Qualcomm (NASDAQ:QCOM) Shares Up 1.1% - What's Next?

Key Points

• Qualcomm shares rose 1.1% to $161.91 on lighter-than-average trading volume, remaining below the 50-day and 200-day moving averages of $180.71 and $167.93, respectively.
• Analyst sentiment is mixed, with a consensus “Hold” rating and an average price target of $203.63. Recent actions included a price-target cut from RBC and an upgrade from DBS Bank.
• Qualcomm reported quarterly revenue of $9.95 billion, exceeding estimates, but EPS of $2.21 narrowly missed expectations and revenue declined 4% year over year. The company also declared a quarterly dividend of $0.92, yielding approximately 2.3% annually.

Qualcomm Incorporated (NASDAQ:QCOM - Get Free Report) rose 1.1% during trading on Wednesday . The company traded as high as $166.50 and last traded at $161.91. Approximately 8,073,214 shares were traded during trading, a decline of 50% from the average daily volume of 15,995,854 shares. The stock had previously closed at $160.19.

Analyst Ratings Changes

Several research firms recently issued reports on QCOM. Lake Street Capital cut shares of Qualcomm to a "hold" rating in a research report on Thursday, June 25th. Royal Bank Of Canada dropped their price target on shares of Qualcomm from $250.00 to $160.00 and set a "sector perform" rating for the company in a research report on Thursday, July 30th. Roth Capital started coverage on shares of Qualcomm in a report on Friday, May 8th. They issued a "buy" rating on the stock. Bank of America boosted their price objective on shares of Qualcomm from $165.00 to $195.00 and gave the company an "underperform" rating in a research note on Tuesday, June 23rd. Finally, Dbs Bank upgraded Qualcomm to a "moderate buy" rating in a report on Tuesday, July 7th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, twenty have given a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $203.63.

Qualcomm Price Performance

The stock has a market cap of $170.04 billion, a PE ratio of 18.74, a price-to-earnings-growth ratio of 15.25 and a beta of 1.65. The company has a quick ratio of 1.28, a current ratio of 2.02 and a debt-to-equity ratio of 0.46. The company's fifty day moving average is $180.71 and its 200 day moving average is $167.93.

Qualcomm (NASDAQ:QCOM - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The wireless technology company reported $2.21 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.23 by ($0.02). Qualcomm had a return on equity of 38.36% and a net margin of 21.01%.The business had revenue of $9.95 billion for the quarter, compared to analysts' expectations of $9.69 billion. During the same quarter in the prior year, the firm earned $2.77 earnings per share. Qualcomm's quarterly revenue was down 4.0% compared to the same quarter last year. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. As a group, sell-side analysts anticipate that Qualcomm Incorporated will post 7.76 earnings per share for the current fiscal year.

Qualcomm Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be issued a $0.92 dividend. This represents a $3.68 annualized dividend and a yield of 2.3%. The ex-dividend date is Thursday, September 3rd. Qualcomm's dividend payout ratio is currently 42.59%.

Insiders Place Their Bets

In other news, EVP Heather S. Ace sold 3,200 shares of the stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $147.04, for a total value of $470,528.00. Following the completion of the sale, the executive vice president owned 36,535 shares in the company, valued at approximately $5,372,106.40. This trade represents a 8.05% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Patricia Y. Grech sold 829 shares of the firm's stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $201.77, for a total value of $167,267.33. 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 11,529 shares of company stock worth $1,991,345 over the last quarter. 0.05% of the stock is owned by corporate insiders.

Institutional Trading of Qualcomm

Several large investors have recently bought and sold shares of QCOM. SPX Gestao de Recursos Ltda purchased a new stake in shares of Qualcomm during the second quarter valued at approximately $190,000. Archer Investment Corp purchased a new position in shares of Qualcomm in the second quarter valued at $218,000. Kimelman & Baird LLC acquired a new stake in Qualcomm during the 2nd quarter valued at $758,000. Ratan Capital Management LP acquired a new stake in Qualcomm during the 2nd quarter valued at $20,037,000. Finally, Strait & Sound Wealth Management LLC increased its stake in Qualcomm by 22.9% during the 2nd quarter. Strait & Sound Wealth Management LLC now owns 3,471 shares of the wireless technology company's stock worth $641,000 after buying an additional 646 shares during the period. Institutional investors and hedge funds 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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