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Qualcomm (QCOM) Gains But Lags Market: What You Should Know
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Qualcomm (QCOM - Free Report) closed at $63.27 in the latest trading session, marking a +0.14% move from the prior day. This move lagged the S&P 500's daily gain of 1.09%. At the same time, the Dow added 0.97%, and the tech-heavy Nasdaq gained 2.01%.
Coming into today, shares of the chipmaker had lost 13.87% in the past month. In that same time, the Computer and Technology sector lost 11.34%, while the S&P 500 lost 7.81%.
Wall Street will be looking for positivity from QCOM as it approaches its next earnings report date. This 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.
Any recent changes to analyst estimates for QCOM should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 sporting a Zacks Rank of #3 (Hold).
Investors should also note QCOM's current valuation metrics, including its Forward P/E ratio of 17.85. This represents a discount compared to its industry's average Forward P/E of 19.25.
Meanwhile, QCOM's PEG ratio is currently 1.64. 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 2.08 at yesterday's closing price.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Qualcomm (QCOM) Gains But Lags Market: What You Should Know
Qualcomm (QCOM - Free Report) closed at $63.27 in the latest trading session, marking a +0.14% move from the prior day. This move lagged the S&P 500's daily gain of 1.09%. At the same time, the Dow added 0.97%, and the tech-heavy Nasdaq gained 2.01%.
Coming into today, shares of the chipmaker had lost 13.87% in the past month. In that same time, the Computer and Technology sector lost 11.34%, while the S&P 500 lost 7.81%.
Wall Street will be looking for positivity from QCOM as it approaches its next earnings report date. This 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.
Any recent changes to analyst estimates for QCOM should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 sporting a Zacks Rank of #3 (Hold).
Investors should also note QCOM's current valuation metrics, including its Forward P/E ratio of 17.85. This represents a discount compared to its industry's average Forward P/E of 19.25.
Meanwhile, QCOM's PEG ratio is currently 1.64. 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 2.08 at yesterday's closing price.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 32, putting it in the top 13% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.