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Qualcomm (QCOM) Gains But Lags Market: What You Should Know
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Qualcomm (QCOM - Free Report) closed the most recent trading day at $63.20, moving +0.93% from the previous trading session. This change lagged the S&P 500's 1.86% gain on the day. Meanwhile, the Dow gained 1.63%, and the Nasdaq, a tech-heavy index, added 2.95%.
Heading into today, shares of the chipmaker had lost 12.74% over the past month, lagging the Computer and Technology sector's loss of 11.34% and the S&P 500's loss of 8.85% in that time.
Investors will be hoping for strength from QCOM as it approaches its next earnings release, which is expected to be November 7, 2018. On that day, QCOM is projected to report earnings of $0.82 per share, which would represent a year-over-year decline of 10.87%. Meanwhile, our latest consensus estimate is calling for revenue of $5.53 billion, down 6.27% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for QCOM. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. QCOM is currently a Zacks Rank #3 (Hold).
Investors should also note QCOM's current valuation metrics, including its Forward P/E ratio of 17.69. This represents a discount compared to its industry's average Forward P/E of 20.69.
It is also worth noting that QCOM currently has a PEG ratio of 1.63. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Wireless Equipment was holding an average PEG ratio of 2.07 at yesterday's closing price.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Qualcomm (QCOM) Gains But Lags Market: What You Should Know
Qualcomm (QCOM - Free Report) closed the most recent trading day at $63.20, moving +0.93% from the previous trading session. This change lagged the S&P 500's 1.86% gain on the day. Meanwhile, the Dow gained 1.63%, and the Nasdaq, a tech-heavy index, added 2.95%.
Heading into today, shares of the chipmaker had lost 12.74% over the past month, lagging the Computer and Technology sector's loss of 11.34% and the S&P 500's loss of 8.85% in that time.
Investors will be hoping for strength from QCOM as it approaches its next earnings release, which is expected to be November 7, 2018. On that day, QCOM is projected to report earnings of $0.82 per share, which would represent a year-over-year decline of 10.87%. Meanwhile, our latest consensus estimate is calling for revenue of $5.53 billion, down 6.27% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for QCOM. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. QCOM is currently a Zacks Rank #3 (Hold).
Investors should also note QCOM's current valuation metrics, including its Forward P/E ratio of 17.69. This represents a discount compared to its industry's average Forward P/E of 20.69.
It is also worth noting that QCOM currently has a PEG ratio of 1.63. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Wireless Equipment was holding an average PEG ratio of 2.07 at yesterday's closing price.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.