Qualcomm (NASDAQ:QCOM) Trading Up 8.4% After Analyst Upgrade

Qualcomm Incorporated (NASDAQ:QCOM) shares traded up 8.4% during mid-day trading on Monday after Craig Hallum upgraded the stock to a buy rating. The company traded as high as $247.90 and last traded at $237.53. 45,350,438 shares traded hands during mid-day trading, an increase of 214% from the average session volume of 14,423,543 shares. The stock had previously closed at $219.09.

A number of other equities analysts have also issued reports on QCOM. Seaport Research Partners reaffirmed a “sell” rating and issued a $100.00 target price on shares of Qualcomm in a research report on Monday, March 16th. Daiwa Securities Group raised Qualcomm from a “neutral” rating to an “outperform” rating and set a $225.00 price target on the stock in a research report on Friday. Barclays upped their price target on Qualcomm from $130.00 to $150.00 and gave the company an “underweight” rating in a research report on Thursday, April 30th. Loop Capital raised Qualcomm from a “hold” rating to a “buy” rating and set a $185.00 price target on the stock in a research report on Tuesday, February 24th. Finally, Evercore set a $179.00 price target on Qualcomm in a research report on Thursday, April 30th. Fourteen investment analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $180.37.

Insider Transactions at Qualcomm

In related news, CEO Cristiano R. Amon sold 10,000 shares of the company’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $180.00, for a total transaction of $1,800,000.00. Following the sale, the chief executive officer directly owned 197,568 shares of the company’s stock, valued at approximately $35,562,240. This represents a 4.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Akash J. Palkhiwala sold 2,500 shares of the company’s stock in a transaction that occurred on Monday, April 13th. The shares were sold at an average price of $130.34, for a total value of $325,850.00. Following the sale, the executive vice president directly owned 30,684 shares in the company, valued at approximately $3,999,352.56. This represents a 7.53% 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. In the last quarter, insiders sold 15,977 shares of company stock valued at $2,738,566. 0.05% of the stock is currently owned by insiders.

Key Headlines Impacting Qualcomm

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Analysts at GF said Qualcomm, along with AMD and Intel, could benefit from a coming server CPU super cycle tied to rising data-center investment. AMD, Intel, Qualcomm likely to benefit from server CPU super cycle, GF says
• Positive Sentiment: Qualcomm is benefiting from the broader AI chip rally, with investors buying semiconductors tied to data-center buildouts and AI demand. Qualcomm Stock Is Rising. The Chip Stock Is Nearing a New Record High.
• Positive Sentiment: Daiwa upgraded Qualcomm to Outperform, adding to bullish sentiment around the stock. Daiwa Upgrades QUALCOMM (QCOM) to Outperform
• Positive Sentiment: Reports say investors are shrugging off Qualcomm’s recent guidance miss because the market is more focused on its opportunity in data centers and AI-related growth. Qualcomm Missed on Guidance. Investors Are Shrugging It Off As They Wait for Data Centers To Take QCOM Stock Higher.
• Neutral Sentiment: Qualcomm’s push into AI-native devices such as glasses and wearables is seen as a longer-term growth story, but it is still early and more speculative than immediate earnings impact. Qualcomm’s AI Device Push Tests Shift Beyond Smartphones For Investors
• Negative Sentiment: DZ Bank reportedly lowered its rating on Qualcomm, which is a modest headwind even amid the rally. Qualcomm (NASDAQ:QCOM) Stock Rating Lowered by DZ Bank

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. Your Advocates Ltd. LLP bought a new position in Qualcomm during the 1st quarter worth $26,000. Cloud Capital Management LLC bought a new position in Qualcomm during the 3rd quarter worth $27,000. Richardson Financial Services Inc. grew its stake in Qualcomm by 90.9% during the 4th quarter. Richardson Financial Services Inc. now owns 168 shares of the wireless technology company’s stock worth $29,000 after buying an additional 80 shares during the last quarter. Torren Management LLC bought a new position in Qualcomm during the 4th quarter worth $29,000. Finally, Caitong International Asset Management Co. Ltd grew its stake in Qualcomm by 17,000.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 171 shares of the wireless technology company’s stock worth $29,000 after buying an additional 170 shares during the last quarter. 74.35% of the stock is currently owned by institutional investors.

Qualcomm Stock Performance

The stock has a market capitalization of $250.36 billion, a P/E ratio of 25.82, a P/E/G ratio of 27.14 and a beta of 1.49. The stock has a 50 day moving average of $138.77 and a 200 day moving average of $155.88. The company has a debt-to-equity ratio of 0.54, a quick ratio of 1.61 and a current ratio of 2.37.

Qualcomm (NASDAQ:QCOM) last issued its quarterly earnings data on Wednesday, April 29th. The wireless technology company reported $2.65 EPS for the quarter, topping analysts’ consensus estimates of $2.56 by $0.09. The firm had revenue of $10.60 billion during the quarter, compared to the consensus estimate of $10.59 billion. Qualcomm had a return on equity of 42.11% and a net margin of 22.31%.The firm’s revenue was down 3.5% on a year-over-year basis. During the same period in the prior year, the business earned $2.85 EPS. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. Equities analysts predict that Qualcomm Incorporated will post 7.99 EPS for the current year.

Qualcomm Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th will be paid a $0.92 dividend. The ex-dividend date of this dividend is Thursday, June 4th. This is a positive change from Qualcomm’s previous quarterly dividend of $0.89. This represents a $3.68 annualized dividend and a dividend yield of 1.5%. Qualcomm’s dividend payout ratio (DPR) is currently 38.70%.

Qualcomm declared that its board has initiated a stock buyback program on Tuesday, March 17th that allows the company to repurchase $20.00 billion in shares. This repurchase authorization allows the wireless technology company to buy up to 14.5% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board 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.