Qualcomm (NASDAQ:QCOM) Stock Price Up 10.9% - Should You Buy?

Key Points

• Qualcomm shares jumped 10.9% on heavy volume after the company confirmed shipments of custom AI silicon to a major hyperscaler and reported record automotive revenue, signaling a credible push into data‑center infrastructure and diversification beyond phones.
• Management boosted shareholder returns with a dividend increase and a $20B share‑repurchase authorization, but analysts maintain a consensus Hold (price target $172.40) and insider selling plus persistent handset weakness present near‑term risks.

Qualcomm Incorporated (NASDAQ:QCOM - Get Free Report)'s stock price rose 10.9% on Tuesday . The stock traded as high as $187.22 and last traded at $186.6720. Approximately 32,929,497 shares changed hands during trading, an increase of 152% from the average daily volume of 13,086,824 shares. The stock had previously closed at $168.38.

Key Headlines Impacting Qualcomm

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Company confirmed shipments of custom AI silicon to a major hyperscaler and reported record automotive revenue, signaling a credible entry into data‑center infrastructure and expanding revenue mix beyond phones. This is the primary bullish catalyst behind today's rally. Qualcomm’s AI Chips And Automotive Growth Reshape Its Investment Story
• Positive Sentiment: Board actions support capital returns: a recent quarterly dividend increase and an existing $20B share‑repurchase authorization improve shareholder cash yield and signal management confidence in the stock long term. Qualcomm’s 50% Surge: Bubble Territory or Breakout Moment?
• Neutral Sentiment: Cantor Fitzgerald lifted its price target to $150 (keeps a Neutral rating), a modest analytical uptick that helps sentiment but stops short of a conviction upgrade. Cantor Fitzgerald Raises PT on QUALCOMM (QCOM) Stock
• Neutral Sentiment: Industry pieces note a sector rotation toward execution (Intel turnaround, AMD dynamics); these macro dynamics can rerate peers and alter capital flow into semiconductors — an indirect factor for QCOM. The Great Chip Divide: AI Chip War Pivots from Hype to Execution
• Neutral Sentiment: Intel appointed a former Qualcomm exec (Alex Katouzian) to a major PC/physical AI role — notable for talent flow and competition in edge/AI markets but not an immediate revenue impact. Intel appoints Qualcomm executive to lead PC and physical AI business
• Negative Sentiment: Insider selling by CEO Cristiano Amon (10,000 shares) and EVP Heather Ace (3,200 shares), executed under 10b5‑1 plans, introduces short‑term selling pressure and can amplify volatility even if pre‑arranged. Amon SEC filing Ace SEC filing
• Negative Sentiment: Short‑term headwinds remain: multiple bearish takes highlight ongoing handset weakness and shrinking phone‑driven revenue/profits, arguing valuations may be stretched until AI/data‑center wins scale. Qualcomm: Sell Into The Hype

Wall Street Analyst Weigh In

QCOM has been the topic of several recent research reports. Deutsche Bank Aktiengesellschaft reissued a "hold" rating and set a $160.00 price objective on shares of Qualcomm in a report on Thursday, April 30th. BNP Paribas Exane lowered Qualcomm to a "neutral" rating in a report on Wednesday, April 29th. The Goldman Sachs Group initiated coverage on Qualcomm in a report on Monday, March 30th. They set a "neutral" rating and a $135.00 price objective on the stock. Mizuho decreased their price objective on Qualcomm from $160.00 to $140.00 and set a "neutral" rating on the stock in a report on Thursday, February 5th. Finally, Loop Capital raised Qualcomm from a "hold" rating to a "buy" rating and set a $185.00 price objective on the stock in a report on Tuesday, February 24th. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, fifteen have issued a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat, Qualcomm currently has a consensus rating of "Hold" and a consensus price target of $172.40.

Qualcomm Trading Up 10.9%

The company has a 50 day moving average of $135.69 and a 200 day moving average of $155.24. 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 cap of $196.75 billion, a price-to-earnings ratio of 20.29, a price-to-earnings-growth ratio of 21.42 and a beta of 1.49.

Qualcomm (NASDAQ:QCOM - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 EPS for the quarter, beating the consensus estimate of $2.56 by $0.09. The business had revenue of $10.60 billion for the quarter, compared to analyst estimates of $10.59 billion. Qualcomm had a return on equity of 42.11% and a net margin of 22.31%.Qualcomm's quarterly revenue was down 3.5% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.85 EPS. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, research analysts anticipate that Qualcomm Incorporated will post 8.18 EPS for the current year.

Qualcomm Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, June 25th. Investors of record on Thursday, June 4th will be paid a $0.92 dividend. The ex-dividend date of this dividend is Thursday, June 4th. This represents a $3.68 annualized dividend and a yield of 2.0%. This is a positive change from Qualcomm's previous quarterly dividend of $0.89. Qualcomm's payout ratio is presently 38.70%.

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

Insider Buying and Selling

In other Qualcomm news, EVP Akash J. Palkhiwala sold 2,500 shares of Qualcomm stock in a transaction on Monday, April 13th. The stock was sold at an average price of $130.34, for a total value of $325,850.00. Following the completion of the transaction, the executive vice president owned 30,684 shares in the company, valued at approximately $3,999,352.56. The trade was a 7.53% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Patricia Y. Grech sold 192 shares of Qualcomm stock in a transaction on Thursday, April 30th. The shares were sold at an average price of $172.00, for a total value of $33,024.00. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 22,510 shares of company stock worth $3,635,753 in the last quarter. Corporate insiders own 0.05% of the company's stock.

Hedge Funds Weigh In On Qualcomm

Several institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. raised its position in Qualcomm by 0.6% in the 4th quarter. Vanguard Group Inc. now owns 114,144,068 shares of the wireless technology company's stock valued at $19,524,350,000 after purchasing an additional 647,076 shares during the last quarter. Geode Capital Management LLC raised its position in Qualcomm by 12.5% in the 4th quarter. Geode Capital Management LLC now owns 28,897,079 shares of the wireless technology company's stock valued at $4,931,968,000 after purchasing an additional 3,221,924 shares during the last quarter. Wellington Management Group LLP raised its position in Qualcomm by 34.5% in the 4th quarter. Wellington Management Group LLP now owns 16,727,862 shares of the wireless technology company's stock valued at $2,861,301,000 after purchasing an additional 4,290,622 shares during the last quarter. Norges Bank bought a new position in Qualcomm in the 4th quarter valued at $2,591,056,000. Finally, Amundi raised its position in Qualcomm by 9.9% in the 3rd quarter. Amundi now owns 12,671,635 shares of the wireless technology company's stock valued at $2,136,486,000 after purchasing an additional 1,138,541 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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