Qualcomm (QCOM.US) to Release Earnings, Added to JPMorgan's "Positive Catalyst Watch List"
1min read Zhitong Finance learned that Qualcomm (QCOM.US) was added to Morgan Stanley's positive catalyst watchlist ahead of its first-quarter earnings on February 5. Morgan Stanley analyst Samik Chatterjee rates Qualcomm "overweight" with a target price of $200. Chatterjee wrote in a note to clients: "We believe Qualcomm's earnings outlook is positive, which will help alleviate overall concerns about a decrease in revenue from Apple (AAPL.US) in the coming years, though this may only be temporary."Positive factors include the "strong growth" in the Chinese smartphone market in the recent quarter, which has impacted Apple and Samsung, as Qualcomm has opportunities in the Chinese smartphone market. Chatterjee adds that the recent government subsidies may help drive device replacement, which could continue to drive growth for Qualcomm.Other positive factors include potential revenue from Samsung's Galaxy S25 smartphones, as well as a shift in investor attention from the loss of Apple-related revenue to "the potential strong content-driven factors associated with higher silicon content to support AI functionality on high-end devices."Chatterjee explains: "In this regard, we see revenue returning to double-digit growth, which will prompt a reevaluation of the P/E multiple, which remains at a moderate level of 14x or at a mid-high level when excluding the contribution of Apple to QCT revenue."#End of Polished Translation
