Qualcomm: Undervalued Tech Giant with Potential for Long-Term Gains

Qualcomm's stock has been in a breakout uptrend since April, with a 30% gain from its April lows. The stock is undervalued compared to its peers, with a P/E ratio of 15. It's also trading at a fair market value of $152.76 and has a price target of $185.77. The stock is showing a healthy pattern of higher highs and higher lows, which is a classic bullish setup. Its valuation and potential for longer-term gains make it a stock worth considering for investors who can stomach a slower pace.

Qualcomm's stock has been on a breakout uptrend since April, gaining 30% from its April lows. The stock is currently trading at $152.76, with a price target of $185.77, and a P/E ratio of 15.71, making it undervalued compared to its peers. The stock has shown a healthy pattern of higher highs and higher lows, a classic bullish setup, and its valuation and potential for longer-term gains make it a stock worth considering for investors who can stomach a slower pace.

Whittier Trust Co. of Nevada Inc. boosted its position in Qualcomm shares by 13.0% in the first quarter, according to its Form 13F filing with the Securities & Exchange Commission [1]. The fund owned 24,833 shares of Qualcomm stock after acquiring an additional 2,860 shares during the period. This increase in institutional buying is indicative of growing confidence in the company's prospects.

Institutional investors have been actively buying and selling Qualcomm shares. Banque Transatlantique SA acquired a new stake in shares of Qualcomm worth $26,000 in the fourth quarter, Atlantic Edge Private Wealth Management LLC increased its stake by 70.0% in the first quarter, and WFA Asset Management Corp acquired a new stake worth $27,000 in the first quarter [1]. This institutional interest suggests a positive outlook for the stock.

Analysts have mixed ratings for Qualcomm. While some have assigned a "buy" rating, others have assigned a "hold" rating. TD Cowen, Rosenblatt Securities, Wells Fargo & Company, Robert W. Baird, and Benchmark have all recently revised their price targets and ratings for the stock [1]. Despite the mixed ratings, the average rating is "Hold" with an average target price of $186.39.

Qualcomm reported strong financial results for the quarter ending April 30th. The company reported $2.85 EPS, beating analysts' consensus estimates of $2.82, and had a net margin of 26.11% and a return on equity of 40.11% [1]. The company's revenue was $10.98 billion for the quarter, up 17.0% compared to the same quarter last year.

Qualcomm's valuation and strong financials make it an attractive investment for long-term investors. However, the stock's price target of $185.77 suggests that there is still room for growth. The company's P/E ratio of 15.71 indicates that it is undervalued compared to its peers, and its price-to-earnings-growth ratio of 1.99 suggests that it has strong growth potential.

The stock's breakout uptrend and strong fundamentals make it a stock worth considering for investors who can stomach a slower pace. However, investors should also be aware of the potential risks, such as the company's legal backdrop and the mixed analyst ratings.

References:
[1] https://www.marketbeat.com/instant-alerts/filing-whittier-trust-co-of-nevada-inc-boosts-holdings-in-qualcomm-incorporated-nasdaqqcom-2025-07-16/
[2] https://www.cnn.com/markets/stocks/QCOM
[3] https://www.tradingview.com/news/11thestate:6b8dfd07f094b:0-qcom-qualcomm-sees-institutional-confidence-and-price-stability-but-75m-settlement-still-echoes/