UBS Group has increased its target price for QUALCOMM (NASDAQ: QCOM) from $175.00 to $185.00, according to a research note published on Thursday. The investment firm maintains a neutral rating on the company, which specializes in wireless technology. This revision is part of a broader analysis, as several other financial institutions have also assessed QUALCOMM’s stock.
Rosenblatt Securities reaffirmed a “buy” rating for QUALCOMM, setting a price target of $225.00. Meanwhile, Piper Sandler upgraded its target from $175.00 to $200.00 and issued an “overweight” rating. Bank of America also raised its target price from $200.00 to $215.00, affirming a “buy” rating. Conversely, Wall Street Zen downgraded the stock from a “buy” to a “hold” rating earlier this month. Similarly, Citigroup adjusted its price target from $170.00 to $175.00, maintaining a neutral stance.
Analysts have varied opinions on QUALCOMM’s performance; one analyst has given a Strong Buy rating, fourteen have issued Buy ratings, eight have assigned a Hold rating, and one has issued a Sell rating. Data from MarketBeat.com indicates that QUALCOMM has a consensus rating of “Moderate Buy” with an average price target of $190.38.
QUALCOMM’s Financial Performance and Dividend Announcement
QUALCOMM recently disclosed its quarterly earnings results, reporting earnings per share (EPS) of $3.00 for the quarter ending November 5, 2023. This figure surpassed analysts’ expectations of $2.87 by $0.13. The company generated revenues of $11.27 billion, exceeding forecasts of $10.74 billion. The net margin stood at 26.77%, with a return on equity of 40.35%. Year-over-year, the revenue increased by 10.0%, compared to the same quarter last year when the EPS was $2.69. For Q1 2026, QUALCOMM has guided for an EPS in the range of $3.30 to $3.50.
Additionally, QUALCOMM has announced a quarterly dividend of $0.89, set to be paid on December 18, 2023. Shareholders of record on December 4, 2023 will receive the dividend, which indicates an annualized payout of $3.56 and a yield of 2.1%. The company’s dividend payout ratio is 34.33%.
Insider Trading and Institutional Investment Trends
In recent insider trading activities, QUALCOMM CEO Cristiano R. Amon sold 150,000 shares on October 1, 2023, at an average price of $165.56, totaling approximately $24.8 million. Post-sale, Amon retains 149,304 shares valued at around $24.7 million. This transaction represents a significant decrease of 50.12% in his holdings. The details of the sale have been documented in filings with the Securities and Exchange Commission (SEC).
Additionally, CAO Neil Martin sold 791 shares on August 21, 2023, at an average price of $154.82, amounting to $122,462.62. Following this, Martin’s remaining holdings amounted to 1,106 shares, valued at approximately $171,230.92. In total, insiders have sold 163,169 shares valued at around $27 million over the past three months, while insiders currently hold 0.08% of the company’s stock.
Institutional investors have also been active, with Brighton Jones LLC increasing its stake in QUALCOMM by 116.6% during the fourth quarter, now owning 17,356 shares valued at approximately $2.7 million. Revolve Wealth Partners LLC increased its position by 15.4%, acquiring 2,542 shares worth $391,000. Other notable changes include Cornerstone Planning Group LLC increasing its holdings by 34.1%, and Moloney Securities Asset Management LLC boosting its stake by 3.9%. Currently, institutional investors hold 74.35% of QUALCOMM’s stock.
QUALCOMM continues to establish itself as a leader in the wireless technology industry, engaging in the development and commercialization of foundational technologies globally. The company operates through three segments: Qualcomm CDMA Technologies (QCT), Qualcomm Technology Licensing (QTL), and Qualcomm Strategic Initiatives (QSI), focusing on integrated circuits and system software for wireless communications and data services.
