Qualcomm (NASDAQ:QCOM) Stock Price Up 1.2% - Should You Buy?

Key Points

• Quarterly beat: Qualcomm reported EPS of $3.50 vs. $3.38 expected and revenue of $12.25B, and set Q2 2026 guidance at $2.450–2.650 EPS, with a market cap of ~$141.7B and a PE of 27.45.
• $20 billion buyback: The board authorized up to $20.0B in share repurchases (about 14.5% of shares), a sign management views the stock as potentially undervalued.
• Mixed analyst view: Consensus rating is a "Hold" with an average price target of $163.77 after several recent cuts, while the stock traded around $132.84 (up 1.2%) on below-average volume.

Qualcomm Incorporated (NASDAQ:QCOM - Get Free Report)'s share price rose 1.2% on Tuesday . The stock traded as high as $132.94 and last traded at $132.84. Approximately 7,546,826 shares changed hands during mid-day trading, a decline of 32% from the average daily volume of 11,162,222 shares. The stock had previously closed at $131.24.

Wall Street Analysts Forecast Growth

QCOM has been the subject of several research reports. UBS Group reiterated a "neutral" rating on shares of Qualcomm in a research report on Monday, February 2nd. Susquehanna lowered shares of Qualcomm from a "positive" rating to a "neutral" rating and set a $140.00 target price for the company. in a research report on Thursday, February 5th. Zacks Research lowered shares of Qualcomm from a "hold" rating to a "strong sell" rating in a research report on Tuesday, January 27th. Rosenblatt Securities cut their target price on shares of Qualcomm from $225.00 to $190.00 and set a "buy" rating for the company in a research report on Thursday, February 5th. Finally, Cantor Fitzgerald cut their target price on shares of Qualcomm from $185.00 to $160.00 and set a "neutral" rating for the company in a research report on Monday, February 2nd. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, eleven have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, Qualcomm presently has an average rating of "Hold" and a consensus price target of $163.77.

Qualcomm Price Performance

The firm's 50-day moving average is $135.14 and its 200-day moving average is $157.25. The company has a market capitalization of $141.74 billion, a PE ratio of 27.45 and a beta of 1.28. 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 quarterly earnings results on Wednesday, February 4th. The wireless technology company reported $3.50 earnings per share (EPS) for the quarter, beating 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 business had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.16 billion. During the same period in the prior year, the business posted $3.41 earnings per share. The company's revenue was up 4.7% on a year-over-year basis. Qualcomm has set its Q2 2026 guidance at 2.450-2.650 EPS. Equities analysts predict that Qualcomm Incorporated will post 9.39 earnings per share for the current fiscal year.

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

Insider Activity

In other Qualcomm news, EVP Akash J. Palkhiwala sold 2,500 shares of the company's stock in a transaction dated Monday, April 13th. The shares were sold at an average price of $130.34, for a total transaction of $325,850.00. Following the completion of the sale, the executive vice president directly owned 30,684 shares in the company, valued at $3,999,352.56. This represents a 7.53% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Heather S. Ace sold 3,200 shares of the company's stock in a transaction dated Monday, February 9th. The shares were sold at an average price of $137.00, for a total transaction of $438,400.00. Following the sale, the executive vice president owned 16,393 shares of the company's stock, valued at approximately $2,245,841. The trade was a 16.33% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 9,118 shares of company stock valued at $1,233,705. Company insiders own 0.05% of the company's stock.

Hedge Funds Weigh In On Qualcomm

Several hedge funds and other institutional investors have recently modified their holdings of the company. waypoint wealth counsel raised its stake in shares of Qualcomm by 2.2% during the third quarter. waypoint wealth counsel now owns 2,863 shares of the wireless technology company's stock valued at $476,000 after acquiring an additional 61 shares during the last quarter. Greykasell Wealth Strategies Inc. raised its stake in shares of Qualcomm by 1.5% during the third quarter. Greykasell Wealth Strategies Inc. now owns 4,126 shares of the wireless technology company's stock valued at $686,000 after acquiring an additional 61 shares during the last quarter. Baron Wealth Management LLC raised its stake in shares of Qualcomm by 4.5% during the third quarter. Baron Wealth Management LLC now owns 1,431 shares of the wireless technology company's stock valued at $238,000 after acquiring an additional 62 shares during the last quarter. Certified Advisory Corp raised its stake in shares of Qualcomm by 0.6% during the third quarter. Certified Advisory Corp now owns 10,085 shares of the wireless technology company's stock valued at $1,678,000 after acquiring an additional 62 shares during the last quarter. Finally, Elser Financial Planning Inc raised its stake in shares of Qualcomm by 3.7% during the third quarter. Elser Financial Planning Inc now owns 1,759 shares of the wireless technology company's stock valued at $297,000 after acquiring an additional 63 shares during the last quarter. 74.35% of the stock is owned by institutional investors.

About Qualcomm

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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