Qualcomm (NASDAQ:QCOM) Stock Price Down 3.4% – Here’s Why

Qualcomm Incorporated (NASDAQ:QCOM) shares fell 3.4% during mid-day trading on Monday . The stock traded as low as $162.08 and last traded at $162.17. 9,216,400 shares traded hands during mid-day trading, a decline of 44% from the average daily volume of 16,368,268 shares. The stock had previously closed at $167.86.

Analyst Upgrades and Downgrades

Several research firms have recently commented on QCOM. Lake Street Capital cut shares of Qualcomm to a “hold” rating in a research note on Thursday, June 25th. Wells Fargo & Company cut their price target on shares of Qualcomm from $265.00 to $170.00 and set an “equal weight” rating for the company in a report on Thursday, July 30th. Benchmark reduced their price objective on shares of Qualcomm from $300.00 to $270.00 and set a “buy” rating for the company in a research report on Monday, July 27th. Bank of America lifted their price objective on Qualcomm from $165.00 to $195.00 and gave the company an “underperform” rating in a report on Tuesday, June 23rd. Finally, Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and set a $160.00 target price on shares of Qualcomm in a research report on Thursday, April 30th. Two analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, twenty have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $203.63.

Qualcomm Price Performance

The stock’s fifty day moving average price is $187.02 and its 200-day moving average price is $167.64. 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 firm has a market cap of $171.30 billion, a PE ratio of 18.88, a P/E/G ratio of 14.92 and a beta of 1.65.

Qualcomm (NASDAQ:QCOM) last announced its quarterly earnings data 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). Qualcomm had a net margin of 21.01% and a return on equity of 38.36%. The company had revenue of $9.95 billion during the quarter, compared to analyst estimates of $9.69 billion. During the same quarter last year, the business earned $2.77 EPS. The firm’s revenue for the quarter was down 4.0% on a year-over-year basis. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. As a group, equities analysts forecast that Qualcomm Incorporated will post 7.76 EPS for the current fiscal year.

Qualcomm Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders 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 dividend yield of 2.3%. Qualcomm’s payout ratio is 42.59%.

Insider Buying and Selling

In related news, EVP Akash J. Palkhiwala sold 2,500 shares of the company’s stock in a transaction that occurred on Tuesday, July 14th. The stock was sold at an average price of $180.81, for a total value of $452,025.00. Following the sale, the executive vice president owned 23,184 shares in the company, valued at $4,191,899.04. This represents a 9.73% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Patricia Y. Grech sold 829 shares of the firm’s 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 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 9,029 shares of company stock worth $1,583,195 in the last quarter. Company insiders own 0.05% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in QCOM. Torren Management LLC purchased a new position in shares of Qualcomm during the 4th quarter worth $29,000. Caitong International Asset Management Co. Ltd grew its position 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 purchasing an additional 170 shares during the period. Birchwood Financial Partners Inc. purchased a new stake in shares of Qualcomm in the fourth quarter valued at $31,000. Commonwealth Retirement Investments LLC acquired a new position in Qualcomm in the fourth quarter valued at $32,000. Finally, Your Advocates Ltd. LLP acquired a new position in Qualcomm in the first quarter valued at $26,000. Institutional investors and hedge funds own 74.35% of the company’s stock.

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.