QCOM stock: buy or sell?

QCOM stock price: $75.94 -4.67% At close on February 27th, 2020

Updated on:
February 27th, 2020

1

QUALCOMM shares plummed -4.67% to $75.94 today. With Thursday it's been 5 red days in a row.

QUALCOMM Incorporated designs, develops, manufactures, and markets digital communication products worldwide. It operates through three segments: Qualcomm CDMA Technologies (QCT); Qualcomm Technology Licensing (QTL); and Qualcomm Strategic Initiatives (QSI).

Should I buy QCOM stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to define your own trading plan that fits your character as inversor. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with QUALCOMM stock situation right now, therefore this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean QCOM will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is QUALCOMM stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. Unfortunately, we couldn't detect any rating for QCOM stock for the last 30 days.

QCOM stock analysis

Daily outlook

QUALCOMM plummed a dreadful -4.67% and closed at $75.94.

QUALCOMM shares plummed -4.67% to $75.94 today. In this session, QUALCOMM stock crossed down the SMA200d line. If you are using SMA200d line as stop loss trigger, double check your position in this stock. On Jan/17, QCOM hit a new all time high, pushing higher than on November tops. Check different trading setups that use ATHs as triggers.

QCOM stock chart (daily)

Weekly outlook

QUALCOMM shares collapsed -12.74% this week, ending at $75.94. By mid January QCOM climbed an extraordinary 5.89% in just one week.

QUALCOMM finally dropped under the support and now is sliding further into lower prices looking for new supports. Not so far away is the last price record QUALCOMM marked by mid January, but since then it dropped a 21.04%. This week, QUALCOMM stock undercut the significant level of the 40-weeks moving average. Stocks below the 40-weeks moving average line are usually not recommended for average traders. Since SMA20w and SMA40w crossed up late May 2019, QCOM price slid a -4.49%.

QCOM stock chart (weekly)

QCOM stock price history

QCOM stock went public on December 13th, 1991 with a price of $0.371. Since then, QCOM stock surged a 20,424.30%, with an average of 729.40% per year. If you had invested right after QCOM's IPO a $1,000 in QCOM stock in 1991, it would worth $204,243.00 today.

1: Adjusted price after possible price splits or reverse-splits.

QCOM stock historical price chart

QCOM stock reached all-time highs on January/17 with a price of $96.17.

QCOM stock price target

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we have not detected any price target for QUALCOMM stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

After publishing its last earnings report on May, QUALCOMM . Unfortunately, reported EPS is not yet available in our database.
QCOM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.69n/a
2017-Q32017-11-010.810.9213.6%
2017-Q42018-01-310.910.987.7%
2018-Q12018-04-250.550.6721.8%
2018-Q22018-07-250.580.9156.9%
2018-Q32018-11-070.70.768.6%
2018-Q42019-01-300.911.0414.3%
2019-Q12019-05-010.7n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, QUALCOMM annual revenues raised a slightly fine 1.98% to $22,732.00 million USD from $22,291.00 marked in 2017. When comparing 2018 vs 2017, nonetheless, profit margin (that is, the net income divided by revenues) plummed a -32.46% to -21.40%.

To have an up to date view of the financial situation of QUALCOMM, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual QUALCOMM TTM sales up to March 2019 were $21,227.00 and earnings were $2,457.00 million USD. When comparing this TTM figures with the last reported annuality, we can esteem QUALCOMM business evolution since September 2018: Annual sales up to March, compared to lastest yearly report, fell a fatal -6.62%. On the other hand, profit margin (net income/sales) skyrocketed at -21.40%.

QCOM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$24,870 M-$6,850 M27.5%-
2014$26,487 M6.50%$7,967 M30.1%16.31%
2015$25,281 M-4.55%$5,271 M20.8%-33.84%
2016$23,554 M-6.83%$5,705 M24.2%8.23%
2017$22,291 M-5.36%$2,466 M11.1%-56.77%
2018$22,732 M1.98%$-4,864.00 M-21.4%-297.24%
TTM $21,227 M-6.62%$2,457 M11.6%-150.51%

Quarterly financial results

QUALCOMM reported $4,982.00 million in revenues for 2019-Q1, a 2.89% up compared to previous quarter. Reported quarter income marked $663.00 million with a profit margin of 13.31%. Profit margin eased a -8.75% compared to previous quarter when profit margin was 22.06%. When comparing turnover to same quarter last year, QUALCOMM sales marked a fateful decrease and slipped a -5.30%.
QCOM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$5,370 M-$866 M16.1%-
2017-Q3$5,904 M9.94%$169 M2.9%-80.48%
2017-Q4$6,068 M2.78%$-5,953 M-98.1%-3,622.49%
2018-Q1$5,261 M-13.30%$363 M6.9%-106.10%
2018-Q2$5,599 M6.42%$1,219 M21.8%235.81%
2018-Q3$5,804 M3.66%$-493 M-8.5%-140.44%
2018-Q4$4,842 M-16.57%$1,068 M22.1%-316.63%
2019-Q1$4,982 M2.89%$663 M13.3%-37.92%

QUALCOMM ownership

When you are planning to buy shares of a stock, it's always worth to check its ownership structure.

QUALCOMM shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.12% of all shares.

Bearish positions for QCOM stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to QUALCOMM:

QCOM
Market cap$86.6 B
Total shares1,140.0 M
Float shares1,140.0 M
  - Institutional holdings (%)80.7%
  - Insider holdings (%)0.1%
Shares in short selling0.0%

QCOM summary

Thursday, February 27th, 2020
Open$77.13
Close$75.94
Day range$75.33 - $78.19
Previous close$79.66
Session gain-4.67%
Average true range$3.00
50d mov avg$88.55
100d mov avg$85.57
200d mov avg$79.31
Daily patternlt01c
Weekly pattern lt01c

QUALCOMM performance

To better understand QUALCOMM performance you must becnhmark its gains with other related stocks in same sector or industry. In the following table, we compare QUALCOMM performance to :
Stock3m6m12m
QCOMQUALCOMM-8.41%-0.81%45.28%

QUALCOMM competitors

Unfortunately, we could not find any public company that could be defined as QUALCOMM competitor. This doesn't mean QUALCOMM does not have any competitor in the market, it's just we could not detected it.

    Latest QCOM stock news