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Qualcomm (QCOM) Outpaces Stock Market Gains: What You Should Know
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Qualcomm (QCOM - Free Report) closed at $142.58 in the latest trading session, marking a +1.26% move from the prior day. This move outpaced the S&P 500's daily gain of 0.75%.
Heading into today, shares of the chipmaker had gained 6.13% over the past month, lagging the Computer and Technology sector's gain of 7.17% and outpacing the S&P 500's gain of 3.52% in that time.
QCOM will be looking to display strength as it nears its next earnings release, which is expected to be July 28, 2021. The company is expected to report EPS of $1.67, up 94.19% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.62 billion, up 55.82% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.79 per share and revenue of $32.18 billion, which would represent changes of +85.92% and +36.77%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for QCOM. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection remained stagnant. QCOM is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, QCOM currently has a Forward P/E ratio of 18.3. For comparison, its industry has an average Forward P/E of 18.33, which means QCOM is trading at a discount to the group.
We can also see that QCOM currently has a PEG ratio of 0.85. 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 2.79 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 205, which puts it in the bottom 20% 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) Outpaces Stock Market Gains: What You Should Know
Qualcomm (QCOM - Free Report) closed at $142.58 in the latest trading session, marking a +1.26% move from the prior day. This move outpaced the S&P 500's daily gain of 0.75%.
Heading into today, shares of the chipmaker had gained 6.13% over the past month, lagging the Computer and Technology sector's gain of 7.17% and outpacing the S&P 500's gain of 3.52% in that time.
QCOM will be looking to display strength as it nears its next earnings release, which is expected to be July 28, 2021. The company is expected to report EPS of $1.67, up 94.19% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.62 billion, up 55.82% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.79 per share and revenue of $32.18 billion, which would represent changes of +85.92% and +36.77%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for QCOM. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection remained stagnant. QCOM is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, QCOM currently has a Forward P/E ratio of 18.3. For comparison, its industry has an average Forward P/E of 18.33, which means QCOM is trading at a discount to the group.
We can also see that QCOM currently has a PEG ratio of 0.85. 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 2.79 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 205, which puts it in the bottom 20% 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.