Qualcomm (NASDAQ:QCOM) Rating Increased to Outperform at Daiwa Securities Group

Key Points

• Daiwa Securities upgraded Qualcomm to Outperform with a $225 price target (about a 10.98% upside), but the street consensus remains a Hold with a $176.54 average target amid mixed analyst ratings.
• Qualcomm slightly beat Q2 EPS ($2.65 vs. $2.56) while revenue fell 3.5% year‑over‑year, and the board approved a $20 billion buyback (up to 14.5% of shares) with Q3 guidance of $2.10–$2.30 EPS.
• New product and AI catalysts (mid‑range Snapdragon chips, hyperscaler/custom silicon work, partnerships) have fueled a rally, but technical overbought readings, supply/competitive headwinds, and recent insider sales under Rule 10b5‑1 raise near‑term risk.

Qualcomm (NASDAQ:QCOM - Get Free Report) was upgraded by stock analysts at Daiwa Securities Group from a "neutral" rating to an "outperform" rating in a report released on Friday. The firm currently has a $225.00 price target on the wireless technology company's stock. Daiwa Securities Group's target price would suggest a potential upside of 10.98% from the stock's current price.

A number of other brokerages have also recently weighed in on QCOM. Bank of America began coverage on shares of Qualcomm in a research report on Tuesday, March 10th. They set an "underperform" rating and a $145.00 price target on the stock. Susquehanna upped their price objective on shares of Qualcomm from $140.00 to $160.00 and gave the company a "neutral" rating in a research report on Thursday, April 30th. TD Cowen lifted their target price on Qualcomm from $150.00 to $200.00 and gave the stock a "buy" rating in a report on Thursday, April 30th. Sanford C. Bernstein reissued a "market perform" rating and issued a $140.00 target price (down from $175.00) on shares of Qualcomm in a research note on Thursday, March 26th. Finally, Morgan Stanley restated an "underweight" rating and issued a $146.00 price target on shares of Qualcomm in a report on Thursday, April 30th. Nine research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat, Qualcomm currently has a consensus rating of "Hold" and a consensus target price of $176.54.

Qualcomm Price Performance

Qualcomm stock opened at $202.75 on Friday. The company has a current ratio of 2.37, a quick ratio of 1.61 and a debt-to-equity ratio of 0.54. The firm has a market capitalization of $213.70 billion, a P/E ratio of 22.04, a PEG ratio of 23.76 and a beta of 1.49. The business has a 50-day moving average of $138.77 and a 200-day moving average of $155.88. Qualcomm has a 1 year low of $121.99 and a 1 year high of $223.66.

Qualcomm (NASDAQ:QCOM - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share for the quarter, beating analysts' consensus estimates of $2.56 by $0.09. The business had revenue of $10.60 billion for the quarter, compared to the consensus estimate of $10.59 billion. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. Qualcomm's revenue for the quarter was down 3.5% on a year-over-year basis. During the same period last year, the company posted $2.85 EPS. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. On average, equities analysts anticipate that Qualcomm will post 8.02 EPS for the current year.

Qualcomm announced that its Board of Directors has approved a share repurchase plan on Tuesday, March 17th that permits the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization permits the wireless technology company to repurchase up to 14.5% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's board of directors believes its stock is undervalued.

Insider Transactions at Qualcomm

In other Qualcomm news, CEO Cristiano R. Amon sold 10,000 shares of the company's stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $180.00, for a total transaction of $1,800,000.00. Following the completion of the transaction, the chief executive officer owned 197,568 shares of the company's stock, valued at $35,562,240. This represents a 4.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Heather S. Ace sold 3,200 shares of the firm's stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $177.82, for a total transaction of $569,024.00. Following the transaction, the executive vice president directly owned 39,735 shares of the company's stock, valued at $7,065,677.70. This represents a 7.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 19,177 shares of company stock valued at $3,176,966 in the last ninety days. Corporate insiders own 0.05% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in QCOM. Your Advocates Ltd. LLP bought a new position in shares of Qualcomm in the 1st quarter valued at about $26,000. Cloud Capital Management LLC bought a new stake in Qualcomm during the third quarter worth about $27,000. Richardson Financial Services Inc. boosted its position in Qualcomm by 90.9% during the fourth quarter. Richardson Financial Services Inc. now owns 168 shares of the wireless technology company's stock valued at $29,000 after purchasing an additional 80 shares during the last quarter. Torren Management LLC acquired a new position in Qualcomm during the fourth quarter valued at approximately $29,000. Finally, Caitong International Asset Management Co. Ltd grew its stake in Qualcomm by 17,000.0% in the fourth 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 in the last quarter. Institutional investors and hedge funds own 74.35% of the company's stock.

Qualcomm News Summary

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Qualcomm unveiled two new mid‑range mobile SoCs (Snapdragon 6 Gen 5 and 4 Gen 5) that bring Wi‑Fi 7 and improved gaming to lower‑cost phones — a product catalyst that broadens addressable market and helped lift the stock. What's driving Qualcomm stock higher?
• Positive Sentiment: Market momentum tied to Qualcomm’s AI story sparked a large short‑term rally (reports of a ~15% move), as investors re-rate QCOM for AI silicon exposure beyond modems. Qualcomm stock surges 15% on AI momentum trade
• Positive Sentiment: Qualcomm authorized a fresh ~$20B buyback and is expanding partnerships (e.g., Snap AR) and custom silicon work for hyperscalers — tangible capital return and cloud AI revenue opportunities that support higher valuation multiple expectations. Qualcomm Climbs 8% as Buyback, Snap AR Partnership Power Pivot Beyond Smartphones
• Positive Sentiment: Q2 results showed an EPS beat and record automotive revenue, reinforcing diversification beyond handsets and helping drive a near‑term re‑rating of the stock. A Look At Qualcomm (QCOM) Valuation After Strong Q2 Results And AI Focused Expansion
• Neutral Sentiment: Analysis pieces argue Qualcomm is undervalued as an AI play relative to peers — a bullish narrative but one that depends on execution in custom silicon and hyperscaler deals. Qualcomm Is One of the Cheapest AI Stocks in the Trump Bull Market. Here’s Why That Gap May Close
• Negative Sentiment: Technicals show QCOM’s RSI moved into overbought territory (early 80s) and the rally hit record‑high resistance, increasing the risk of a near‑term pullback after the sharp run. Qualcomm's red-hot rally just ran into record-high resistance
• Negative Sentiment: Operational headwinds remain: memory‑related supply constraints and competitive/phone‑procurement dynamics (including reports Apple dominated recent chip deals) could pressure handset revenue and margins. QUALCOMM Incorporated (QCOM) Slipped Over Memory-Related Supply Constraints in Q1 The 2026 Chip War Is Already Over and Apple Dominated

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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