QUALCOMM (NASDAQ:QCOM) Trading 1.4% Higher - Should You Buy?

Key Points

• QUALCOMM's stock rose by 1.4% to $155.89 amidst a trading volume significantly lower than its average, indicating potential fluctuations in investor interest.
• Wall Street analysts have mixed reviews on QUALCOMM, with an average target price of $181.10 and reports ranging from a "buy" to a "neutral" rating.
• The company recently announced a quarterly dividend of $0.89 per share, reflecting a dividend yield of 2.3% and a payout ratio of 34.33%.

QUALCOMM Incorporated (NASDAQ:QCOM - Get Free Report) was up 1.4% during mid-day trading on Wednesday . The company traded as high as $155.51 and last traded at $155.89. Approximately 1,519,357 shares traded hands during mid-day trading, a decline of 82% from the average daily volume of 8,440,702 shares. The stock had previously closed at $153.73.

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on QCOM shares. Benchmark dropped their price objective on shares of QUALCOMM from $240.00 to $200.00 and set a "buy" rating for the company in a report on Thursday, May 1st. UBS Group increased their target price on shares of QUALCOMM from $145.00 to $165.00 and gave the company a "neutral" rating in a research report on Monday, July 21st. Rosenblatt Securities reissued a "buy" rating and set a $225.00 target price on shares of QUALCOMM in a research report on Thursday, July 31st. Sanford C. Bernstein set a $185.00 target price on shares of QUALCOMM and gave the company an "outperform" rating in a research report on Monday, July 28th. Finally, Mizuho decreased their target price on shares of QUALCOMM from $190.00 to $185.00 and set an "outperform" rating for the company in a research report on Thursday, July 31st. One analyst has rated the stock with a sell rating, eleven have issued a hold rating and eleven have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $181.10.

QUALCOMM Stock Up 1.9%

The company has a current ratio of 3.19, a quick ratio of 2.38 and a debt-to-equity ratio of 0.54. The firm has a market cap of $168.96 billion, a PE ratio of 15.10, a price-to-earnings-growth ratio of 2.16 and a beta of 1.23. The stock has a fifty day simple moving average of $155.20 and a two-hundred day simple moving average of $153.89.

QUALCOMM (NASDAQ:QCOM - Get Free Report) last posted its earnings results on Wednesday, July 30th. The wireless technology company reported $2.77 earnings per share for the quarter, beating analysts' consensus estimates of $2.71 by $0.06. The business had revenue of $10.37 billion during the quarter, compared to analyst estimates of $10.33 billion. QUALCOMM had a return on equity of 40.35% and a net margin of 26.77%. The company's quarterly revenue was up 10.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.33 EPS. As a group, sell-side analysts expect that QUALCOMM Incorporated will post 9.39 EPS for the current fiscal year.

QUALCOMM Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 25th. Stockholders of record on Thursday, September 4th will be issued a dividend of $0.89 per share. The ex-dividend date of this dividend is Thursday, September 4th. This represents a $3.56 annualized dividend and a dividend yield of 2.3%. QUALCOMM's payout ratio is presently 34.33%.

Insider Transactions at QUALCOMM

In other QUALCOMM news, major shareholder Inc/De Qualcomm sold 412,500 shares of the company's stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $16.00, for a total value of $6,600,000.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Akash J. Palkhiwala sold 3,333 shares of the company's stock in a transaction that occurred on Wednesday, July 2nd. The stock was sold at an average price of $161.28, for a total value of $537,546.24. Following the completion of the sale, the chief financial officer directly owned 46,446 shares of the company's stock, valued at approximately $7,490,810.88. This represents a 6.70% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 424,099 shares of company stock valued at $8,352,355. 0.08% of the stock is owned by corporate insiders.

Institutional Trading of QUALCOMM

Several hedge funds and other institutional investors have recently bought and sold shares of QCOM. CW Advisors LLC grew its stake in QUALCOMM by 49.3% in the second quarter. CW Advisors LLC now owns 61,027 shares of the wireless technology company's stock worth $9,719,000 after purchasing an additional 20,165 shares during the period. Acorns Advisers LLC purchased a new stake in QUALCOMM in the second quarter worth $234,000. Benedict Financial Advisors Inc. grew its stake in QUALCOMM by 1.3% in the second quarter. Benedict Financial Advisors Inc. now owns 41,796 shares of the wireless technology company's stock worth $6,656,000 after purchasing an additional 521 shares during the period. Twin Peaks Wealth Advisors LLC purchased a new stake in QUALCOMM in the second quarter worth $150,000. Finally, Nicolet Bankshares Inc. grew its stake in QUALCOMM by 22.9% in the second quarter. Nicolet Bankshares Inc. now owns 2,591 shares of the wireless technology company's stock worth $413,000 after purchasing an additional 482 shares during the period. Institutional investors own 74.35% of the company's stock.

QUALCOMM Company Profile

QUALCOMM Incorporated engages in the development and commercialization of foundational technologies for the wireless industry worldwide. It operates through three segments: Qualcomm CDMA Technologies (QCT); Qualcomm Technology Licensing (QTL); and Qualcomm Strategic Initiatives (QSI). The QCT segment develops and supplies integrated circuits and system software based on 3G/4G/5G and other technologies for use in wireless voice and data communications, networking, computing, multimedia, and position location products.

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