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Qualcomm (QCOM) Dips More Than Broader Markets: What You Should Know
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Qualcomm (QCOM - Free Report) closed at $122.30 in the latest trading session, marking a -1.96% move from the prior day. This change lagged the S&P 500's 0.58% loss on the day. Elsewhere, the Dow lost 0.59%, while the tech-heavy Nasdaq lost 1.54%.
Coming into today, shares of the chipmaker had gained 1.9% in the past month. In that same time, the Computer and Technology sector gained 7.31%, while the S&P 500 gained 2%.
Qualcomm will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.15, down 33.02% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $9.06 billion, down 18.82% from the prior-year quarter.
QCOM's full-year Zacks Consensus Estimates are calling for earnings of $9.34 per share and revenue of $37.99 billion. These results would represent year-over-year changes of -25.46% and -14.05%, respectively.
Any recent changes to analyst estimates for Qualcomm should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.78% lower. Qualcomm currently has a Zacks Rank of #3 (Hold).
Investors should also note Qualcomm's current valuation metrics, including its Forward P/E ratio of 13.36. This represents a premium compared to its industry's average Forward P/E of 12.46.
It is also worth noting that QCOM currently has a PEG ratio of 0.86. 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. Wireless Equipment stocks are, on average, holding a PEG ratio of 2.51 based on yesterday's closing prices.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 87, which puts it in the top 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Qualcomm (QCOM) Dips More Than Broader Markets: What You Should Know
Qualcomm (QCOM - Free Report) closed at $122.30 in the latest trading session, marking a -1.96% move from the prior day. This change lagged the S&P 500's 0.58% loss on the day. Elsewhere, the Dow lost 0.59%, while the tech-heavy Nasdaq lost 1.54%.
Coming into today, shares of the chipmaker had gained 1.9% in the past month. In that same time, the Computer and Technology sector gained 7.31%, while the S&P 500 gained 2%.
Qualcomm will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.15, down 33.02% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $9.06 billion, down 18.82% from the prior-year quarter.
QCOM's full-year Zacks Consensus Estimates are calling for earnings of $9.34 per share and revenue of $37.99 billion. These results would represent year-over-year changes of -25.46% and -14.05%, respectively.
Any recent changes to analyst estimates for Qualcomm should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.78% lower. Qualcomm currently has a Zacks Rank of #3 (Hold).
Investors should also note Qualcomm's current valuation metrics, including its Forward P/E ratio of 13.36. This represents a premium compared to its industry's average Forward P/E of 12.46.
It is also worth noting that QCOM currently has a PEG ratio of 0.86. 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. Wireless Equipment stocks are, on average, holding a PEG ratio of 2.51 based on yesterday's closing prices.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 87, which puts it in the top 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.