total return of +125. 2%, compared to -55. 8% for Skyworks Solutions, Inc. (SWKS). Over 10 years, the gap is even starker: SWKS returned +31. 9% versus ARLO's -34. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Skyworks Solutions, Inc.

(SWKS) is the lower-risk stock at 1. 36β versus Arlo Technologies, Inc. 's 1. 48β — meaning ARLO is approximately 8% more volatile than SWKS relative to the S&P 500. On balance sheet safety, Arlo Technologies, Inc. (ARLO) carries a lower debt/equity ratio of 5% versus 21% for Skyworks Solutions, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Arlo Technologies, Inc.

(ARLO) is pulling ahead at 3. 6% versus -2. 2% for Skyworks Solutions, Inc. (SWKS). On earnings-per-share growth, the picture is similar: Arlo Technologies, Inc. grew EPS 145. 2% year-over-year, compared to -16. 5% for Skyworks Solutions, Inc.. Over a 3-year CAGR, ARLO leads at 2. 6% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Skyworks Solutions, Inc.

(SWKS) is the more profitable company, earning 11. 7% net margin versus 2. 8% for Arlo Technologies, Inc. — meaning it keeps 11. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SWKS leads at 12. 2% versus 1. 1% for ARLO. At the gross margin level — before operating expenses — ARLO leads at 44. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Skyworks Solutions, Inc.

(SWKS) trades at 13. 8x forward P/E versus 18. 1x for Arlo Technologies, Inc. — 4. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ARLO: 20. 1% to $17. 50.

In this comparison, SWKS (4.

3% yield) pays a dividend. ARLO does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Skyworks Solutions, Inc.

(SWKS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (4. 3% yield). Both have compounded well over 10 years (SWKS: +31. 9%, ARLO: -34. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (ARLO (Industrials) and SWKS (Technology)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: ARLO is a small-cap quality compounder stock; SWKS is a small-cap income-oriented stock. SWKS pays a dividend while ARLO does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.