Qualcomm (NASDAQ:QCOM) Stock Price Crosses Above 200 Day Moving Average – Should You Sell?

Shares of Qualcomm Incorporated (NASDAQ:QCOM) crossed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $169.48 and traded as high as $174.00. Qualcomm shares last traded at $173.19, with a volume of 22,074,638 shares traded.

Qualcomm News Roundup

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Qualcomm’s fiscal Q4 revenue of $10.44 billion and non-GAAP EPS of $2.17 edged past estimates. Automotive growth and the company’s data-center ambitions offer potential sources of diversification. Article: Is Qualcomm Stock Worth Buying After Mixed Q4 Results?
• Positive Sentiment: A broader market recovery helped lift shares after Thursday’s sharp sell-off, as investors reassessed fears that election-related policy changes could slow data-center investment. Article: Tech executives react to post-midterm AI sell-off
• Positive Sentiment: Alphabet disclosed a $548 million Qualcomm stake, a potentially supportive signal of institutional investor interest. Article: Alphabet discloses Qualcomm stake
• Positive Sentiment: Qualcomm is also set to provide chips and software for SpaceX’s planned terrestrial mobile network, adding a potential opportunity beyond its traditional handset market. Article: SpaceX Qualcomm 5G deal
• Neutral Sentiment: EVP Ann Chaplin sold 1,501 shares under a pre-arranged Rule 10b5-1 plan and retained 27,271 shares; the planned sale may carry limited signaling weight. SEC filing
• Negative Sentiment: Despite the beat, year-over-year revenue and earnings declined, and weak profit guidance, handset softness and rising component costs are weighing on expectations. Analysts have also cut price targets, while concerns about data-center investment and margins remain. Article: Qualcomm beat earnings, but its fastest-growing businesses have a catch

Wall Street Analyst Weigh In

Several analysts recently weighed in on the company. Evercore set a $159.00 price objective on Qualcomm in a report on Thursday, July 30th. Cantor Fitzgerald reduced their target price on Qualcomm from $200.00 to $165.00 and set a “neutral” rating on the stock in a report on Monday, July 27th. UBS Group decreased their target price on Qualcomm from $185.00 to $180.00 and set a “neutral” rating for the company in a research report on Thursday. JPMorgan Chase & Co. lowered their price target on Qualcomm from $215.00 to $200.00 and set a “neutral” rating for the company in a report on Thursday. Finally, Piper Sandler reiterated a “neutral” rating on shares of Qualcomm in a report on Thursday. Three research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, twenty-one have given a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $197.55.

Qualcomm Stock Up 5.5%

The company has a debt-to-equity ratio of 0.46, a current ratio of 2.02 and a quick ratio of 1.28. The stock’s fifty day simple moving average is $178.11 and its 200-day simple moving average is $169.52. The stock has a market cap of $176.63 billion, a P/E ratio of 18.33, a PEG ratio of 3.65 and a beta of 1.70.

Qualcomm (NASDAQ:QCOM) last announced its quarterly earnings results on Wednesday, November 4th. The wireless technology company reported $2.17 earnings per share for the quarter, topping analysts’ consensus estimates of $2.16 by $0.01. Qualcomm had a return on equity of 38.36% and a net margin of 21.01%. The business had revenue of $10.44 billion for the quarter, compared to analysts’ expectations of $10.12 billion. During the same period in the prior year, the firm earned $3.00 EPS. The business’s quarterly revenue was down 8.4% on a year-over-year basis. On average, research analysts anticipate that Qualcomm Incorporated will post 7.16 earnings per share for the current year.

Qualcomm Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 17th. Shareholders of record on Thursday, December 3rd will be paid a $0.92 dividend. The ex-dividend date is Thursday, December 3rd. This represents a $3.68 annualized dividend and a dividend yield of 2.2%. Qualcomm’s dividend payout ratio (DPR) is presently 28.98%.

Insiders Place Their Bets

In related news, CAO Patricia Y. Grech sold 208 shares of the firm’s stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $170.00, for a total value of $35,360.00. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Cristiano R. Amon sold 10,000 shares of the firm’s stock in a transaction that occurred on Friday, September 25th. The shares were sold at an average price of $200.00, for a total value of $2,000,000.00. Following the completion of the sale, the chief executive officer owned 177,568 shares in the company, valued at approximately $35,513,600. This represents a 5.33% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 31,820 shares of company stock worth $5,980,217. 0.05% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the business. Compass Capital Management Inc. boosted its position in shares of Qualcomm by 12.1% during the third quarter. Compass Capital Management Inc. now owns 300,803 shares of the wireless technology company’s stock valued at $55,360,000 after buying an additional 32,482 shares during the period. Valmark Advisers Inc. raised its holdings in shares of Qualcomm by 4.1% in the third quarter. Valmark Advisers Inc. now owns 3,414 shares of the wireless technology company’s stock worth $628,000 after buying an additional 134 shares during the period. Money Concepts Capital Corp raised its holdings in shares of Qualcomm by 109.0% in the third quarter. Money Concepts Capital Corp now owns 5,828 shares of the wireless technology company’s stock worth $1,073,000 after buying an additional 3,040 shares during the period. Allworth Financial LP lifted its stake in shares of Qualcomm by 44.2% during the 3rd quarter. Allworth Financial LP now owns 164,374 shares of the wireless technology company’s stock worth $30,375,000 after acquiring an additional 50,382 shares during the last quarter. Finally, SVB Wealth LLC lifted its stake in shares of Qualcomm by 63.9% during the 3rd quarter. SVB Wealth LLC now owns 13,396 shares of the wireless technology company’s stock worth $2,465,000 after acquiring an additional 5,221 shares during the last quarter. Institutional investors own 74.35% of the company’s stock.

Qualcomm Company Profile

Qualcomm Incorporated is a technology company that develops wireless communications technologies and semiconductor products. Its chips and related systems are used in smartphones and other connected devices, with products spanning mobile processors, modem-radio frequency systems, and connectivity solutions. The Snapdragon brand includes platforms for mobile devices as well as computing, automotive, and extended-reality applications.

Qualcomm also develops technology for automotive systems and the Internet of Things, including connectivity and processing solutions for vehicles, industrial equipment, and consumer devices.