Qualcomm (NASDAQ:QCOM) Trading 3.8% Higher – Should You Buy?

Shares of Qualcomm Incorporated (NASDAQ:QCOM) were up 3.8% on Monday . The company traded as high as $171.38 and last traded at $170.48. Approximately 11,286,676 shares were traded during mid-day trading, a decline of 28% from the average session volume of 15,728,395 shares. The stock had previously closed at $164.19.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the company. Lake Street Capital cut Qualcomm to a “hold” rating in a research report on Thursday, June 25th. Zacks Research raised Qualcomm from a “strong sell” rating to a “hold” rating in a report on Monday, May 4th. Morgan Stanley dropped their price target on Qualcomm from $231.00 to $220.00 and set an “equal weight” rating for the company in a research note on Thursday, July 30th. Citigroup lowered their target price on shares of Qualcomm from $198.00 to $175.00 and set a “neutral” rating on the stock in a report on Wednesday, July 29th. Finally, Oppenheimer set a $200.00 price target on shares of Qualcomm in a report on Monday, July 27th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, twenty have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $203.76.

Qualcomm Stock Up 3.8%

The company has a quick ratio of 1.28, a current ratio of 2.02 and a debt-to-equity ratio of 0.46. The company has a 50 day simple moving average of $172.49 and a two-hundred day simple moving average of $168.85. The company has a market capitalization of $179.04 billion, a P/E ratio of 19.73, a PEG ratio of 15.16 and a beta of 1.65.

Qualcomm (NASDAQ:QCOM) last posted its quarterly earnings data on Wednesday, July 29th. The wireless technology company reported $2.21 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.23 by ($0.02). The company had revenue of $9.95 billion during the quarter, compared to the consensus estimate of $9.69 billion. Qualcomm had a net margin of 21.01% and a return on equity of 38.36%. Qualcomm’s revenue for the quarter was down 4.0% on a year-over-year basis. During the same period in the previous year, the business earned $2.77 earnings per share. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. As a group, equities analysts predict that Qualcomm Incorporated will post 7.74 EPS for the current year.

Qualcomm Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Shareholders of record on Thursday, September 3rd will be paid a dividend of $0.92 per share. This represents a $3.68 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Thursday, September 3rd. Qualcomm’s payout ratio is presently 42.59%.

Insider Buying and Selling at Qualcomm

In other Qualcomm news, EVP Akash J. Palkhiwala sold 2,500 shares of the business’s stock in a transaction on Tuesday, July 14th. The shares were sold at an average price of $180.81, for a total transaction of $452,025.00. Following the transaction, the executive vice president owned 23,184 shares in the company, valued at $4,191,899.04. The trade was a 9.73% decrease in their ownership of the stock. The transaction was disclosed in a legal 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, August 3rd. The stock was sold at an average price of $147.04, for a total transaction of $470,528.00. Following the completion of the sale, the executive vice president owned 36,535 shares of the company’s stock, valued at $5,372,106.40. This trade represents a 8.05% 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. Insiders have sold 11,325 shares of company stock worth $1,925,859 over the last quarter. Insiders own 0.05% of the company’s stock.

Institutional Trading of Qualcomm

Several institutional investors have recently added to or reduced their stakes in QCOM. Caitong International Asset Management Co. Ltd grew its stake in shares of 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 valued at $29,000 after buying an additional 170 shares during the last quarter. Birchwood Financial Partners Inc. bought a new stake in shares of Qualcomm during the 4th quarter worth approximately $31,000. ABS Investment Management LLC bought a new stake in shares of Qualcomm during the 2nd quarter worth approximately $34,000. Commonwealth Retirement Investments LLC purchased a new position in Qualcomm during the 4th quarter valued at $32,000. Finally, Your Advocates Ltd. LLP purchased a new position in Qualcomm during the 1st quarter valued at $26,000. Institutional investors own 74.35% of the company’s stock.

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.