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Qualcomm (QCOM) Surpasses Market Returns: Some Facts Worth Knowing
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The latest trading session saw Qualcomm (QCOM - Free Report) ending at $170.24, denoting a +1.78% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.61%. On the other hand, the Dow registered a gain of 0.3%, and the technology-centric Nasdaq increased by 1.28%.
Shares of the chipmaker have appreciated by 4.96% over the course of the past month, outperforming the Computer and Technology sector's gain of 1.24% and the S&P 500's gain of 2.08%.
Market participants will be closely following the financial results of Qualcomm in its upcoming release. The company plans to announce its earnings on February 5, 2025. The company's earnings per share (EPS) are projected to be $2.93, reflecting a 6.55% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $10.89 billion, indicating a 9.61% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.17 per share and revenue of $42.19 billion, which would represent changes of +9.3% and +8.29%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Qualcomm. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Qualcomm is holding a Zacks Rank of #2 (Buy) right now.
Looking at valuation, Qualcomm is presently trading at a Forward P/E ratio of 14.98. This signifies a discount in comparison to the average Forward P/E of 17.53 for its industry.
Also, we should mention that QCOM has a PEG ratio of 2.28. 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 industry currently had an average PEG ratio of 3.17 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 60, putting it in the top 24% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Qualcomm (QCOM) Surpasses Market Returns: Some Facts Worth Knowing
The latest trading session saw Qualcomm (QCOM - Free Report) ending at $170.24, denoting a +1.78% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.61%. On the other hand, the Dow registered a gain of 0.3%, and the technology-centric Nasdaq increased by 1.28%.
Shares of the chipmaker have appreciated by 4.96% over the course of the past month, outperforming the Computer and Technology sector's gain of 1.24% and the S&P 500's gain of 2.08%.
Market participants will be closely following the financial results of Qualcomm in its upcoming release. The company plans to announce its earnings on February 5, 2025. The company's earnings per share (EPS) are projected to be $2.93, reflecting a 6.55% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $10.89 billion, indicating a 9.61% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.17 per share and revenue of $42.19 billion, which would represent changes of +9.3% and +8.29%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Qualcomm. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Qualcomm is holding a Zacks Rank of #2 (Buy) right now.
Looking at valuation, Qualcomm is presently trading at a Forward P/E ratio of 14.98. This signifies a discount in comparison to the average Forward P/E of 17.53 for its industry.
Also, we should mention that QCOM has a PEG ratio of 2.28. 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 industry currently had an average PEG ratio of 3.17 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 60, putting it in the top 24% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.