Cirrus Logic, Inc.
Orin's own judgment of how firmly the evidence points one way — not the chance the price goes up.
Cirrus Logic trades at $106.33 with a P/E of 12.58 and EV/EBITDA of 8.53 — roughly 73.8% and 70.7% below peer medians — despite FY2026 (ended 28 Mar) delivering $1.997B revenue at a 52.8% gross margin, $7.84 diluted EPS, and $636.6M free cash flow at a 31.9% FCF margin, with Q1 FY2027 revenue accelerating to 12.9% YoY growth.
The stock is technically oversold at an RSI of 29.3 and well below its 50-day ($117.55) and 200-day ($139.59) moving averages following a slide to a 52-week low, but the October 6 acquisition of INVENTVM Semiconductor and a new ~$168M Bank of America position disclosed in Q2 2026 suggest the fundamental story is intact while sentiment is washed out. With only $134M of total debt against $2.128B in stockholders' equity and a consistent earnings-beat streak, the risk-reward favors accumulation at these levels.
What could go wrong
- Customer concentration / device-market headwinds. Near-term headwinds in PC and smartphone markets due to memory chip pricing pressures could pressure revenue and margins despite the company's pivot toward smart metering and data center power technologies.
- Insider selling. Over the trailing 24 months insiders have net sold 149,221 shares for approximately $19.8M, with zero open-market acquisitions; the EVP of R&D sold shares at $119 and $117.89 in recent months.
- Technical deterioration. MACD histogram is deeply negative at -1.38 and the stock trades below both its 50-day ($117.55) and 200-day ($139.59) moving averages, suggesting continued downward momentum risk.
- Gross margin pressure. A Zacks article dated 28 Sep highlights pricing cuts and supply-chain costs that could compress the 52.8% gross margin if the company cannot offset them.
What would change my mind
Where this comes from: peer comparison · FY26 fundamentals · Q1 FY27 results · technicals, 12 Oct. Orin's read on CRUS; not advice.
How has the share price moved?
Down 14.0% over twelve months, from $132.82 on 27 Oct 2025 to $114.27 at the Tue 27 Oct 2026 close. Its highest close in that time was $178.90 on 3 Jun 2026; the last close is 36.1% below it.
- Green line: the closing price each trading day.
- Grey line: the average closing price over the last 50 trading days.
- Dashed amber line: the same over the last 200 trading days — a slower, smoother line.
- Bars along the bottom: shares traded each day — green when it closed higher than the day before, rose when lower (the most, 2.0M, on 18 Sep 2026).
- Flags: the company's filings, on the day they were made (a 10-Q is the quarterly report and a 10-K the annual report; an 8-K reports a major event).
On file
All CRUS filingsLargest holders · 13F Q2 2026
Money flow| Filer | Position | Of fund |
|---|---|---|
| BlackRock | $840.6M | 0.0% |
| Vanguard Portfolio Management | $508.0M | 0.0% |
| Vanguard Capital Management | $340.4M | 0.0% |
| State Street | $321.9M | 0.0% |
| Geode Capital Management | $225.4M | 0.0% |
| Earnest Partners | $188.2M | 0.7% |
| Bank of America | $168.3M | 0.0% |
| AQR Capital Management | $164.4M | 0.1% |
| Quantinno Capital Management | $147.9M | 0.2% |
| Invesco | $136.8M | 0.0% |
70 of the 815 filers we track · quarter ended Q2 2026 · positions, not flows
Insiders, last 24 months: 267 Form 4 filings; open-market trades net −$19.9M. Of the 50 on hand, 0 were open-market purchases and 11 sales — the rest are grants, option exercises and tax withholding.
Ask Orin about CRUS
Orin answers questions about CRUS from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.
Start 3 free days →How is it priced, against its own past and its sector?
Priced at 13.5× its last 12 months of profit (Thu 5 Nov close) — lower than in all 5 of its last 5 fiscal years (middle 17.7×); the typical Technology company on the NASDAQ is at 46.1×.
| Measure | Now | Its usual | Sector |
|---|---|---|---|
| P/E | 13.5×below usual | 17.7× | 46.1× |
| P/S | 2.70×near usual | 2.79× | — |
| EV/EBITDA | 9.1×below usual | 11.2× | — |
| P/B | 2.5×below usual | 3.0× | — |
- "Its usual" is the middle of its own last 5 fiscal years.
P/E: the share price divided by one year of profit per share — roughly how many years of today's profit the price pays for. A company that loses money has no P/E.
P/S: the company's total market value divided by one year of revenue. Used when there is no profit to measure.
EV/EBITDA: the price of the whole company (its shares plus its debt, minus its cash) divided by one year of operating profit before interest, tax and write-downs.
P/B: the share price divided by the book value per share — what the company owns minus what it owes, as its accounts record it. When book value is tiny, P/B swings wildly and says little.
What do the analysts who cover it publish?
The analysts' average 12-month price target is $160 (from $130 to $190) — 40% above the Tue 27 Oct close price. That is their published opinion, not Orin's.
$160
$130 – $190 · +40% against the last close
- 3 buy or overweight
- 1 hold
- 1 underweight or sell
Price target: the share price an analyst publishes for about 12 months ahead. It is the opinion of the firm that wrote it; the average is across the firms that cover the company.
Overweight / underweight: analysts' rating words: overweight means the firm expects the stock to do better than the others it covers, underweight worse. Their words, not Orin's.
How is it priced next to the companies it is compared to?
Priced at 13.5× its last 12 months of profit; the middle P/E of the 6 companies it is compared to that made a profit is 68.7×.
| Company | Market value | P/E | EV/EBITDA | Gross margin | Net margin | ROE |
|---|---|---|---|---|---|---|
| CRUSCirrus Logic, Inc. | $6B | 13.5× | 9.1× | 53.1% | 20.2% | 19% |
| ADIAnalog Devices, Inc. | $206B | 50.2× | 30.3× | 65.8% | 29.8% | 12% |
| ALGMAllegro MicroSystems, Inc. | $6B | 420× | 62.2× | 47.2% | 1.5% | 1% |
| MCHPMicrochip Technology Incorporated | $35B | 101× | 21.3× | 62.7% | 14.0% | 12% |
| SLABSilicon Laboratories Inc. | $7B | lost money | n/m | 59.9% | −4.6% | −4% |
| SMTCSemtech Corporation | $13B | 87.1× | 104× | 52.0% | 13.1% | 25% |
| SWKSSkyworks Solutions, Inc. | $13B | 44.1× | 16.1× | 40.7% | 7.2% | 5% |
| TXNTexas Instruments Incorporated | $282B | 40.0× | 26.6× | 60.2% | 34.3% | 41% |
- SLAB: EV/EBITDA is not meaningful (n/m) — its operating profit before depreciation over the last 12 months is so small against its price that the ratio says little.
- SLAB: lost money over the last 12 months, so no P/E.
- The list of companies is the data vendor's choice, so it can include a company a person would not have picked.
Market value: the share price times the number of shares — what the whole company is priced at.
P/E: the share price divided by one year of profit per share — roughly how many years of today's profit the price pays for. A company that loses money has no P/E.
EV/EBITDA: the price of the whole company (its shares plus its debt, minus its cash) divided by one year of operating profit before interest, tax and write-downs.
Gross margin: the share of each $1 of sales left after the direct cost of making what was sold.
Net margin: the share of each $1 of sales kept as profit after every cost. Below zero, the company lost money.
ROE: return on equity: one year of profit as a share of the shareholders' money in the business (its book value).
Is it priced high or low compared with its own past?
Priced at 13.5× its last 12 months of profit (Thu 5 Nov close). It has no full fiscal year on file since its history starts, so there is nothing of its own to compare with.
- Now13.5×
P/E: the share price divided by one year of profit per share — roughly how many years of today's profit the price pays for. A company that loses money has no P/E.
Fiscal year (FY): the company's own 12-month accounting year, which need not match the calendar year.
How has its sector been priced?
Technology companies on the NASDAQ were priced at a typical 46.1× their yearly profit (Tue 27 Oct close).
- Now46.1×
- Each year is the middle of that calendar year's daily sector P/E; "Now" is the Tue 27 Oct close figure, the same one in the table above.
Sector P/E: the middle P/E of the companies in the same sector on the same stock exchange, as the data vendor works it out each day.
What does a cash-flow model say a share is worth?
A standard cash-flow model puts it at $156 a share — 37% above the $114.14 price it was computed against (27 Oct).
| Model | Value a share | Against the price then |
|---|---|---|
| Standard | $156 | 37% above $114.14 |
| Levered | $298 | 161% above $114.14 |
Discounted cash flow: a model's estimate of what the company is worth today, from the cash it is forecast to make in future years. Small changes in the forecast move it a lot, and it says little about a company that loses money.
Standard / levered: two versions of the cash-flow model: the standard one counts the cash before the company pays its lenders, the levered one after.