Breaking Down Qualcomm: 5 Analysts Share Their Views

During the last three months, 5 analysts shared their evaluations of Qualcomm QCOM, revealing diverse outlooks from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $196.0, a high estimate of $230.00, and a low estimate of $160.00. This current average has decreased by 11.31% from the previous average price target of $221.00.

Deciphering Analyst Ratings: An In-Depth Analysis

The perception of Qualcomm by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Qualcomm. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Qualcomm compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Qualcomm's stock. This comparison reveals trends in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Qualcomm's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Qualcomm analyst ratings.

Unveiling the Story Behind Qualcomm

Qualcomm develops and licenses wireless technology and designs chips for smartphones. The company's key patents revolve around CDMA and OFDMA technologies, which are standards in wireless communications that are the backbone of all 3G, 4G, and 5G networks. Qualcomm's IP is licensed by virtually all wireless device makers. The firm is also the world's largest wireless chip vendor, supplying nearly every premier handset maker with leading-edge processors. Qualcomm also sells RF-front end modules into smartphones, as well as chips into automotive and Internet of Things markets.

Unraveling the Financial Story of Qualcomm

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Qualcomm's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 11.15% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Qualcomm's net margin is impressive, surpassing industry averages. With a net margin of 22.67%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Qualcomm's ROE excels beyond industry benchmarks, reaching 8.67%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Qualcomm's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 4.02%, the company showcases efficient use of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 0.59, caution is advised due to increased financial risk.

The Core of Analyst Ratings: What Every Investor Should Know

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.