Qualcomm (NASDAQ:QCOM) Shares Down 2.2% – Here’s Why

Shares of Qualcomm Incorporated (NASDAQ:QCOM) traded down 2.2% on Monday . The stock traded as low as $161.45 and last traded at $162.18. 8,938,529 shares changed hands during trading, a decline of 44% from the average session volume of 16,076,278 shares. The stock had previously closed at $165.79.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on QCOM. BNP Paribas Exane cut Qualcomm to a “neutral” rating in a research note on Wednesday, April 29th. Susquehanna cut their target price on shares of Qualcomm from $190.00 to $160.00 and set a “neutral” rating for the company in a research report on Thursday, July 30th. Cantor Fitzgerald reduced their target price on shares of Qualcomm from $200.00 to $165.00 and set a “neutral” rating for the company in a research note on Monday, July 27th. DZ Bank raised shares of Qualcomm from a “hold” rating to a “buy” rating and set a $265.00 price target on the stock in a research report on Friday, June 26th. Finally, Zacks Research raised shares of Qualcomm from a “strong sell” rating to a “hold” rating in a research report on Monday, May 4th. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating, twenty have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $203.63.

Qualcomm Price Performance

The business has a fifty day moving average of $180.71 and a 200-day moving average of $167.93. The firm has a market cap of $168.24 billion, a PE ratio of 18.54, a PEG ratio of 15.25 and a beta of 1.65. The company has a current ratio of 2.02, a quick ratio of 1.28 and a debt-to-equity ratio of 0.46.

Qualcomm (NASDAQ:QCOM) last posted its earnings results on Wednesday, July 29th. The wireless technology company reported $2.21 earnings per share for the quarter, missing analysts’ consensus estimates of $2.23 by ($0.02). Qualcomm had a net margin of 21.01% and a return on equity of 38.36%. The company had revenue of $9.95 billion for the quarter, compared to analysts’ expectations of $9.69 billion. During the same period in the previous year, the firm earned $2.77 EPS. The firm’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, research analysts predict that Qualcomm Incorporated will post 7.76 earnings per share for the current year.

Qualcomm Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be paid a dividend of $0.92 per share. The ex-dividend date of this dividend is Thursday, September 3rd. This represents a $3.68 annualized dividend and a yield of 2.3%. Qualcomm’s payout ratio is currently 42.59%.

Insider Buying and Selling

In other Qualcomm news, CAO Patricia Y. Grech sold 829 shares of the stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $201.77, for a total value of $167,267.33. The transaction was disclosed in a legal filing with the SEC, which is available through 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 on 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 approximately $5,372,106.40. The trade was a 8.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 11,529 shares of company stock valued at $1,991,345. Company insiders own 0.05% of the company’s stock.

Hedge Funds Weigh In On Qualcomm

A number of institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. purchased a new stake in Qualcomm in the second quarter valued at approximately $17,583,115,000. Norges Bank bought a new position in shares of Qualcomm in the 4th quarter worth $2,591,056,000. Bank of New York Mellon Corp bought a new position in shares of Qualcomm in the 2nd quarter worth $1,523,930,000. Deutsche Bank AG purchased a new stake in shares of Qualcomm during the 2nd quarter valued at $1,178,349,000. Finally, Wellington Management Group LLP raised its position in shares of Qualcomm by 34.5% during the 4th quarter. Wellington Management Group LLP now owns 16,727,862 shares of the wireless technology company’s stock valued at $2,861,301,000 after buying an additional 4,290,622 shares in the last quarter. 74.35% of the stock is currently owned by institutional investors.

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.