XTRA:QCI

Stock Analysis Report

Executive Summary

QUALCOMM Incorporated designs, develops, manufactures, and markets digital communication products worldwide.

Snowflake

Fundamentals

Reasonable growth potential with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has QUALCOMM's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.1%

QCI

0.6%

DE Semiconductor

0.1%

DE Market


1 Year Return

14.0%

QCI

-7.1%

DE Semiconductor

-4.5%

DE Market

QCI outperformed the Semiconductor industry which returned -5.3% over the past year.

QCI outperformed the Market in Germany which returned -4.6% over the past year.


Share holder returns

QCIIndustryMarket
7 Day-0.1%0.6%0.1%
30 Day7.4%13.6%6.2%
90 Day12.8%21.1%1.4%
1 Year18.6%14.0%-5.6%-7.1%-1.5%-4.5%
3 Year42.6%27.2%28.4%24.3%16.5%6.5%
5 Year47.9%23.8%100.9%90.5%33.8%15.5%

Price Volatility Vs. Market

How volatile is QUALCOMM's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is QUALCOMM undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

QUALCOMM's share price is below the future cash flow value, and at a moderate discount (> 20%).

QUALCOMM's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

QUALCOMM is overvalued based on earnings compared to the DE Semiconductor industry average.

QUALCOMM is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

QUALCOMM is poor value based on expected growth next year.


Price Based on Value of Assets

QUALCOMM is overvalued based on assets compared to the DE Semiconductor industry average.


Next Steps

Future Growth

How is QUALCOMM expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

15.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

QUALCOMM's revenue is expected to grow by 13.5% yearly, however this is not considered high growth (20% yearly).

QUALCOMM's earnings are expected to grow by 15% yearly, however this is not considered high growth (20% yearly).

QUALCOMM's revenue growth is expected to exceed the Germany market average.

QUALCOMM's earnings growth is expected to exceed the Germany market average.

QUALCOMM's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

QUALCOMM is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).


Next Steps

Past Performance

How has QUALCOMM performed over the past 5 years?

-39.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

QUALCOMM's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

QUALCOMM has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

QUALCOMM has become profitable in the last year making it difficult to compare the DE Semiconductor industry average.


Return on Equity

Whilst QUALCOMM made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.


Return on Assets

QUALCOMM used its assets more efficiently than the DE Semiconductor industry average last year based on Return on Assets.


Return on Capital Employed

QUALCOMM has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is QUALCOMM's financial position?


Financial Position Analysis

QUALCOMM is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

QUALCOMM's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

QUALCOMM's level of debt (300.7%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (0% vs 300.7% today).

Debt is well covered by operating cash flow (34.2%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 36.3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.2x debt.


Next Steps

Dividend

What is QUALCOMM's current dividend yield, its reliability and sustainability?

3.21%

Expected Dividend Yield


Dividend Yield and Payments Analysis

QUALCOMM's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.39%).

QUALCOMM's dividend is below the markets top 25% of dividend payers in Germany (3.86%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (1.1x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).


Next Steps

Management

What is the CEO of QUALCOMM's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Steve Mollenkopf (50yo)

5.5yrs

Tenure

US$19,975,472

Compensation

Mr. Steven M. Mollenkopf, also known as Steve, has been the Chief Executive Officer of QUALCOMM Incorporated since March 4, 2014. Mr. Mollenkopf served as an Executive Vice President of QUALCOMM Incorporat ...


CEO Compensation Analysis

Steve's remuneration is higher than average for companies of similar size in Germany.

Steve's compensation has increased in line with QUALCOMM recently becoming profitable.


Management Age and Tenure

2.5yrs

Average Tenure

51.5yo

Average Age

The tenure for the QUALCOMM management team is about average.


Board Age and Tenure

4.8yrs

Average Tenure

62yo

Average Age

The tenure for the QUALCOMM board of directors is about average.


Insider Trading

More shares have been bought than sold by QUALCOMM individual insiders in the past 3 months.


Recent Insider Transactions

BuyUS$180,20229 Aug 19
Mark McLaughlin
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares2,705
Max PriceUS$66.62
SellUS$7,48320 Aug 19
Erin Polek
EntityIndividual
Role
Chief Accounting Officer
Senior VP
Shares109
Max PriceUS$68.66
SellUS$87,91505 Aug 19
Erin Polek
EntityIndividual
Role
Chief Accounting Officer
Senior VP
Shares1,386
Max PriceUS$63.43
SellUS$428,97616 May 19
Michelle Sterling
EntityIndividual
Shares5,560
Max PriceUS$77.15
SellUS$537,11113 May 19
Donald Rosenberg
EntityIndividual
Role
Chief Legal Officer
Executive VP
Shares7,141
Max PriceUS$75.22
SellUS$1,647,48808 May 19
Alexander Rogers
EntityIndividual
Shares20,862
Max PriceUS$78.97
SellUS$487,90507 May 19
Erin Polek
EntityIndividual
Role
Chief Accounting Officer
Senior VP
Shares6,118
Max PriceUS$79.97
SellUS$160,06207 May 19
Clark Randt
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$80.03
SellUS$1,379,36307 May 19
Brian Modoff
EntityIndividual
Shares17,440
Max PriceUS$79.09

Ownership Breakdown


Management Team

  • Franklin Antonio

    Co-Founder & Chief Scientist

    • Tenure: 34.7yrs
  • Don Rosenberg (68yo)

    Executive VP

    • Tenure: 11.9yrs
    • Compensation: US$6.60m
  • Akash Palkhiwala

    Senior VP of Finance & Interim CFO

    • Tenure: 0.08yrs
  • Penny Baldwin

    Chief Marketing Officer & Senior VP

    • Tenure: 1.9yrs
  • Cristiano Amon (49yo)

    President

    • Tenure: 1.7yrs
    • Compensation: US$13.62m
  • Steve Mollenkopf (50yo)

    CEO & Director

    • Tenure: 5.5yrs
    • Compensation: US$19.98m
  • Jim Thompson (55yo)

    Chief Technology Officer

    • Tenure: 2.5yrs
    • Compensation: US$9.14m
  • Mary Gendron (53yo)

    Senior VP & Chief Information Officer

    • Tenure: 3.5yrs
  • Erin Polek (45yo)

    Senior VP

    • Tenure: 0.8yrs
  • Mauricio Lopez-Hodoyan

    Vice President of Investor Relations

    • Tenure: 0yrs

Board Members

  • Tony Vinciquerra (64yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$366.54k
  • Mark Fields (58yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$179.15k
  • Ann Livermore (60yo)

    Independent Director

    • Tenure: 2.9yrs
    • Compensation: US$365.04k
  • Jeff Henderson (54yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$466.78k
  • Barbara Alexander (70yo)

    Independent Director

    • Tenure: 13.2yrs
    • Compensation: US$396.04k
  • Harish Manwani (66yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$348.98k
  • Mark McLaughlin (53yo)

    Chairman of the Board

    • Tenure: 0.08yrs
    • Compensation: US$347.80k
  • Steve Mollenkopf (50yo)

    CEO & Director

    • Tenure: 5.5yrs
    • Compensation: US$19.98m
  • Sandy Randt (73yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: US$350.04k
  • Francisco Ros (68yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$350.04k

Company Information

QUALCOMM Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: QUALCOMM Incorporated
  • Ticker: QCI
  • Exchange: XTRA
  • Founded: 1985
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$95.915b
  • Listing Market Cap: US$86.794b
  • Shares outstanding: 1.22b
  • Website: https://www.qualcomm.com

Number of Employees


Location

  • QUALCOMM Incorporated
  • 5775 Morehouse Drive
  • San Diego
  • California
  • 92121
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
QCOMNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1991
QCOM *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNDec 1991
QCIDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1991
QCIXTRA (XETRA Trading Platform)YesCommon StockDEEURDec 1991
QCOMSNSE (Santiago Stock Exchange)YesCommon StockCLUSDDec 1991
QCOMSWX (SIX Swiss Exchange)YesCommon StockCHCHFDec 1991
QCOMWBAG (Wiener Boerse AG)YesCommon StockATEURDec 1991
QCOMBASE (Buenos Aires Stock Exchange)CEDEAR EACH 11 REP 1 ORD USD0.0001ARARSSep 2000
QCOM34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM SHSBRBRLAug 2012

Biography

QUALCOMM Incorporated designs, develops, manufactures, and markets digital communication products worldwide. It operates through three segments: Qualcomm CDMA Technologies (QCT); Qualcomm Technology Licens ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/19 20:53
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.