Qualcomm (NASDAQ:QCOM) Shares Up 5.8% – Here’s Why

Qualcomm Incorporated (NASDAQ:QCOM)’s share price rose 5.8% during trading on Monday . The company traded as high as $188.67 and last traded at $186.48. Approximately 15,359,946 shares were traded during trading, a decline of 10% from the average daily volume of 17,090,570 shares. The stock had previously closed at $176.25.

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. Cantor Fitzgerald set a $220.00 target price on shares of Qualcomm and gave the stock a “neutral” rating in a research report on Thursday, June 25th. Roth Mkm initiated coverage on shares of Qualcomm in a research note on Friday, May 8th. They issued a “buy” rating for the company. Summit Insights upgraded shares of Qualcomm from a “hold” rating to a “buy” rating in a report on Thursday, April 30th. Craig Hallum cut Qualcomm from a “buy” rating to a “hold” rating in a research report on Thursday, June 25th. Finally, HSBC assumed coverage on Qualcomm in a report on Friday, May 8th. They set a “buy” rating on the stock. One investment analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, twenty have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $220.45.

Qualcomm Price Performance

The company has a quick ratio of 1.61, a current ratio of 2.37 and a debt-to-equity ratio of 0.54. The firm has a market capitalization of $196.55 billion, a PE ratio of 20.27, a PEG ratio of 5.24 and a beta of 1.63. The firm’s fifty day simple moving average is $205.65 and its 200-day simple moving average is $167.87.

Qualcomm (NASDAQ:QCOM) last posted its quarterly earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 EPS for the quarter, beating analysts’ consensus estimates of $2.56 by $0.09. The firm had revenue of $10.60 billion for the quarter, compared to analysts’ expectations of $10.59 billion. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. The business’s revenue for the quarter was down 3.5% on a year-over-year basis. During the same quarter in the prior year, the company posted $2.85 earnings per share. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. On average, research analysts forecast that Qualcomm Incorporated will post 7.96 earnings per share for the current fiscal year.

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

Insiders Place Their Bets

In other news, CEO Cristiano R. Amon sold 10,000 shares of the company’s stock in a transaction on Monday, May 4th. The stock was sold at an average price of $180.00, for a total transaction of $1,800,000.00. Following the transaction, the chief executive officer directly 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 sale 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 on Monday, May 4th. The shares were sold at an average price of $177.82, for a total value of $569,024.00. Following the sale, the executive vice president directly owned 39,735 shares in the company, valued at $7,065,677.70. This trade represents a 7.45% decrease in their ownership of the stock. 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 a total of 21,721 shares of company stock worth $3,918,290 in the last 90 days. 0.05% of the stock is currently owned by company insiders.

Institutional Trading of Qualcomm

A number of institutional investors have recently made changes to their positions in the stock. World Investment Advisors increased its holdings in Qualcomm by 14.3% in the 4th quarter. World Investment Advisors now owns 64,911 shares of the wireless technology company’s stock worth $11,103,000 after acquiring an additional 8,130 shares in the last quarter. MUFG Securities EMEA plc boosted its position in shares of Qualcomm by 112.2% in the fourth quarter. MUFG Securities EMEA plc now owns 43,986 shares of the wireless technology company’s stock worth $7,524,000 after purchasing an additional 23,262 shares during the period. Swedbank AB increased its stake in shares of Qualcomm by 1.5% in the fourth quarter. Swedbank AB now owns 1,533,420 shares of the wireless technology company’s stock worth $262,291,000 after purchasing an additional 23,110 shares in the last quarter. NBC Securities Inc. raised its position in shares of Qualcomm by 47.5% during the 4th quarter. NBC Securities Inc. now owns 18,691 shares of the wireless technology company’s stock valued at $3,197,000 after purchasing an additional 6,018 shares during the period. Finally, Sequoia Financial Advisors LLC raised its position in shares of Qualcomm by 5.7% during the 4th quarter. Sequoia Financial Advisors LLC now owns 143,690 shares of the wireless technology company’s stock valued at $24,578,000 after purchasing an additional 7,804 shares during the period. Hedge funds and other 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.