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Qualcomm (QCOM) Gains As Market Dips: What You Should Know
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Qualcomm (QCOM - Free Report) closed the most recent trading day at $187.23, moving +0.55% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.59%, and the tech-heavy Nasdaq lost 0.3%.
Prior to today's trading, shares of the chipmaker had gained 6.13% over the past month. This has outpaced the Computer and Technology sector's gain of 4.06% and the S&P 500's gain of 5.76% in that time.
Investors will be hoping for strength from Qualcomm as it approaches its next earnings release, which is expected to be February 2, 2022. In that report, analysts expect Qualcomm to post earnings of $3 per share. This would mark year-over-year growth of 38.25%. Our most recent consensus estimate is calling for quarterly revenue of $10.42 billion, up 26.51% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.48 per share and revenue of $39.38 billion, which would represent changes of +22.72% and +17.32%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Qualcomm. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Qualcomm is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Qualcomm's current valuation metrics, including its Forward P/E ratio of 17.77. For comparison, its industry has an average Forward P/E of 27.21, which means Qualcomm is trading at a discount to the group.
Investors should also note that QCOM has a PEG ratio of 1.16 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Wireless Equipment industry currently had an average PEG ratio of 2.04 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Qualcomm (QCOM) Gains As Market Dips: What You Should Know
Qualcomm (QCOM - Free Report) closed the most recent trading day at $187.23, moving +0.55% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.59%, and the tech-heavy Nasdaq lost 0.3%.
Prior to today's trading, shares of the chipmaker had gained 6.13% over the past month. This has outpaced the Computer and Technology sector's gain of 4.06% and the S&P 500's gain of 5.76% in that time.
Investors will be hoping for strength from Qualcomm as it approaches its next earnings release, which is expected to be February 2, 2022. In that report, analysts expect Qualcomm to post earnings of $3 per share. This would mark year-over-year growth of 38.25%. Our most recent consensus estimate is calling for quarterly revenue of $10.42 billion, up 26.51% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.48 per share and revenue of $39.38 billion, which would represent changes of +22.72% and +17.32%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Qualcomm. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Qualcomm is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Qualcomm's current valuation metrics, including its Forward P/E ratio of 17.77. For comparison, its industry has an average Forward P/E of 27.21, which means Qualcomm is trading at a discount to the group.
Investors should also note that QCOM has a PEG ratio of 1.16 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Wireless Equipment industry currently had an average PEG ratio of 2.04 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 182, which puts it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.