Qualcomm (NASDAQ:QCOM) Shares Down 1.9% – What’s Next?

Shares of Qualcomm Incorporated (NASDAQ:QCOM) traded down 1.9% during mid-day trading on Monday . The stock traded as low as $215.50 and last traded at $221.90. Approximately 18,013,839 shares were traded during mid-day trading, an increase of 9% from the average daily volume of 16,505,436 shares. The stock had previously closed at $226.11.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on QCOM shares. Melius Research set a $220.00 target price on Qualcomm in a report on Monday, May 18th. Daiwa Securities Group raised Qualcomm from a “neutral” rating to an “outperform” rating and set a $225.00 price objective on the stock in a report on Friday, May 8th. Robert W. Baird set a $300.00 price objective on Qualcomm in a research note on Friday, May 1st. Citigroup boosted their target price on Qualcomm from $140.00 to $160.00 and gave the stock a “neutral” rating in a report on Thursday, April 30th. Finally, Morgan Stanley initiated coverage on Qualcomm in a research report on Friday, May 8th. They set an “overweight” rating for the company. Fifteen analysts have rated the stock with a Buy rating, sixteen have given a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, Qualcomm presently has a consensus rating of “Hold” and a consensus price target of $190.17.

Qualcomm Price Performance

The firm has a market cap of $233.88 billion, a P/E ratio of 24.12, a price-to-earnings-growth ratio of 28.09 and a beta of 1.59. The stock’s 50-day moving average is $193.81 and its 200-day moving average is $166.76. The company has a quick ratio of 1.61, a current ratio of 2.37 and a debt-to-equity ratio of 0.54.

Qualcomm (NASDAQ:QCOM) last issued 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. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. The firm had revenue of $10.60 billion during the quarter, compared to the consensus estimate of $10.59 billion. During the same period in the prior year, the firm earned $2.85 EPS. The business’s revenue was down 3.5% on a year-over-year basis. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, equities analysts anticipate that Qualcomm Incorporated will post 7.97 EPS for the current fiscal year.

Qualcomm Increases Dividend

The business 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 dividend of $0.92 per share. This is an increase from Qualcomm’s previous quarterly dividend of $0.89. This represents a $3.68 annualized dividend and a yield of 1.7%. The ex-dividend date is Thursday, June 4th. Qualcomm’s dividend payout ratio is currently 40.00%.

Qualcomm declared that its Board of Directors has initiated a stock repurchase plan on Tuesday, March 17th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the wireless technology company to purchase up to 14.5% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s leadership believes its stock is undervalued.

Insiders Place Their Bets

In other news, EVP Heather S. Ace sold 3,200 shares of Qualcomm stock in a transaction 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 position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Cristiano R. Amon sold 10,000 shares of Qualcomm stock in a transaction dated Monday, May 4th. The stock was 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 approximately $35,562,240. The trade was a 4.82% 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 have sold a total of 21,806 shares of company stock worth $3,928,958 over the last ninety days. Company insiders own 0.05% of the company’s stock.

Institutional Trading of Qualcomm

Hedge funds have recently modified their holdings of the company. Your Advocates Ltd. LLP acquired a new stake in Qualcomm during the 1st quarter worth $26,000. Richardson Financial Services Inc. lifted its position in 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 acquired a new position in Qualcomm during the fourth quarter valued at approximately $29,000. Caitong International Asset Management Co. Ltd grew its stake in shares of Qualcomm by 17,000.0% in 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 in the last quarter. Finally, Birchwood Financial Partners Inc. acquired a new position in shares of Qualcomm during the 4th quarter worth about $31,000. 74.35% of the stock is currently owned by institutional investors and hedge funds.

Qualcomm Company Profile

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.