What's Going On With Qualcomm Stock?

QUALCOMM Inc QCOM shares are trading lower Thursday after the company reported financial results and issued guidance below analyst estimates.

Qualcomm said fiscal fourth-quarter revenue increased 22% year-over-year to $11.39 billion, which beat average analyst estimates of $11.37 billion, according to Benzinga Pro. 

The company reported quarterly earnings of $3.13 per share, which was in line with average estimates.

"We are pleased to report another strong year, despite the macroeconomic challenges, as we continue to execute our strategy of transforming Qualcomm from a wireless communications company for the mobile industry to a connected processor company for the intelligent edge," said Cristiano Amon, president and CEO of Qualcomm.

"While our financial outlook is being temporarily impacted by elevated channel inventory, our diversification strategy and long-term opportunities remain unchanged."

Qualcomm expects fiscal first-quarter revenue to be between $9.2 billion and $10 billion versus average estimates of $12.02 billion. The company expects first-quarter adjusted earnings to be between $2.25 and $2.45 per share versus average estimates of $3.42 per share.

See Also: Qualcomm's Guidance 'Shockingly Bad' But Here's Why This Analyst Sees Himself As 'Buyer' Of The Stock

Analyst Assessment: Several analysts lowered price targets on the stock following the company's quarterly results.

• Keybanc analyst John Vinh maintained Qualcomm with an Overweight and lowered the price target from $170 to $150.
• Piper Sandler analyst Harsh Kumar maintained Qualcomm with an Overweight and lowered the price target from $185 to $145.
• Deutsche Bank analyst Ross Seymore maintained Qualcomm with a Buy and lowered the price target from $160 to $150.
• Morgan Stanley analyst Joseph Moore maintained Qualcomm with an Overweight and lowered the price target from $147 to $126.
• Wells Fargo analyst Gary Mobley maintained Qualcomm with an Equal-Weight and lowered the price target from $125 to $105.

QCOM Price Action: Qualcomm has a 52-week high of $193.58 and a 52-week low of $104.66.

The stock was down 7.24% at $104.35 at time of publication. 

Photo: courtesy of Qualcomm.