Qualcomm (NASDAQ:QCOM) Stock Price Down 6.2% – What’s Next?

Qualcomm Incorporated (NASDAQ:QCOM) shares traded down 6.2% during mid-day trading on Wednesday . The stock traded as low as $224.18 and last traded at $233.40. 25,519,986 shares were traded during mid-day trading, an increase of 62% from the average session volume of 15,742,618 shares. The stock had previously closed at $248.82.

Analysts Set New Price Targets

Several analysts have recently commented on the stock. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $160.00 price objective on shares of Qualcomm in a research report on Thursday, April 30th. Argus set a $220.00 target price on shares of Qualcomm in a research report on Friday, May 1st. Evercore set a $179.00 target price on shares of Qualcomm in a research note on Thursday, April 30th. BNP Paribas Exane cut shares of Qualcomm to a “neutral” rating in a report on Wednesday, April 29th. Finally, Zacks Research raised shares of Qualcomm from a “strong sell” rating to a “hold” rating in a research note on Monday, May 4th. Fourteen research analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and four have given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $181.79.

Qualcomm Stock Performance

The stock has a market cap of $256.43 billion, a P/E ratio of 26.44, a P/E/G ratio of 28.91 and a beta of 1.49. The company has a fifty day moving average price of $163.66 and a 200 day moving average price of $160.62. The company has a debt-to-equity ratio of 0.54, a current ratio of 2.37 and a quick ratio of 1.61.

Qualcomm (NASDAQ:QCOM) last issued its earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share for the quarter, topping analysts’ consensus estimates 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 analyst estimates of $10.59 billion. During the same period in the prior year, the firm earned $2.85 earnings per share. Qualcomm’s revenue for the quarter was down 3.5% on a year-over-year basis. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. On average, equities analysts expect that Qualcomm Incorporated will post 7.99 EPS for the current year.

Qualcomm Increases Dividend

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

Qualcomm declared that its Board of Directors has authorized a stock buyback plan 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 buy up to 14.5% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling

In other Qualcomm news, CAO Patricia Y. Grech sold 829 shares of the business’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $201.77, for a total transaction of $167,267.33. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through 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 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 directly owned 39,735 shares of the company’s stock, valued at approximately $7,065,677.70. This trade 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. Insiders have sold a total of 19,306 shares of company stock worth $3,435,583 over the last 90 days. Company insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Qualcomm

Several large investors have recently bought and sold shares of the stock. Your Advocates Ltd. LLP purchased a new position in Qualcomm during the first quarter worth about $26,000. Cloud Capital Management LLC purchased a new stake in Qualcomm in the 3rd quarter valued at about $27,000. 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 worth $29,000 after buying an additional 80 shares in the last quarter. Torren Management LLC purchased a new position in shares of Qualcomm in the 4th quarter worth approximately $29,000. Finally, Caitong International Asset Management Co. Ltd boosted its stake 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 buying an additional 170 shares during the last quarter. 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.