Qualcomm (NASDAQ:QCOM) Trading Down 3.2% – Should You Sell?

Qualcomm Incorporated (NASDAQ:QCOM) traded down 3.2% during trading on Tuesday . The company traded as low as $177.45 and last traded at $178.10. 12,781,957 shares traded hands during trading, a decline of 24% from the average daily volume of 16,838,730 shares. The stock had previously closed at $183.98.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on QCOM. TD Cowen boosted their price objective on Qualcomm from $200.00 to $225.00 and gave the stock a “buy” rating in a research note on Monday. Oppenheimer lowered shares of Qualcomm from a “market perform” rating to a “market perform” rating in a research note on Friday, May 8th. Freedom Capital cut shares of Qualcomm from a “strong-buy” rating to a “hold” rating in a report on Wednesday, May 13th. Raymond James Financial started coverage on shares of Qualcomm in a research report on Thursday, June 25th. They issued a “strong-buy” rating on the stock. Finally, Guggenheim set a $200.00 price target on Qualcomm in a report on Monday, June 22nd. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, twenty have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Qualcomm currently has a consensus rating of “Hold” and a consensus target price of $221.31.

Qualcomm Stock Down 3.2%

The firm has a 50-day moving average of $209.68 and a two-hundred day moving average of $168.38. The stock has a market capitalization of $187.72 billion, a price-to-earnings ratio of 19.36, a price-to-earnings-growth ratio of 5.63 and a beta of 1.63. 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 earnings results on Wednesday, April 29th. The wireless technology company reported $2.65 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.56 by $0.09. The company had revenue of $10.60 billion during the quarter, compared to analyst estimates of $10.59 billion. Qualcomm had a net margin of 22.31% and a return on equity of 42.11%. The company’s revenue for the quarter was down 3.5% on a year-over-year basis. During the same quarter last year, the business posted $2.85 EPS. Qualcomm has set its Q3 2026 guidance at 2.100-2.300 EPS. As a group, sell-side analysts anticipate that Qualcomm Incorporated will post 7.96 earnings per share for the current year.

Qualcomm announced that its board has initiated a stock repurchase program on Tuesday, March 17th that authorizes the company to buyback $20.00 billion in shares. This buyback authorization authorizes the wireless technology company to buy up to 14.5% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board believes its stock is undervalued.

Insider Buying and Selling

In other Qualcomm news, EVP Heather S. Ace sold 3,200 shares of Qualcomm stock in a transaction that occurred 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 transaction, the executive vice president directly owned 39,735 shares of the company’s stock, valued at $7,065,677.70. The trade was a 7.45% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Cristiano R. Amon sold 10,000 shares of the company’s stock in a transaction on Monday, May 4th. The shares were sold at an average price of $180.00, for a total transaction of $1,800,000.00. Following the transaction, 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 SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 19,221 shares of company stock worth $3,592,440. 0.05% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Qualcomm

A number of institutional investors have recently bought and sold shares of QCOM. JFS Wealth Advisors LLC raised its stake in shares of Qualcomm by 3.4% in the second quarter. JFS Wealth Advisors LLC now owns 1,595 shares of the wireless technology company’s stock valued at $295,000 after acquiring an additional 53 shares during the last quarter. Wall Street Financial Group Inc. grew its position in Qualcomm by 1.9% during the 2nd quarter. Wall Street Financial Group Inc. now owns 3,050 shares of the wireless technology company’s stock worth $564,000 after acquiring an additional 57 shares during the last quarter. Basepoint Wealth LLC grew its position in Qualcomm by 1.8% during the 1st quarter. Basepoint Wealth LLC now owns 3,333 shares of the wireless technology company’s stock worth $429,000 after acquiring an additional 59 shares during the last quarter. Arkfeld Wealth Strategies L.L.C. increased its holdings in Qualcomm by 1.9% during the 2nd quarter. Arkfeld Wealth Strategies L.L.C. now owns 3,274 shares of the wireless technology company’s stock valued at $611,000 after purchasing an additional 62 shares in the last quarter. Finally, Baker Tilly Wealth Management LLC increased its holdings in Qualcomm by 1.0% during the 4th quarter. Baker Tilly Wealth Management LLC now owns 6,401 shares of the wireless technology company’s stock valued at $1,095,000 after purchasing an additional 64 shares in the last quarter. Institutional investors and hedge funds 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.