Primecap Management Co. CA Decreases Stake in QUALCOMM Incorporated (NASDAQ:QCOM)

Key Points

• Primecap Management Co. CA has reduced its stake in QUALCOMM by 9.9%, selling 413,820 shares, and now holds approximately 0.34% of the company valued at $576.7 million.
• In contrast, GAMMA Investing LLC significantly increased its stake by 20,700.4%, acquiring over 3.2 million shares valued at $501.2 million during the same period.
• QUALCOMM recently reported better-than-expected earnings with $2.77 EPS for the quarter, surpassing estimates, alongside a quarterly dividend announcement of $0.89 per share.

Primecap Management Co. CA lowered its stake in QUALCOMM Incorporated (NASDAQ:QCOM - Free Report) by 9.9% in the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 3,754,032 shares of the wireless technology company's stock after selling 413,820 shares during the quarter. Primecap Management Co. CA owned approximately 0.34% of QUALCOMM worth $576,657,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors have also added to or reduced their stakes in QCOM. WFA Asset Management Corp purchased a new position in shares of QUALCOMM during the 1st quarter valued at about $27,000. Banque Transatlantique SA purchased a new position in shares of QUALCOMM during the 4th quarter valued at about $26,000. Atlantic Edge Private Wealth Management LLC raised its holdings in shares of QUALCOMM by 70.0% during the 1st quarter. Atlantic Edge Private Wealth Management LLC now owns 170 shares of the wireless technology company's stock valued at $26,000 after buying an additional 70 shares in the last quarter. Sunbeam Capital Management LLC purchased a new position in shares of QUALCOMM during the 4th quarter valued at about $29,000. Finally, Mascagni Wealth Management Inc. purchased a new position in shares of QUALCOMM during the 4th quarter valued at about $30,000. Institutional investors own 74.35% of the company's stock.

Insiders Place Their Bets

In other QUALCOMM news, insider Heather S. Ace sold 1,600 shares of the business's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $146.40, for a total value of $234,240.00. Following the sale, the insider directly owned 21,193 shares of the company's stock, valued at approximately $3,102,655.20. The trade was a 7.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Inc/De Qualcomm sold 412,500 shares of the business's stock in a transaction on Friday, May 23rd. The stock was sold at an average price of $16.00, for a total value of $6,600,000.00. The disclosure for this sale can be found here. Over the last three months, insiders have sold 424,099 shares of company stock valued at $8,352,355. 0.08% of the stock is currently owned by corporate insiders.

QUALCOMM Stock Down 0.6%

Shares of NASDAQ QCOM traded down $0.87 during mid-day trading on Wednesday, hitting $145.84. 8,450,254 shares of the stock traded hands, compared to its average volume of 8,473,886. The company has a debt-to-equity ratio of 0.54, a quick ratio of 2.38 and a current ratio of 3.19. QUALCOMM Incorporated has a 52 week low of $120.80 and a 52 week high of $182.10. The company has a market cap of $157.36 billion, a price-to-earnings ratio of 14.06, a PEG ratio of 2.14 and a beta of 1.23. The stock has a fifty day moving average price of $155.08 and a 200-day moving average price of $154.58.

QUALCOMM (NASDAQ:QCOM - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The wireless technology company reported $2.77 earnings per share for the quarter, beating the consensus estimate of $2.71 by $0.06. QUALCOMM had a return on equity of 40.35% and a net margin of 26.77%. The company had revenue of $10.37 billion for the quarter, compared to analyst estimates of $10.33 billion. During the same period in the previous year, the company posted $2.33 earnings per share. The firm's revenue was up 10.4% on a year-over-year basis. Research analysts anticipate that QUALCOMM Incorporated will post 9.39 EPS for the current year.

QUALCOMM Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 25th. Shareholders of record on Thursday, September 4th will be issued a $0.89 dividend. This represents a $3.56 annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend is Thursday, September 4th. QUALCOMM's payout ratio is 34.33%.

Analyst Ratings Changes

QCOM has been the topic of a number of research reports. TD Cowen decreased their price objective on QUALCOMM from $195.00 to $160.00 and set a "buy" rating on the stock in a report on Wednesday, April 9th. Susquehanna decreased their price target on QUALCOMM from $210.00 to $190.00 and set a "positive" rating on the stock in a research note on Thursday, May 1st. Benchmark decreased their price target on QUALCOMM from $240.00 to $200.00 and set a "buy" rating on the stock in a research note on Thursday, May 1st. Mizuho decreased their price target on QUALCOMM from $190.00 to $185.00 and set an "outperform" rating on the stock in a research note on Thursday, July 31st. Finally, Robert W. Baird decreased their price target on QUALCOMM from $250.00 to $216.00 and set an "outperform" rating on the stock in a research note on Thursday, May 1st. One equities research analyst has rated the stock with a sell rating, twelve have given a hold rating and eleven have issued a buy rating to the company. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $181.10.

QUALCOMM Profile

QUALCOMM Incorporated engages in the development and commercialization of foundational technologies for the wireless industry worldwide. It operates through three segments: Qualcomm CDMA Technologies (QCT); Qualcomm Technology Licensing (QTL); and Qualcomm Strategic Initiatives (QSI). The QCT segment develops and supplies integrated circuits and system software based on 3G/4G/5G and other technologies for use in wireless voice and data communications, networking, computing, multimedia, and position location products.