Qualcomm (NASDAQ:QCOM) Stock Price Up 4.2% – What’s Next?

Qualcomm Incorporated (NASDAQ:QCOM) was up 4.2% during mid-day trading on Thursday . The stock traded as high as $249.46 and last traded at $243.29. Approximately 19,959,428 shares changed hands during mid-day trading, an increase of 26% from the average daily volume of 15,783,258 shares. The stock had previously closed at $233.40.

Analysts Set New Price Targets

Several analysts have recently issued reports on QCOM shares. BNP Paribas Exane lowered shares of Qualcomm to a “neutral” rating in a research report on Wednesday, April 29th. Bank of America started coverage on shares of Qualcomm in a research report on Tuesday, March 10th. They issued an “underperform” rating and a $145.00 target price on the stock. Oppenheimer lowered shares of Qualcomm from a “market perform” rating to a “market perform” rating in a research report on Friday, May 8th. Piper Sandler reiterated an “overweight” rating and issued a $200.00 target price on shares of Qualcomm in a research report on Thursday, February 5th. Finally, Wells Fargo & Company lowered shares of Qualcomm from a “positive” rating to an “underweight” rating in a research report on Friday, May 8th. Fourteen research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat, Qualcomm presently has an average rating of “Hold” and a consensus price target of $181.79.

Qualcomm Trading Up 4.2%

The company’s 50 day moving average price is $161.42 and its two-hundred day moving average price is $160.11. 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 stock has a market capitalization of $256.43 billion, a PE ratio of 26.44, a P/E/G ratio of 30.82 and a beta of 1.49.

Qualcomm (NASDAQ:QCOM) last posted its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share for the quarter, topping the consensus estimate of $2.56 by $0.09. The firm had revenue of $10.60 billion for the quarter, compared to the consensus estimate of $10.59 billion. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. The company’s revenue for the quarter was down 3.5% on a year-over-year basis. During the same period last year, the firm posted $2.85 earnings per share. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, analysts expect that Qualcomm Incorporated will post 7.99 earnings per share 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. This is an increase from Qualcomm’s previous quarterly dividend of $0.89. This represents a $3.68 annualized dividend and a dividend yield of 1.5%. The ex-dividend date of this dividend is Thursday, June 4th. Qualcomm’s payout ratio is 40.00%.

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

Insider Buying and Selling at Qualcomm

In other news, EVP Akash J. Palkhiwala sold 2,500 shares of the firm’s stock in a transaction dated Monday, April 13th. The shares were sold at an average price of $130.34, for a total value of $325,850.00. Following the transaction, the executive vice president directly owned 30,684 shares of the company’s stock, valued at approximately $3,999,352.56. This trade represents a 7.53% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Heather S. Ace sold 3,200 shares of the firm’s stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $177.82, for a total transaction of $569,024.00. Following the completion of the transaction, the executive vice president directly owned 39,735 shares in the company, valued at approximately $7,065,677.70. This represents a 7.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 19,306 shares of company stock valued at $3,435,583. Corporate insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Qualcomm

Institutional investors have recently bought and sold shares of the company. Cloud Capital Management LLC purchased a new position in Qualcomm during the third quarter worth about $27,000. Richardson Financial Services Inc. raised its stake in Qualcomm by 90.9% during the fourth quarter. Richardson Financial Services Inc. now owns 168 shares of the wireless technology company’s stock worth $29,000 after purchasing an additional 80 shares during the period. Torren Management LLC purchased a new position in Qualcomm during the fourth quarter worth about $29,000. Caitong International Asset Management Co. Ltd raised its stake in Qualcomm by 17,000.0% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 171 shares of the wireless technology company’s stock worth $29,000 after purchasing an additional 170 shares during the period. Finally, Birchwood Financial Partners Inc. purchased a new position in Qualcomm during the fourth quarter worth about $31,000. 74.35% of the stock is owned by hedge funds and other institutional investors.

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.