[The Motley Fool] QUALCOMM Inc (NASDAQ:QCOM)(TREND ANALYSIS) the largest mobile chipmaker in the world, faces tough competition in the smartphone and tablet markets. Lower margin rivals like are gaining ground in the lower-end market. Samsung (NASDAQOTH:SSNLF) also replaced Qualcomm’s processors and wireless modems with its own designs in its newest flagship devices, which forced Qualcomm to slash its full-year sales guidance by over $1 billion in April.
During the first nine months of 2015, Qualcomm’s chipmaking revenues slipped 2% annually as earnings before taxes fell 21%. That decline caused the stock to drop over 20% since the beginning of the year. To pull out of that dive, Qualcomm is diversifying its chipmaking business away from smartphones and tablets and into three new markets.
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QUALCOMM Inc (NASDAQ:QCOM) stock is currently trading 23.26% below its 52-week-high, 15.52% above its 52-week-low. The 1-year stock price history is in the range of $52.17 – $78.53. QUALCOMM Inc (QCOM) has a price to earnings ratio of 16.49 versus Technology sector average of 20.5. QCOM stock price has underperformed the Nasdaq by 27%. The Semiconductors Components company is currently valued at $94.69 billion and its share price closed the last trading session at $60.265. The stock has a 50-day moving average of $56.34 and a 200-day moving average of $62.76.
QUALCOMM Inc (QCOM) current short interest stands at 29.77 million shares. It has decreased by 5% from the same period of last month. Around 2% of the company’s shares, which are float, are short sold. With a 10-days average volume of 9.91 million shares, the number of days required to cover the short positions stand at 3.1 days.
The company is expected to announce this quarter earnings on November 04, at consensus estimate of $0.71. QUALCOMM Inc (QCOM) reported last quarter earnings on July 22. The Semiconductors Components company announced earnings per share of $0.86 against a consensus Street estimate of $0.78, beating the average estimate by $0.08. This corresponds to a decrease of $0.56 compared to the same quarter of the previous fiscal year.
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There are currently thirty-six analysts that cover QUALCOMM Inc stock. Of those thirty-six, twenty-two have a Buy rating, twelve have a Hold rating and two have a Sell rating. On a consensus basis this yields to an Overweight rating. The consensus target price stands at $68.78.
A recent analyst activity consisted of Barclays reiterating their Outperform stance on October 13. Barclays decreased price target from $77 to $68. This corresponds to a 12.83% upside from the last closing price. On the date of report, the stock closed at $57.51.
JP Morgan resumed their coverage on the stock with Neutral rating on September 8, and decreased their price target from $57.5 to $57.5. This corresponds to a 4.59% downside from the last closing price. On the date of report, the stock closed at $55.2.
Another research firm was Standpoint Research who upgraded their Hold rating to Buy on August 24. Standpoint Research fixed their price target at $72. This translates to a 19.47% upside from the last closing price. On the date of report, the stock closed at $54.82.
QUALCOMM, Inc .manufactures digital wireless communications equipment. The Company licenses its code division multiple access (CDMA) and orthogonal frequency division multiplexing access intellectual property to other companies, and produces CDMA-based integrated circuits; and produces equipment and software used to track workers and assets; and software for wireless content enablement.