Qualcomm (NASDAQ:QCOM) Earns Underperform Rating from Analysts at Bank of America

Key Points

• Bank of America initiated coverage on Qualcomm with an Underperform rating and a $145 price target, implying about a 7.3% upside from the prior close.
• Qualcomm topped quarterly estimates (EPS $3.50 vs. $3.38) and set Q2 2026 guidance of $2.45–$2.65 EPS, but shares were trading around $135.08, down roughly 2.2% intraday.
• Analyst sentiment is mixed—MarketBeat shows a consensus Hold with an average target of $168—and several firms recently cut ratings or lowered targets while insiders have been selling shares.

Analysts at Bank of America assumed coverage on shares of Qualcomm (NASDAQ:QCOM - Get Free Report) in a note issued to investors on Tuesday. The firm set an "underperform" rating and a $145.00 price target on the wireless technology company's stock. Bank of America's price target suggests a potential upside of 7.34% from the company's previous close.

Other research analysts also recently issued reports about the stock. Susquehanna cut Qualcomm from a "positive" rating to a "neutral" rating and set a $140.00 target price on the stock. in a research report on Thursday, February 5th. JPMorgan Chase & Co. decreased their target price on shares of Qualcomm from $195.00 to $185.00 and set an "overweight" rating on the stock in a research report on Thursday, February 5th. Robert W. Baird set a $177.00 target price on shares of Qualcomm in a report on Thursday, February 5th. Wall Street Zen cut Qualcomm from a "buy" rating to a "hold" rating in a research report on Tuesday, December 9th. Finally, Argus reduced their target price on Qualcomm from $205.00 to $180.00 and set a "buy" rating on the stock in a report on Friday, February 6th. One research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, nine have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $168.00.

Qualcomm Stock Down 2.2%

Shares of NASDAQ QCOM traded down $3.03 during midday trading on Tuesday, hitting $135.08. The stock had a trading volume of 2,455,110 shares, compared to its average volume of 10,310,192. Qualcomm has a 52 week low of $120.80 and a 52 week high of $205.95. The business's 50 day moving average is $152.71 and its 200-day moving average is $163.11. The company has a market cap of $144.13 billion, a P/E ratio of 27.66, a PEG ratio of 6.78 and a beta of 1.25. The company has a quick ratio of 1.83, a current ratio of 2.51 and a debt-to-equity ratio of 0.64.

Qualcomm (NASDAQ:QCOM - Get Free Report) last posted its earnings results on Wednesday, February 4th. The wireless technology company reported $3.50 EPS for the quarter, topping the consensus estimate of $3.38 by $0.12. Qualcomm had a net margin of 11.96% and a return on equity of 44.09%. The firm had revenue of $12.25 billion for the quarter, compared to analysts' expectations of $12.16 billion. During the same quarter last year, the firm earned $3.41 EPS. The company's quarterly revenue was up 4.7% compared to the same quarter last year. Qualcomm has set its Q2 2026 guidance at 2.450-2.650 EPS. As a group, analysts predict that Qualcomm will post 9.39 EPS for the current year.

Insiders Place Their Bets

In other news, EVP Akash J. Palkhiwala sold 3,333 shares of the business's stock in a transaction dated Friday, February 6th. The shares were sold at an average price of $137.65, for a total value of $458,787.45. Following the completion of the sale, the executive vice president owned 35,599 shares in the company, valued at approximately $4,900,202.35. The trade was a 8.56% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Alexander H. Rogers sold 15,917 shares of the business's stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $178.01, for a total value of $2,833,385.17. Following the completion of the sale, the executive vice president directly owned 26,071 shares of the company's stock, valued at $4,640,898.71. The trade was a 37.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 45,501 shares of company stock valued at $7,784,198. 0.05% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Qualcomm

A number of institutional investors have recently added to or reduced their stakes in QCOM. Harbor Capital Advisors Inc. boosted its position in Qualcomm by 72.2% during the 3rd quarter. Harbor Capital Advisors Inc. now owns 155 shares of the wireless technology company's stock worth $26,000 after acquiring an additional 65 shares during the period. Cloud Capital Management LLC bought a new stake in Qualcomm during the third quarter worth about $27,000. Richardson Financial Services Inc. lifted its position in shares of Qualcomm by 90.9% in the fourth quarter. Richardson Financial Services Inc. now owns 168 shares of the wireless technology company's stock worth $29,000 after buying an additional 80 shares in the last quarter. Torren Management LLC purchased a new position in shares of Qualcomm in the 4th quarter valued at approximately $29,000. Finally, Caitong International Asset Management Co. Ltd raised its stake in Qualcomm by 17,000.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 171 shares of the wireless technology company's stock valued at $29,000 after purchasing an additional 170 shares during the last quarter. Institutional investors own 74.35% of the company's stock.

Qualcomm Company Profile

Qualcomm Incorporated is a global semiconductor and telecommunications equipment company headquartered in San Diego, California. Founded in 1985, the company is known for its development of wireless technologies and for playing a central role in the evolution of digital cellular standards, including CDMA and subsequent generations of mobile standards. Qualcomm’s business combines the design and sale of semiconductor products with a patent licensing program for wireless technologies and related intellectual property.

The company’s product portfolio includes system-on-chip (SoC) platforms marketed under the Snapdragon brand, cellular modem and RF front-end components, connectivity solutions for Wi‑Fi and Bluetooth, and processors and platforms aimed at automotive, IoT, networking and edge-computing applications.

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