Qualcomm (NASDAQ:QCOM) Shares Up 3.2% – Still a Buy?

Qualcomm Incorporated (NASDAQ:QCOM)’s share price was up 3.2% during mid-day trading on Tuesday . The stock traded as high as $183.49 and last traded at $174.09. Approximately 25,594,306 shares changed hands during trading, an increase of 64% from the average daily volume of 15,593,834 shares. The stock had previously closed at $168.74.

More Qualcomm News

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Amazon AI partnership strengthens the growth story: Qualcomm announced a multiyear collaboration with Amazon Web Services to develop and supply custom data-center CPUs and optical networking products. The agreement includes approximately $4 billion in Qualcomm stock warrants for Amazon and potential purchases of up to $60 billion through 2036, giving investors greater confidence that Qualcomm can establish a meaningful hyperscaler business. Qualcomm’s Data Center Bet Looks More Real After Amazon’s AI Deal
• Positive Sentiment: Potential diversification beyond mobile: Qualcomm’s CFO said the company is targeting roughly $5 billion in data-center revenue, while analysts view Amazon’s commitment as validation of Qualcomm’s AI-chip technology. The deal could also improve Qualcomm’s visibility with other large cloud customers and support revenue growth expected to become more material from 2027 onward. Qualcomm up 3% on Amazon AI pact; CFO eyes $5B data center target
• Positive Sentiment: Analyst support adds momentum: Rosenblatt Securities reaffirmed its Buy rating and set a $235 price target, implying substantial upside from recent trading levels. Market commentators have also said the Amazon agreement gives the previously range-bound stock a more compelling catalyst, although execution milestones begin later this year. Rosenblatt reaffirms Qualcomm Buy rating
• Neutral Sentiment: Investors are comparing Qualcomm with other AI semiconductor plays: Coverage comparing QCOM with ASML highlights Qualcomm’s opportunity in AI chips and data centers, but also indicates that the company must prove it can convert partnerships into sustained sales and compete effectively in a market led by Nvidia. ASML vs. QCOM: Which Semiconductor Stock is the Better Buy Now?
• Negative Sentiment: Apple is increasing modem self-reliance: The iPhone 18 Pro reportedly uses Apple’s in-house C2 modem, signaling a gradual reduction in dependence on Qualcomm. The iPhone 18 Pro Max still appears to retain Qualcomm technology in some markets, limiting the immediate impact, but Apple’s longer-term insourcing remains a risk to Qualcomm’s smartphone modem revenue. iPhone 18 Pro Debuts C2 Modem

Wall Street Analyst Weigh In

Several analysts have recently weighed in on QCOM shares. Oppenheimer set a $200.00 target price on Qualcomm in a research note on Monday, July 27th. Lake Street Capital downgraded Qualcomm to a “hold” rating in a report on Thursday, June 25th. DZ Bank upgraded Qualcomm from a “hold” rating to a “buy” rating and set a $265.00 price objective for the company in a research note on Friday, June 26th. Robert W. Baird set a $400.00 price objective on Qualcomm in a report on Thursday, July 30th. Finally, 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 report on Tuesday, June 23rd. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, twenty-two have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Qualcomm presently has an average rating of “Hold” and an average price target of $204.10.

Qualcomm Stock Up 0.3%

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 firm has a market capitalization of $185.76 billion, a price-to-earnings ratio of 20.47, a P/E/G ratio of 3.63 and a beta of 1.68. The stock has a 50 day moving average of $168.32 and a 200 day moving average of $170.51.

Qualcomm (NASDAQ:QCOM) last announced 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). Qualcomm had a net margin of 21.01% and a return on equity of 38.36%. The firm had revenue of $9.95 billion for the quarter, compared to analyst estimates of $9.69 billion. During the same quarter in the previous year, the company earned $2.77 EPS. The company’s quarterly revenue was down 4.0% compared to the same quarter last year. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. As a group, analysts expect that Qualcomm Incorporated will post 7.74 earnings per share for the current fiscal year.

Qualcomm Dividend Announcement

The firm also recently announced 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. The ex-dividend date is Thursday, September 3rd. This represents a $3.68 annualized dividend and a yield of 2.1%. Qualcomm’s payout ratio is presently 42.59%.

Insiders Place Their Bets

In other news, CAO Patricia Grech sold 208 shares of the firm’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $170.00, for a total value of $35,360.00. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Heather Ace sold 3,200 shares of Qualcomm stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $147.04, for a total transaction of $470,528.00. Following the completion of the transaction, the executive vice president directly owned 36,535 shares of the company’s stock, valued at $5,372,106.40. This trade represents a 8.05% 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. Over the last three months, insiders have sold 9,033 shares of company stock valued at $1,467,844. Company insiders own 0.05% of the company’s stock.

Institutional Trading of Qualcomm

Several hedge funds have recently made changes to their positions in the stock. JFS Wealth Advisors LLC lifted its position in Qualcomm by 3.4% in the 2nd quarter. JFS Wealth Advisors LLC now owns 1,595 shares of the wireless technology company’s stock valued at $295,000 after purchasing an additional 53 shares during the last quarter. Wall Street Financial Group Inc. boosted its position in shares of Qualcomm by 1.9% during the second quarter. Wall Street Financial Group Inc. now owns 3,050 shares of the wireless technology company’s stock worth $564,000 after buying an additional 57 shares during the period. Sunbeam Capital Management LLC boosted its position in shares of Qualcomm by 3.7% during the second quarter. Sunbeam Capital Management LLC now owns 1,637 shares of the wireless technology company’s stock worth $303,000 after buying an additional 58 shares during the period. Basepoint Wealth LLC grew its holdings in Qualcomm by 1.8% in the 1st quarter. Basepoint Wealth LLC now owns 3,333 shares of the wireless technology company’s stock worth $429,000 after buying an additional 59 shares in the last quarter. Finally, Five Oceans Advisors increased its position in Qualcomm by 3.3% in the 2nd quarter. Five Oceans Advisors now owns 1,827 shares of the wireless technology company’s stock valued at $338,000 after acquiring an additional 59 shares during the period. Institutional investors own 74.35% of the company’s stock.

Qualcomm Company Profile

Qualcomm Incorporated (NASDAQ: QCOM) is a technology company that develops wireless communications technologies, semiconductors and related intellectual property. Headquartered in San Diego, California, the company serves customers and partners worldwide across the mobile, automotive, consumer electronics and industrial markets.

Through its Qualcomm CDMA Technologies (QCT) business, Qualcomm designs and supplies integrated circuits, system software and hardware platforms. Its products include Snapdragon mobile platforms, 5G and other wireless modems, radio-frequency components, connectivity solutions, processors and artificial intelligence technologies.