Qorvo (NASDAQ: QRVO) shares tumbled 5.08% in Tuesday's trading session, despite reporting better-than-expected Q2 2026 results, as investors focused on weaker Q3 guidance and ongoing restructuring efforts. The stock's decline comes as the company navigates a strategic shift away from low-margin Android segments while facing seasonal headwinds from its largest customer.

For the fiscal second quarter, Qorvo reported revenue of $1.06 billion and non-GAAP earnings per share of $2.20, surpassing prior management guidance. However, the company's outlook for the December quarter fell short of expectations, with projected revenue of $985 million (plus or minus $50 million) and non-GAAP diluted EPS of $1.85 (plus or minus $0.20).

Investors appear concerned about Qorvo's ongoing restructuring, particularly in its Connectivity and Sensors Group (CSG), and the company's exit from lower-margin Android segments. While these moves are expected to improve profitability in the long term, they may create near-term revenue headwinds. Additionally, Qorvo anticipates a typical seasonal decline from its largest customer, likely Apple, heading into the December and March quarters. Despite JPMorgan upgrading Qorvo to Neutral from Underweight and raising its price target to $105 from $92, the cautious tone surrounding the company's transition and near-term challenges seems to have outweighed the positive Q2 results, leading to the significant stock decline.