Qualcomm (QCOM - Free Report) closed the most recent trading day at $56.81, moving +1.28% from the previous trading session. This change outpaced the S&P 500's 0.12% loss on the day. Meanwhile, the Dow lost 0.33%, and the Nasdaq, a tech-heavy index, added 0.08%.
Prior to today's trading, shares of the chipmaker had lost 3.48% over the past month. This has was narrower than the Computer and Technology sector's loss of 4.42% and the S&P 500's loss of 6.96% in that time.
Investors will be hoping for strength from QCOM as it approaches its next earnings release, which is expected to be January 30, 2019. On that day, QCOM is projected to report earnings of $1.08 per share, which would represent year-over-year growth of 10.2%. Our most recent consensus estimate is calling for quarterly revenue of $4.89 billion, down 19.49% from the year-ago period.
QCOM's full-year Zacks Consensus Estimates are calling for earnings of $3.89 per share and revenue of $20.55 billion. These results would represent year-over-year changes of +5.42% and -9.58%, respectively.
Any recent changes to analyst estimates for QCOM should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. QCOM is currently sporting a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, QCOM is holding a Forward P/E ratio of 14.41. For comparison, its industry has an average Forward P/E of 22.52, which means QCOM is trading at a discount to the group.
Investors should also note that QCOM has a PEG ratio of 1.32 right now. 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. QCOM's industry had an average PEG ratio of 1.97 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 23, putting it in the top 9% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.