From Nasdaq: 2024-11-07 20:28:52

The stock of Qualcomm (NASDAQ: QCOM) rose by 6% in after-hours trading following better-than-expected Q4 FY’24 results. Revenue increased by 9% to $33.19 billion, with earnings per share at $2.59, up from $1.23 the previous year. The smartphone market’s recovery and a wave of flagship launches by Chinese brands are driving Qualcomm’s success.
The HQ Portfolio, with 30 stocks, outperformed the S&P 500 annually. Qualcomm’s stock returns were volatile, with 22% in 2021, -39% in 2022, and 35% in 2023. Understanding the risks and upside factors is crucial for investors to make informed decisions about Qualcomm stock.
Apple’s potential development of in-house modem chips poses a significant risk to Qualcomm’s revenue and margins. China’s strong demand for premium devices and Qualcomm’s exposure to the Chinese market could be affected by escalating trade tensions. Legal disputes with Arm and opportunities in the smartphone and automotive markets present both risks and growth prospects for Qualcomm. Qualcomm is experiencing increased demand for AI-optimized chipsets in smartphones and expanding into the PC market with AI-enabled computers using Snapdragon processors. The company has 58 platforms featuring these new chips. Its Internet of Things segment, including PC chips, reported $1.68 billion in revenue, up 22% from last year.

Qualcomm’s returns as of November 2024 show a 13% MTD return, 29% YTD return, and a 251% total return since 2017. In comparison, the S&P 500 had a 1% MTD return, 21% YTD return, and 158% total return. Trefis Reinforced Value Portfolio had a 6% MTD return, 22% YTD return, and an impressive 805% total return since 2016.

Invest with Trefis Market Beating Portfolios for potential gains. Check out Trefis Price Estimates for more insights. Remember, the views and opinions expressed are of the author and may not reflect those of Nasdaq, Inc.



Read more at Nasdaq: Qualcomm’s Risks And Opportunities | Nasdaq