Qualcomm (NASDAQ:QCOM) Trading Up 2.1% – Time to Buy?

Qualcomm Incorporated (NASDAQ:QCOM) shares rose 2.1% during mid-day trading on Tuesday . The company traded as high as $199.15 and last traded at $198.27. 11,445,104 shares traded hands during mid-day trading, a decline of 27% from the average daily volume of 15,723,769 shares. The stock had previously closed at $194.23.

Key Headlines Impacting Qualcomm

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Qualcomm launched the Snapdragon 8 Elite Gen 6 and Snapdragon 8 Elite Extreme Gen 6, 2-nanometer smartphone processors designed to run more agentic-AI workloads directly on devices. The chips could support premium pricing, faster on-device processing and greater adoption of AI-enabled smartphones. Qualcomm launches two new smartphone chips with emphasis on AI
• Positive Sentiment: The company is broadening its AI strategy beyond phones. Qualcomm agreed to acquire PickNik Robotics, whose MoveIt software could strengthen its Dragonwing robotics platform and create opportunities in industrial automation, logistics and physical AI. Qualcomm strengthens physical AI with PickNik Robotics
• Positive Sentiment: Qualcomm is also pursuing data-center growth through optical interconnect technology developed with Lumentum and Corning. Management said two custom data-center chip programs are expected to begin generating revenue in the December quarter, potentially diversifying sales away from smartphones. Qualcomm AI interconnect demonstration
• Neutral Sentiment: New Snapdragon Sound Elite Gen 2 technology targets AI-enabled wearables, while CEO Cristiano Amon highlighted automotive “digital computer” platforms and future robotics applications. These initiatives expand Qualcomm’s addressable markets, but their near-term financial contribution remains uncertain. Qualcomm Snapdragon Sound Elite Gen 2
• Neutral Sentiment: Investors remain cautious because Qualcomm trades near 23 times earnings after a strong recent rally, while the latest quarter showed revenue down 4% year over year and EPS slightly below consensus. A $0.92 quarterly dividend and substantial buyback authorization provide some downside support.
• Negative Sentiment: Smartphone demand is weakening as memory prices rise, and Apple’s gradual move toward in-house modem technology presents a longer-term risk to Qualcomm’s handset revenue. CEO Cristiano Amon’s sale of 10,000 shares for $1.95 million was made under a pre-arranged Rule 10b5-1 plan, limiting its significance but adding a modest negative signal. Qualcomm CEO stock sale filing

Analyst Upgrades and Downgrades

Several brokerages have issued reports on QCOM. Craig Hallum lowered Qualcomm from a “buy” rating to a “hold” rating in a research note on Thursday, June 25th. Sanford C. Bernstein reaffirmed a “market perform” rating on shares of Qualcomm in a report on Wednesday, September 9th. Morgan Stanley decreased their target price on shares of Qualcomm from $231.00 to $220.00 and set an “equal weight” rating on the stock in a research report on Thursday, July 30th. Wells Fargo & Company lowered their price target on shares of Qualcomm from $265.00 to $170.00 and set an “equal weight” rating for the company in a research note on Thursday, July 30th. Finally, Citigroup reduced their price objective on Qualcomm from $198.00 to $175.00 and set a “neutral” rating on the stock in a research note on Wednesday, July 29th. Two analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, twenty-one have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $204.10.

Qualcomm Trading Down 1.1%

The company has a debt-to-equity ratio of 0.46, a quick ratio of 1.28 and a current ratio of 2.02. The stock’s 50-day simple moving average is $169.10 and its 200-day simple moving average is $173.68. The firm has a market capitalization of $204.82 billion, a PE ratio of 22.57, a P/E/G ratio of 4.13 and a beta of 1.68.

Qualcomm (NASDAQ:QCOM) last posted its earnings results on Wednesday, July 29th. The wireless technology company reported $2.21 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 analysts’ expectations of $9.69 billion. Qualcomm had a return on equity of 38.36% and a net margin of 21.01%.The company’s revenue for the quarter was down 4.0% on a year-over-year basis. During the same period in the prior year, the business posted $2.77 earnings per share. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. As a group, sell-side analysts expect that Qualcomm Incorporated will post 7.74 EPS for the current fiscal 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 given a dividend of $0.92 per share. This represents a $3.68 annualized dividend and a yield of 1.9%. The ex-dividend date of this dividend is Thursday, September 3rd. Qualcomm’s payout ratio is presently 42.59%.

Insider Transactions at Qualcomm

In other Qualcomm news, CEO Cristiano Amon sold 10,000 shares of the company’s stock in a transaction that occurred on Monday, September 21st. The stock was sold at an average price of $195.00, for a total transaction of $1,950,000.00. Following the transaction, the chief executive officer owned 187,568 shares in the company, valued at approximately $36,575,760. This represents a 5.06% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Akash Palkhiwala sold 2,500 shares of the stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $182.85, for a total value of $457,125.00. Following the completion of the transaction, the executive vice president directly owned 18,184 shares of the company’s stock, valued at $3,324,944.40. This represents a 12.09% decrease in their position. 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 21,533 shares of company stock worth $3,874,969 over the last quarter. Insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Qualcomm

Several institutional investors and hedge funds have recently added to or reduced their stakes in QCOM. BlackRock Inc. bought a new stake in Qualcomm during the second quarter worth about $17,583,115,000. State Street Corp increased its stake in shares of Qualcomm by 1.3% during the second quarter. State Street Corp now owns 52,763,263 shares of the wireless technology company’s stock valued at $9,750,123,000 after purchasing an additional 671,537 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Qualcomm by 12.5% during the fourth quarter. Geode Capital Management LLC now owns 28,897,079 shares of the wireless technology company’s stock valued at $4,931,968,000 after purchasing an additional 3,221,924 shares during the last quarter. Van ECK Associates Corp boosted its position in shares of Qualcomm by 22.7% in the 2nd quarter. Van ECK Associates Corp now owns 17,202,619 shares of the wireless technology company’s stock worth $3,178,872,000 after purchasing an additional 3,179,720 shares in the last quarter. Finally, Norges Bank bought a new stake in shares of Qualcomm in the 4th quarter worth approximately $2,591,056,000. Hedge funds and other institutional investors own 74.35% of the company’s stock.

About Qualcomm

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.