Qualcomm (QCOM - Free Report) closed the most recent trading day at $89.91, moving +1.35% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.67%. At the same time, the Dow added 0.74%, and the tech-heavy Nasdaq gained 0.81%.
Coming into today, shares of the chipmaker had gained 1.98% in the past month. In that same time, the Computer and Technology sector gained 6.02%, while the S&P 500 gained 3.55%.
Investors will be hoping for strength from QCOM as it approaches its next earnings release, which is expected to be February 5, 2020. In that report, analysts expect QCOM to post earnings of $0.85 per share. This would mark a year-over-year decline of 29.17%. Our most recent consensus estimate is calling for quarterly revenue of $4.83 billion, down 0.35% from the year-ago period.
QCOM's full-year Zacks Consensus Estimates are calling for earnings of $4.12 per share and revenue of $21.88 billion. These results would represent year-over-year changes of +16.38% and -9.84%, respectively.
Any recent changes to analyst estimates for QCOM should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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. 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 21.51. This represents a discount compared to its industry's average Forward P/E of 26.62.
Investors should also note that QCOM has a PEG ratio of 1.54 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 3.29 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 194, putting it in the bottom 24% 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.