Qualcomm (NASDAQ:QCOM) Trading Down 2.2% - Here's Why

Key Points

• Qualcomm shares fell 2.2% to about $162.18 in Monday trading, with volume 44% below the stock’s average daily volume. The price remains below its 50-day moving average of $182.72.
• Investor sentiment remains mixed: analysts have a consensus “Hold” rating and an average price target of $203.63, despite Mizuho raising its target to $210 and DBS upgrading the stock to “moderate buy.”
• Qualcomm’s latest earnings slightly missed expectations, reporting $2.21 in EPS versus $2.23 expected, while revenue declined 4% year over year. The company also declared a quarterly dividend of $0.92 per share, yielding approximately 2.3% annually.

Qualcomm Incorporated (NASDAQ:QCOM - Get Free Report) shares dropped 2.2% during trading on Monday . The stock traded as low as $161.45 and last traded at $162.18. 8,938,529 shares changed hands during mid-day trading, a decline of 44% from the average daily volume of 16,076,278 shares. The stock had previously closed at $165.79.

Analysts Set New Price Targets

A number of research analysts recently weighed in on the company. Dbs Bank raised Qualcomm to a "moderate buy" rating in a report on Tuesday, July 7th. The Goldman Sachs Group set a $160.00 target price on Qualcomm in a report on Thursday, July 30th. BNP Paribas Exane lowered shares of Qualcomm to a "neutral" rating in a research report on Wednesday, April 29th. Sanford C. Bernstein set a $165.00 price target on shares of Qualcomm in a research note on Thursday, July 30th. Finally, Mizuho increased their price target on shares of Qualcomm from $170.00 to $210.00 and gave the company a "neutral" rating in a report on Monday, June 29th. Two analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, twenty have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, Qualcomm presently has a consensus rating of "Hold" and a consensus target price of $203.63.

Qualcomm Stock Down 2.2%

The stock has a market capitalization of $170.33 billion, a PE ratio of 18.77, a P/E/G ratio of 15.25 and a beta of 1.65. The firm has a 50 day moving average of $182.72 and a two-hundred day moving average of $167.82. The company has a current ratio of 2.02, a quick ratio of 1.28 and a debt-to-equity ratio of 0.46.

Qualcomm (NASDAQ:QCOM - Get Free Report) last issued 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). The firm had revenue of $9.95 billion for the quarter, compared to analyst estimates of $9.69 billion. Qualcomm had a return on equity of 38.36% and a net margin of 21.01%.The business's revenue for the quarter was down 4.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.77 earnings per share. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. Equities research analysts anticipate that Qualcomm Incorporated will post 7.76 earnings per share for the current year.

Qualcomm Dividend Announcement

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

Insider Buying and Selling

In other Qualcomm news, EVP Heather S. Ace sold 3,200 shares of Qualcomm stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $147.04, for a total transaction of $470,528.00. Following the completion of the transaction, the executive vice president owned 36,535 shares in the company, valued at approximately $5,372,106.40. The trade was a 8.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Akash J. Palkhiwala sold 2,500 shares of Qualcomm stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $163.26, for a total transaction of $408,150.00. Following the transaction, the executive vice president owned 20,684 shares of the company's stock, valued at approximately $3,376,869.84. The trade was a 10.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 11,529 shares of company stock worth $1,991,345 in the last three months. Corporate insiders own 0.05% of the company's stock.

Institutional Trading of Qualcomm

Several large investors have recently modified their holdings of QCOM. World Investment Advisors raised its position in shares of Qualcomm by 14.3% during the 4th quarter. World Investment Advisors now owns 64,911 shares of the wireless technology company's stock worth $11,103,000 after purchasing an additional 8,130 shares during the period. MUFG Securities EMEA plc grew its stake in Qualcomm by 112.2% during the 4th quarter. MUFG Securities EMEA plc now owns 43,986 shares of the wireless technology company's stock worth $7,524,000 after buying an additional 23,262 shares during the last quarter. Swedbank AB increased its position in Qualcomm by 1.5% in the fourth quarter. Swedbank AB now owns 1,533,420 shares of the wireless technology company's stock worth $262,291,000 after buying an additional 23,110 shares during the period. NBC Securities Inc. increased its position in Qualcomm by 47.5% in the fourth quarter. NBC Securities Inc. now owns 18,691 shares of the wireless technology company's stock worth $3,197,000 after buying an additional 6,018 shares during the period. Finally, Sequoia Financial Advisors LLC lifted its stake in Qualcomm by 5.7% in the fourth quarter. Sequoia Financial Advisors LLC now owns 143,690 shares of the wireless technology company's stock valued at $24,578,000 after buying an additional 7,804 shares during the last quarter. 74.35% of the stock is currently owned by institutional investors and hedge funds.

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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