Qualcomm (NASDAQ:QCOM) Stock Gets Price Target Cut from Rosenblatt Securities

Qualcomm (NASDAQ:QCOM) had its price objective dropped by stock analysts at Rosenblatt Securities from $235.00 to $205.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage presently has a “buy” rating on the wireless technology company’s stock. Rosenblatt Securities‘s target price would indicate a potential upside of 29.44% from the stock’s current price.

A number of other equities analysts have also recently issued reports on the stock. Morgan Stanley decreased their price objective on shares of Qualcomm from $231.00 to $220.00 and set an “equal weight” rating on the stock in a research report on Thursday, July 30th. Zacks Research lowered shares of Qualcomm from a “hold” rating to a “strong sell” rating in a report on Tuesday, September 15th. The Goldman Sachs Group reissued a “neutral” rating on shares of Qualcomm in a research note on Thursday. Piper Sandler restated a “neutral” rating on shares of Qualcomm in a report on Thursday. Finally, Citigroup lowered their price target on Qualcomm from $198.00 to $175.00 and set a “neutral” rating for the company in a research report on Wednesday, July 29th. Three analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, twenty-one have issued a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $199.97.

Qualcomm Trading Down 8.6%

Shares of NASDAQ:QCOM traded down $14.82 during trading on Thursday, reaching $158.37. 23,032,651 shares of the company traded hands, compared to its average volume of 15,096,307. The firm has a market capitalization of $169.12 billion, a price-to-earnings ratio of 18.27, a P/E/G ratio of 3.70 and a beta of 1.70. Qualcomm has a 52-week low of $121.99 and a 52-week high of $259.92. The company has a current ratio of 2.02, a quick ratio of 1.28 and a debt-to-equity ratio of 0.46. The business’s fifty day moving average is $178.23 and its 200-day moving average is $169.48.

Qualcomm (NASDAQ:QCOM) last issued its earnings results on Wednesday, November 4th. The wireless technology company reported $2.17 EPS for the quarter, topping the consensus estimate of $2.16 by $0.01. Qualcomm had a net margin of 21.01% and a return on equity of 38.36%. The company had revenue of $10.44 billion for the quarter, compared to the consensus estimate of $10.12 billion. During the same period in the previous year, the firm earned $3.00 earnings per share. The firm’s revenue for the quarter was down 8.4% on a year-over-year basis. As a group, analysts forecast that Qualcomm will post 7.71 EPS for the current year.

Insider Activity at Qualcomm

In related news, CEO Cristiano Amon sold 10,000 shares of the stock in a transaction dated Friday, September 25th. The shares were sold at an average price of $200.00, for a total value of $2,000,000.00. Following the completion of the transaction, the chief executive officer directly owned 177,568 shares of the company’s stock, valued at $35,513,600. This represents a 5.33% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Patricia Grech sold 625 shares of the firm’s stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $162.85, for a total transaction of $101,781.25. Following the completion of the sale, the chief accounting officer owned 208 shares of the company’s stock, valued at $33,872.80. This trade represents a 75.03% decrease in their ownership of the stock. 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 sold 30,258 shares of company stock valued at $5,727,616 in the last three months. Corporate insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Qualcomm

Institutional investors have recently added to or reduced their stakes in the company. Silver Grove Financial Group Inc. boosted its stake in Qualcomm by 8.2% during the third quarter. Silver Grove Financial Group Inc. now owns 1,498 shares of the wireless technology company’s stock worth $276,000 after acquiring an additional 113 shares in the last quarter. Davis Investment Partners LLC increased its stake in shares of Qualcomm by 175.9% during the third quarter. Davis Investment Partners LLC now owns 3,959 shares of the wireless technology company’s stock valued at $729,000 after purchasing an additional 2,524 shares in the last quarter. Illinois Municipal Retirement Fund increased its stake in shares of Qualcomm by 3.1% during the third quarter. Illinois Municipal Retirement Fund now owns 181,832 shares of the wireless technology company’s stock valued at $33,464,000 after purchasing an additional 5,512 shares in the last quarter. Northbridge Financial Group LLC increased its stake in shares of Qualcomm by 3.7% during the third quarter. Northbridge Financial Group LLC now owns 6,481 shares of the wireless technology company’s stock valued at $1,173,000 after purchasing an additional 233 shares in the last quarter. Finally, Confluence Wealth Services Inc. lifted its holdings in shares of Qualcomm by 33.9% during the third quarter. Confluence Wealth Services Inc. now owns 23,773 shares of the wireless technology company’s stock valued at $4,375,000 after purchasing an additional 6,016 shares during the last quarter. Institutional investors own 74.35% of the company’s stock.

Key Qualcomm News

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Qualcomm’s fiscal Q4 adjusted EPS of $2.17 and revenue of about $10.44 billion topped consensus. Automotive revenue surged about 89%, and management highlighted data-center expansion, including a target of $5 billion in fiscal 2027 revenue. QCOM Q4 Earnings Beat Estimates on Robust Automotive Growth
• Positive Sentiment: SpaceX selected Qualcomm’s Dragonwing platforms and software for Starlink Mobile’s planned U.S. terrestrial 5G network—a major infrastructure opportunity that could diversify Qualcomm beyond smartphones. SpaceX signs deal with Qualcomm to provide network technology for U.S. mobile service
• Negative Sentiment: The results were overshadowed by weak profit guidance and pressure on chip margins. Handset revenue fell sharply (reported at about 26% in one account), while Apple’s expected move away from Qualcomm products threatens a key source of sales. Revenue was down 8.4% year over year, and growth in automotive and data centers has not yet made up for handset weakness. Qualcomm Beat Earnings, But Its Fastest-Growing Businesses Have a Catch
• Negative Sentiment: Investors are also concerned that newer businesses carry lower margins, and that smartphone demand is being weighed down by memory shortages. Susquehanna lowered its price target to $165 and assigned a neutral rating. A broader chip-sector sell-off added to the pressure. Qualcomm slides after earnings, leading post-election chip stock sell-off

About Qualcomm

Qualcomm Incorporated is a technology company that develops and commercializes wireless communications and semiconductor technologies. Through Qualcomm Technologies, Inc, the company designs integrated circuits, system software and related platforms used in smartphones, personal computers, automobiles, industrial equipment, consumer devices and other connected products. Its Snapdragon platforms support mobile computing, connectivity, artificial intelligence and multimedia applications, while its broader portfolio includes radio-frequency systems, networking and edge-computing technologies.

Qualcomm also operates a significant technology-licensing business through its Qualcomm Technology Licensing segment.