Shares of Qorvo (QRVO) - Get Report  rose in after-hours trading after news of stronger-than-expected earnings and a share-buyback authorization.

Net income rose to $83 million in the 2020 second fiscal quarter, ended Sept. 28, up from $32.1 million a year earlier for the Greensboro, NC company. That amounts to 70 cents a share, compared to 25 cents a year earlier. Analysts polled by FactSet expected EPS of 45 cents.

Adjusted EPS totaled $1.52 in the latest period, far surpassing analysts' forecast of $1.15. Revenue registered $806.7 million in the latest quarter, down from $884.4 million a year ago, but well above estimates of $755 million.

Qorvo announced its Board of Directors has authorized repurchases of up to $1 billion of the company's outstanding common stock. That includes $117 million authorized under a prior program.

Qorvo, , a semiconductor maker providing radio frequency solutions, stood at $88.01 in after-hours trading, up 8.84%.

On Tuesday, Moody's Investors Service gave Qorvo a credit rating of Ba1, its highest non-investment grade designation. That rating "reflects the company's modest leverage, its strong niche position in the smartphone radio frequency (RF) filter market, and a portfolio of infrastructure and defense products, which tend to have longer product life cycles," Moody's said in a statement.

The RF filter market is strong, thanks to small rises in smartphone unit sales and increasing RF content per phone, according to Moody's.

"Liquidity is good and is supported by an unsecured revolver, which Moody's expects to remain undrawn, as well as cash and short-term investment," the ratings agency said. "Still, the modest leverage and good liquidity are needed to balance the large revenue concentrations, as their top two customers comprise nearly half of revenues, and the very short product life cycles characteristic of the smartphone industry."

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This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.