Qualcomm (NASDAQ:QCOM) Stock Price Down 2.6% – Should You Sell?

Shares of Qualcomm Incorporated (NASDAQ:QCOM) dropped 2.6% during trading on Thursday . The stock traded as low as $168.31 and last traded at $171.11. 10,763,957 shares were traded during mid-day trading, a decline of 35% from the average session volume of 16,615,338 shares. The stock had previously closed at $175.63.

Trending Headlines about Qualcomm

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Qualcomm is benefiting from new Snapdragon launches that are expanding its AI, PC and smartphone opportunities, and recent reports say it has also signed AI-chip deals with three major hyperscalers, reinforcing its case as an emerging AI play.
• Positive Sentiment: Qualcomm’s partnership with Samsung to power the upcoming Galaxy lineup supports continued demand for its mobile chip business and could help sentiment into earnings.
• Neutral Sentiment: Investors are watching Qualcomm’s Q3 results closely after analysts highlighted that the stock looks partly attractive on earnings metrics but closer to fair value on cash flow, suggesting limited valuation upside unless results impress.
• Neutral Sentiment: Shares have also moved with the broader semiconductor group, which has been strong this year, helping offset some stock-specific caution ahead of Intel’s earnings and the sector’s next read-through.
• Negative Sentiment: Several previews warn that Qualcomm could post declining earnings and that competition, along with softer Android demand, remains a key risk for the report.
• Negative Sentiment: A separate industry analysis flagged Qualcomm as vulnerable to margin pressure if foundry and component costs rise, since smartphone customers are highly price-sensitive and less able to absorb higher chip costs.

Analysts Set New Price Targets

QCOM has been the topic of a number of recent analyst reports. Weiss Ratings reissued a “hold (c)” rating on shares of Qualcomm in a research note on Wednesday, June 24th. Lake Street Capital downgraded Qualcomm to a “hold” rating in a research report on Thursday, June 25th. Bank of America upped their target price on Qualcomm from $165.00 to $195.00 and gave the company an “underperform” rating in a research note on Tuesday, June 23rd. Daiwa Securities Group upgraded Qualcomm from a “neutral” rating to an “outperform” rating and set a $225.00 target price on the stock in a research report on Friday, May 8th. Finally, Summit Insights raised Qualcomm from a “hold” rating to a “buy” rating in a research note on Thursday, April 30th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, twenty-one have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $219.76.

Qualcomm Stock Performance

The company has a current ratio of 2.37, a quick ratio of 1.61 and a debt-to-equity ratio of 0.54. The company’s 50-day moving average is $204.79 and its two-hundred day moving average is $168.41. The stock has a market capitalization of $180.35 billion, a P/E ratio of 18.60, a P/E/G ratio of 5.16 and a beta of 1.63.

Qualcomm (NASDAQ:QCOM) last released its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share for the quarter, beating analysts’ consensus estimates of $2.56 by $0.09. The company had revenue of $10.60 billion for the quarter, compared to analysts’ expectations of $10.59 billion. Qualcomm had a return on equity of 42.11% and a net margin of 22.31%.The business’s revenue for the quarter was down 3.5% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.85 earnings per share. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, sell-side analysts anticipate that Qualcomm Incorporated will post 7.97 EPS for the current fiscal year.

Qualcomm Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be given a $0.92 dividend. This represents a $3.68 annualized dividend and a yield of 2.2%. The ex-dividend date is Thursday, September 3rd. Qualcomm’s dividend payout ratio (DPR) is currently 40.00%.

Insiders Place Their Bets

In related news, CEO Cristiano R. Amon sold 10,000 shares of the company’s stock in a transaction dated Monday, May 4th. The shares were 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 $35,562,240. This represents a 4.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Heather S. Ace sold 3,200 shares of the stock in a transaction dated Monday, May 4th. The shares were 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 owned 39,735 shares of the company’s stock, valued at $7,065,677.70. This represents a 7.45% decrease in their position. 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 21,721 shares of company stock worth $4,044,465 over the last 90 days. Insiders own 0.05% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in QCOM. Your Advocates Ltd. LLP bought a new stake in shares of Qualcomm in the 1st quarter worth $26,000. Richardson Financial Services Inc. lifted its position in shares of Qualcomm by 90.9% during the 4th quarter. Richardson Financial Services Inc. now owns 168 shares of the wireless technology company’s stock valued at $29,000 after acquiring an additional 80 shares during the last quarter. Torren Management LLC acquired a new stake in shares of Qualcomm during the 4th quarter valued at $29,000. Caitong International Asset Management Co. Ltd grew its holdings in shares of Qualcomm by 17,000.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 171 shares of the wireless technology company’s stock worth $29,000 after acquiring an additional 170 shares during the last quarter. Finally, Birchwood Financial Partners Inc. acquired a new position in shares of Qualcomm in the 4th quarter worth $31,000. 74.35% of the stock is currently owned by 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.