Qualcomm (NASDAQ:QCOM) Upgraded by Daiwa Securities Group to Outperform Rating

Daiwa Securities Group upgraded shares of Qualcomm (NASDAQ:QCOMFree Report) from a neutral rating to an outperform rating in a research note published on Friday morning, Marketbeat Ratings reports. They currently have $225.00 target price on the wireless technology company’s stock.

QCOM has been the topic of a number of other research reports. JPMorgan Chase & Co. upped their price target on Qualcomm from $140.00 to $160.00 and gave the company a “neutral” rating in a research report on Thursday, April 30th. Seaport Research Partners reaffirmed a “sell” rating and set a $100.00 price target on shares of Qualcomm in a research report on Monday, March 16th. Sanford C. Bernstein reaffirmed a “market perform” rating and set a $140.00 price target (down from $175.00) on shares of Qualcomm in a research report on Thursday, March 26th. Cantor Fitzgerald upped their price target on Qualcomm from $135.00 to $150.00 and gave the company a “neutral” rating in a research report on Thursday, April 30th. Finally, 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. Fourteen investment analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat.com, Qualcomm currently has a consensus rating of “Hold” and an average price target of $180.37.

Check Out Our Latest Stock Report on QCOM

Qualcomm Trading Up 8.2%

NASDAQ QCOM opened at $219.09 on Friday. The company has a market cap of $230.92 billion, a price-to-earnings ratio of 23.81, a P/E/G ratio of 24.99 and a beta of 1.49. Qualcomm has a 52 week low of $121.99 and a 52 week high of $228.05. The business has a 50 day moving average price of $138.77 and a 200-day moving average price of $155.88. The company has a quick ratio of 1.61, a current ratio of 2.37 and a debt-to-equity ratio of 0.54.

Qualcomm (NASDAQ:QCOMGet Free Report) last announced its earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.56 by $0.09. Qualcomm had a return on equity of 42.11% and a net margin of 22.31%.The company had revenue of $10.60 billion for the quarter, compared to analysts’ expectations of $10.59 billion. During the same quarter in the previous year, the firm earned $2.85 earnings per share. Qualcomm’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 expect that Qualcomm will post 8.02 earnings per share for the current fiscal year.

Qualcomm Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 25th. Investors of record on Thursday, June 4th will be issued a dividend of $0.92 per share. The ex-dividend date is Thursday, June 4th. This represents a $3.68 annualized dividend and a yield of 1.7%. This is a boost from Qualcomm’s previous quarterly dividend of $0.89. Qualcomm’s dividend payout ratio (DPR) is currently 38.70%.

Qualcomm announced that its Board of Directors has authorized a stock repurchase plan on Tuesday, March 17th that authorizes the company to buyback $20.00 billion in shares. This buyback authorization authorizes the wireless technology company to purchase up to 14.5% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other Qualcomm news, EVP Heather S. Ace sold 3,200 shares of the stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $177.82, for a total value of $569,024.00. Following the completion of the sale, the executive vice president owned 39,735 shares in the company, valued at approximately $7,065,677.70. This trade represents a 7.45% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed 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 stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $180.00, for a total value of $1,800,000.00. Following the completion of the sale, the chief executive officer owned 197,568 shares of the company’s stock, valued at approximately $35,562,240. This trade represents a 4.82% decrease in their position. 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 quarter, insiders have sold 19,177 shares of company stock worth $3,176,966. Corporate insiders own 0.05% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in QCOM. Norges Bank bought a new position in Qualcomm during the 4th quarter valued at approximately $2,591,056,000. Wellington Management Group LLP increased its position in Qualcomm by 141.8% during the 3rd quarter. Wellington Management Group LLP now owns 12,437,240 shares of the wireless technology company’s stock valued at $2,069,059,000 after buying an additional 7,292,783 shares in the last quarter. Geode Capital Management LLC increased its position in Qualcomm by 12.5% during the 4th quarter. Geode Capital Management LLC now owns 28,897,079 shares of the wireless technology company’s stock valued at $4,931,968,000 after buying an additional 3,221,924 shares in the last quarter. Invesco Ltd. increased its position in Qualcomm by 28.1% during the 4th quarter. Invesco Ltd. now owns 12,645,603 shares of the wireless technology company’s stock valued at $2,163,030,000 after buying an additional 2,771,490 shares in the last quarter. Finally, Dimensional Fund Advisors LP increased its position in Qualcomm by 36.8% during the 3rd quarter. Dimensional Fund Advisors LP now owns 6,552,427 shares of the wireless technology company’s stock valued at $1,090,025,000 after buying an additional 1,764,252 shares in the last quarter. Institutional investors own 74.35% of the company’s stock.

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About Qualcomm

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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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