Sierra Wireless Ends 2019 With a Thud, and Offers Little to Feel Good About
Connectivity and Internet of Things (IoT) chipmaker Sierra Wireless (NASDAQ: SWIR) put the final wrap on 2019, and it wasn't much to write home about. Sales fell again from a year ago -- as they have for the duration of 2019 -- and the initial outlook for 2020 didn't offer much in the way of hope. That runs contrary to what other chipmakers have been forecasting as of late: That the tech hardware slump that started to manifest itself in 2018 is bottoming and a return to growth is in the cards.
What's worse is that Sierra has been trying to diversify its operations with complementary IoT software, but the higher profit margins and stable business model that typically come from software have only offset declines elsewhere thus far. It is possible the business can pull itself out of this slump, but with a foggy outlook, there are more certain places to invest in the semiconductor industry at the moment.
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Source Fool.com
