Qualcomm (NASDAQ:QCOM) Shares Up 3.2% – Still a Buy?

Shares of Qualcomm Incorporated (NASDAQ:QCOM) rose 3.2% during mid-day trading on Tuesday . The company traded as high as $183.49 and last traded at $174.09. Approximately 25,594,306 shares traded hands during mid-day trading, an increase of 64% from the average session volume of 15,593,834 shares. The stock had previously closed at $168.74.

Key Qualcomm News

Here are the key news stories impacting Qualcomm this week:

• Positive Sentiment: Amazon partnership strengthens Qualcomm’s AI credentials. Qualcomm and Amazon Web Services announced a multi-generation collaboration to develop customized chips for large-scale AI data centers, initially focused on AI inference. Qualcomm will also provide optical-connectivity solutions for high-bandwidth data-center networks. The agreement gives Qualcomm a marquee customer and a potential foothold in the rapidly growing AWS AI infrastructure market. Qualcomm partners with Amazon in data center infrastructure deal
• Positive Sentiment: Investors see a potentially significant new revenue opportunity. Reports described the arrangement as a roughly $60 billion, multi-generation AI-chip opportunity, while market commentary suggested the deal could help establish a new valuation floor for QCOM by diversifying its growth away from smartphones. QCOM Stock Jumps After Amazon Inks $60B Multi-Generation AI Chip Deal
• Positive Sentiment: The announcement supports Qualcomm’s broader data-center strategy. Analyst and media coverage has highlighted the possibility that Qualcomm’s data-center revenue could reach approximately $15 billion within three years, although that outlook depends on successful product execution and customer adoption. Qualcomm: Data Center Revenue To Reach $15 Billion In 3 Years
• Neutral Sentiment: At the Goldman Sachs Communacopia + Technology Conference, Qualcomm presented its latest business outlook and technology strategy. The conference appearance adds visibility but does not appear to have been the primary catalyst compared with the Amazon announcement. Qualcomm Presents at Goldman Sachs Communacopia + Technology Conference 2026
• Negative Sentiment: The deal includes potential shareholder dilution. Amazon reportedly received a warrant to purchase about 25 million Qualcomm shares, valued at roughly $4 billion at the reported prices. While the warrant aligns Amazon’s interests with Qualcomm’s success, exercising it would increase the share count and dilute existing investors. Qualcomm Stock Surges on Amazon AI Deal and 25 Million Share Warrant

Wall Street Analyst Weigh In

QCOM has been the topic of a number of analyst reports. DZ Bank raised Qualcomm from a “hold” rating to a “buy” rating and set a $265.00 price target on the stock in a research note on Friday, June 26th. Freedom Capital raised Qualcomm from a “hold” rating to a “strong-buy” rating in a report on Friday, August 7th. Sanford C. Bernstein set a $165.00 target price on Qualcomm in a report on Thursday, July 30th. Mizuho upped their target price on shares of Qualcomm from $170.00 to $210.00 and gave the company a “neutral” rating in a research report on Monday, June 29th. Finally, Bank of America boosted their price target on Qualcomm from $165.00 to $195.00 and gave the company an “underperform” rating in a report on Tuesday, June 23rd. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, twenty have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, Qualcomm currently has a consensus rating of “Hold” and a consensus target price of $203.76.

Qualcomm Stock Up 3.2%

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 firm has a market capitalization of $182.83 billion, a P/E ratio of 20.15, a price-to-earnings-growth ratio of 3.52 and a beta of 1.68. The stock has a fifty day moving average of $168.65 and a 200 day moving average of $170.04.

Qualcomm (NASDAQ:QCOM) last posted its earnings results 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). The business had revenue of $9.95 billion for the quarter, compared to analysts’ expectations of $9.69 billion. Qualcomm had a return on equity of 38.36% and a net margin of 21.01%.Qualcomm’s quarterly revenue was down 4.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.77 earnings per share. Qualcomm has set its Q4 2026 guidance at 2.050-2.250 EPS. On average, research analysts anticipate that Qualcomm Incorporated will post 7.74 EPS for the current fiscal year.

Qualcomm Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be given 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 2.1%. Qualcomm’s dividend payout ratio (DPR) is 42.59%.

Insider Buying and Selling

In related news, CAO Patricia Y. Grech sold 625 shares of the company’s stock in a transaction on Friday, August 21st. The shares were sold at an average price of $162.85, for a total transaction of $101,781.25. Following the sale, the chief accounting officer owned 208 shares of the company’s stock, valued at $33,872.80. This represents a 75.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Akash J. Palkhiwala sold 2,500 shares of the company’s stock in a transaction dated Tuesday, July 14th. The shares were sold at an average price of $180.81, for a total transaction of $452,025.00. Following the transaction, the executive vice president owned 23,184 shares in the company, valued at $4,191,899.04. The trade was a 9.73% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 11,533 shares of company stock valued at $1,961,219. 0.05% of the stock is owned by insiders.

Institutional Investors Weigh In On Qualcomm

Institutional investors and hedge funds have recently made changes to their positions in the stock. California State Teachers Retirement System increased its stake in shares of Qualcomm by 18,251.8% in the second quarter. California State Teachers Retirement System now owns 301,278,659 shares of the wireless technology company’s stock worth $55,673,283,000 after purchasing an additional 299,636,973 shares during the period. BlackRock Inc. bought a new position in Qualcomm in the second quarter valued at approximately $17,583,115,000. Norges Bank bought a new position in shares of Qualcomm in the 4th quarter valued at about $2,591,056,000. Bank of New York Mellon Corp acquired a new stake in shares of Qualcomm in the second quarter valued at approximately $1,523,930,000. Finally, Deutsche Bank AG acquired a new position in shares of Qualcomm in the second quarter valued at approximately $1,178,349,000. 74.35% of the stock is currently owned by institutional investors and hedge funds.

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.