Qualcomm (NASDAQ:QCOM) Trading Up 8.2% Following Analyst Upgrade

Key Points

• Qualcomm shares jumped 8.2% after Craig Hallum upgraded the stock to Buy, with trading volume surging well above average. The stock hit an intraday high of $228.05 after closing at $202.55 the day before.
• Analysts remain mixed overall: while some recently raised price targets, the consensus rating is still Hold with an average target of $180.37. Recent commentary also points to caution from other firms, including a downgrade from DZ Bank.
• Investors are focusing on Qualcomm’s push beyond smartphones, including AI infrastructure, data center silicon, new Snapdragon chips, buybacks, and a higher quarterly dividend. The company also beat EPS expectations in its latest earnings report and authorized a $20 billion share repurchase program.

Shares of Qualcomm Incorporated (NASDAQ:QCOM - Get Free Report) were up 8.2% during mid-day trading on Friday after Craig Hallum upgraded the stock to a buy rating. The company traded as high as $228.05 and last traded at $219.09. Approximately 37,661,114 shares traded hands during mid-day trading, an increase of 168% from the average daily volume of 14,074,227 shares. The stock had previously closed at $202.55.

QCOM has been the topic of several other reports. Robert W. Baird set a $300.00 price objective on shares of Qualcomm in a research report on Friday, May 1st. Bank of America started coverage on Qualcomm in a research note on Tuesday, March 10th. They set an "underperform" rating and a $145.00 target price on the stock. JPMorgan Chase & Co. raised their price target on Qualcomm from $140.00 to $160.00 and gave the company a "neutral" rating in a report on Thursday, April 30th. Morgan Stanley reissued an "underweight" rating and set a $146.00 target price on shares of Qualcomm in a research note on Thursday, April 30th. Finally, Barclays raised their price objective on shares of Qualcomm from $130.00 to $150.00 and gave the company an "underweight" rating in a research note on Thursday, April 30th. Fourteen analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat, Qualcomm currently has an average rating of "Hold" and an average price target of $180.37.

Insiders Place Their Bets

In other news, CAO Patricia Y. Grech sold 192 shares of the stock in a transaction that occurred on Thursday, April 30th. The shares were sold at an average price of $172.00, for a total value of $33,024.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Cristiano R. Amon sold 10,000 shares of the business's stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $180.00, for a total transaction of $1,800,000.00. Following the transaction, the chief executive officer directly owned 197,568 shares in the company, valued at $35,562,240. The trade was a 4.82% decrease in their ownership of the stock. 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 a total of 19,177 shares of company stock valued at $3,176,966 over the last ninety days. Corporate insiders own 0.05% of the company's stock.

Key Headlines Impacting Qualcomm

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Daiwa upgraded Qualcomm to Outperform and lifted its price target to $225, arguing the market is undervaluing Qualcomm’s move into AI infrastructure and data center silicon. Daiwa Just Upgraded Qualcomm to Outperform: $225 Price Target Bets on Data Center AI Pivot
• Positive Sentiment: Qualcomm’s new Snapdragon 6 Gen 5 and Snapdragon 4 Gen 5 mobile chips are fueling optimism that the company can keep extending its product cycle into lower-cost devices while adding AI features. What's driving Qualcomm stock higher?
• Positive Sentiment: Recent coverage highlights Qualcomm’s buyback program, a Snap AR partnership, strong earnings, and custom silicon wins as evidence that the company is successfully pivoting beyond its core smartphone business. Qualcomm Climbs 8% as Buyback, Snap AR Partnership Power Pivot Beyond Smartphones
• Neutral Sentiment: Some traders note the stock has moved sharply higher in a short period, which can make it vulnerable to near-term pullbacks even if the longer-term AI thesis remains intact. Qualcomm Stock Is Soaring Today: What's Going On?
• Neutral Sentiment: Another commentary piece says Qualcomm’s RSI is in overbought territory after the recent run, suggesting momentum may cool before the next leg higher. What's driving Qualcomm stock higher?
• Negative Sentiment: DZ Bank downgraded Qualcomm from Buy to Hold and set a $195 target, reflecting some caution after the sharp rally. Trump Could Put These 8 Stocks In The Spotlight For China Trip: Here Are The CEOs That Could Be Invited

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Brighton Jones LLC raised its stake in Qualcomm by 116.6% during the 4th quarter. Brighton Jones LLC now owns 17,356 shares of the wireless technology company's stock valued at $2,666,000 after purchasing an additional 9,343 shares during the last quarter. Revolve Wealth Partners LLC grew its position in Qualcomm by 15.4% in the fourth quarter. Revolve Wealth Partners LLC now owns 2,542 shares of the wireless technology company's stock valued at $391,000 after acquiring an additional 340 shares during the period. Sivia Capital Partners LLC increased its position in shares of Qualcomm by 44.3% during the 2nd quarter. Sivia Capital Partners LLC now owns 3,325 shares of the wireless technology company's stock worth $530,000 after purchasing an additional 1,020 shares in the last quarter. Main Street Financial Solutions LLC increased its holdings in shares of Qualcomm by 6.1% during the second quarter. Main Street Financial Solutions LLC now owns 5,778 shares of the wireless technology company's stock worth $920,000 after buying an additional 333 shares in the last quarter. Finally, Transamerica Financial Advisors LLC increased its holdings in Qualcomm by 9.7% during the 2nd quarter. Transamerica Financial Advisors LLC now owns 6,800 shares of the wireless technology company's stock valued at $1,083,000 after purchasing an additional 603 shares in the last quarter. Institutional investors own 74.35% of the company's stock.

Qualcomm Trading Up 8.2%

The company has a market cap of $230.92 billion, a price-to-earnings ratio of 23.81, a price-to-earnings-growth ratio of 23.76 and a beta of 1.49. The company has a debt-to-equity ratio of 0.54, a current ratio of 2.37 and a quick ratio of 1.61. The business has a 50 day simple moving average of $138.77 and a 200 day simple moving average of $155.88.

Qualcomm (NASDAQ:QCOM - Get Free Report) last issued its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.56 by $0.09. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. The business had revenue of $10.60 billion for the quarter, compared to the consensus estimate of $10.59 billion. During the same quarter in the prior year, the company earned $2.85 EPS. The firm's quarterly revenue was down 3.5% on a year-over-year basis. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, equities analysts forecast that Qualcomm Incorporated will post 8.02 EPS for the current year.

Qualcomm Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 25th. Investors of record on Thursday, June 4th will be given a $0.92 dividend. This is a boost from Qualcomm's previous quarterly dividend of $0.89. The ex-dividend date is Thursday, June 4th. This represents a $3.68 annualized dividend and a yield of 1.7%. Qualcomm's dividend payout ratio is presently 38.70%.

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

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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