Market Cap
US$104.9b
Last Updated
2020/07/09 23:51 UTC
Data Sources
Company Financials +
Executive Summary
QUALCOMM Incorporated designs, develops, manufactures, and markets digital communication products worldwide.
Snowflake Analysis
High growth potential established dividend payer.
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
Stable Share Price: QCOM's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
1.5%
QCOM
3.9%
US Semiconductor
1.3%
US Market
1 Year Return
26.5%
QCOM
39.2%
US Semiconductor
6.1%
US Market
Return vs Industry: QCOM underperformed the US Semiconductor industry which returned 38.1% over the past year.
Return vs Market: QCOM exceeded the US Market which returned 6.7% over the past year.
Shareholder returns
| QCOM | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.5% | 3.9% | 1.3% |
| 30 Day | 3.9% | 2.9% | -0.3% |
| 90 Day | 30.3% | 26.9% | 16.6% |
| 1 Year | 30.5%26.5% | 41.9%39.2% | 8.4%6.1% |
| 3 Year | 85.1%65.8% | 84.6%74.7% | 35.8%26.9% |
| 5 Year | 73.4%44.5% | 198.6%169.3% | 62.7%44.7% |
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
4 days ago | Simply Wall St
Is QUALCOMM (NASDAQ:QCOM) Using Too Much Debt?2 weeks ago | Simply Wall St
What Type Of Shareholder Owns QUALCOMM Incorporated's (NASDAQ:QCOM)?4 weeks ago | Simply Wall St
Don't Ignore The Fact That This Insider Just Sold Some Shares In QUALCOMM Incorporated (NASDAQ:QCOM)Valuation
Is QUALCOMM undervalued compared to its fair value and its price relative to the market?
27.06x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: QCOM ($93.25) is trading above our estimate of fair value ($92.45)
Significantly Below Fair Value: QCOM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: QCOM is good value based on its PE Ratio (27.1x) compared to the Semiconductor industry average (37.2x).
PE vs Market: QCOM is poor value based on its PE Ratio (27.1x) compared to the US market (16.2x).
Price to Earnings Growth Ratio
PEG Ratio: QCOM is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: QCOM is overvalued based on its PB Ratio (34.5x) compared to the US Semiconductor industry average (3.2x).
Next Steps
Future Growth
How is QUALCOMM forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
30.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: QCOM's forecast earnings growth (30.1% per year) is above the savings rate (2.2%).
Earnings vs Market: QCOM's earnings (30.1% per year) are forecast to grow faster than the US market (22.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: QCOM's revenue (15.2% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: QCOM's revenue (15.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: QCOM's Return on Equity is forecast to be very high in 3 years time (189.4%).
Next Steps
Past Performance
How has QUALCOMM performed over the past 5 years?
-22.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: QCOM has high quality earnings.
Growing Profit Margin: QCOM's current net profit margins (16.4%) are higher than last year (11.4%).
Past Earnings Growth Analysis
Earnings Trend: QCOM's earnings have declined by -22.3% per year over the past 5 years.
Accelerating Growth: QCOM's earnings growth over the past year (67.5%) exceeds its 5-year average (-22.3% per year).
Earnings vs Industry: QCOM earnings growth over the past year (67.5%) exceeded the Semiconductor industry -10.8%.
Return on Equity
High ROE: Whilst QCOM's Return on Equity (132.94%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is QUALCOMM's financial position?
Financial Position Analysis
Short Term Liabilities: QCOM's short term assets ($15.3B) exceed its short term liabilities ($9.8B).
Long Term Liabilities: QCOM's short term assets ($15.3B) do not cover its long term liabilities ($19.1B).
Debt to Equity History and Analysis
Debt Level: QCOM's debt to equity ratio (523.7%) is considered high.
Reducing Debt: QCOM's debt to equity ratio has increased from 3.4% to 523.7% over the past 5 years.
Debt Coverage: QCOM's debt is well covered by operating cash flow (52.3%).
Interest Coverage: QCOM's interest payments on its debt are well covered by EBIT (25.6x coverage).
Balance Sheet
Next Steps
Dividend
What is QUALCOMM current dividend yield, its reliability and sustainability?
2.79%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: QCOM's dividend (2.79%) is higher than the bottom 25% of dividend payers in the US market (1.68%).
High Dividend: QCOM's dividend (2.79%) is low compared to the top 25% of dividend payers in the US market (4.58%).
Stability and Growth of Payments
Stable Dividend: QCOM's dividends per share have been stable in the past 10 years.
Growing Dividend: QCOM's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (72%), QCOM's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: QCOM's dividends in 3 years are forecast to be well covered by earnings (44.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
Steve Mollenkopf (51yo)
6.33yrs
Tenure
US$23,065,052
Compensation
Mr. Steven M. Mollenkopf, also known as Steve, serves as Independent Director at Boeing Company since April 27, 2020. He has been the Chief Executive Officer of QUALCOMM Incorporated since March 4, 2014. M ...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD23.07M) is above average for companies of similar size in the US market ($USD11.49M).
Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 6.33yrs | US$23.07m | 0.062% $64.9m | |
| President | 2.5yrs | US$13.42m | 0.0045% $4.7m | |
| Executive VP & CFO | 0.92yr | US$4.96m | 0.0019% $2.0m | |
| Chief Technology Officer | 3.33yrs | US$11.72m | 0.012% $12.7m | |
| Executive VP & President of Qualcomm Technology Licensing | 13.17yrs | US$7.21m | 0.0013% $1.3m | |
| Senior VP & Treasurer | 4.58yrs | US$2.82m | 0.0024% $2.5m | |
| Co-Founder & Chief Scientist | 35.5yrs | no data | no data | |
| Senior VP | 1.67yrs | no data | no data | |
| Senior VP & Chief Information Officer | 4.33yrs | no data | no data | |
| Vice President of Investor Relations | no data | no data | no data |
4.3yrs
Average Tenure
51yo
Average Age
Experienced Management: QCOM's management team is considered experienced (4.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 6.33yrs | US$23.07m | 0.062% $64.9m | |
| Independent Director | 5yrs | US$338.55k | 0.00049% $514.0k | |
| Independent Director | 2.08yrs | US$313.55k | 0.00020% $209.8k | |
| Independent Director | 3.75yrs | US$357.55k | 0.0017% $1.8m | |
| Independent Director | 4.5yrs | US$501.25k | 0.00064% $671.4k | |
| Independent Director | 1.75yrs | US$437.01k | 0.000040% $42.0k | |
| Independent Director | 6.17yrs | US$333.55k | 0.0011% $1.2m | |
| Independent Director | 2.08yrs | US$363.55k | 0.00017% $178.3k | |
| Independent Chairman of the Board | 0.92yr | US$388.35k | 0.0013% $1.4m | |
| Independent Director | 6.75yrs | US$331.55k | 0.00087% $912.6k |
4.1yrs
Average Tenure
61.5yo
Average Age
Experienced Board: QCOM's board of directors are considered experienced (4.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: QCOM insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
QUALCOMM Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: QUALCOMM Incorporated
- Ticker: QCOM
- Exchange: NasdaqGS
- Founded: 1985
- Industry: Semiconductors
- Sector: Semiconductors
- Market Cap: US$104.900b
- Shares outstanding: 1.12b
- Website: https://www.qualcomm.com
Number of Employees
Location
- QUALCOMM Incorporated
- 5775 Morehouse Drive
- San Diego
- California
- 92121
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| QCOM | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Dec 1991 |
| QCOM * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Dec 1991 |
| QCI | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1991 |
| QCI | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Dec 1991 |
| QCOM | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Dec 1991 |
| QCOM | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Dec 1991 |
| QC-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Dec 1991 |
| QCOM | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Dec 1991 |
| QCOM | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 11 REP 1 ORD USD0.0001 | AR | ARS | Sep 2000 | |
| QCOM34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM SHS | BR | BRL | Aug 2012 |
Biography
QUALCOMM Incorporated designs, develops, manufactures, and markets digital communication products worldwide. It operates through three segments: Qualcomm CDMA Technologies (QCT); Qualcomm Technology Licensing (QTL); and Qualcomm Strategic Initiatives (QSI). The QCT segment develops and supplies integrated circuits and system software based on code division multiple access (CDMA), orthogonal frequency division multiple access, and other technologies for use in wireless voice and data communications, networking, application processing, multimedia, and global positioning system products. This segment also provides products designed for the implementation of small cells. The QTL segment grants licenses or provides rights to use portions of its intellectual property portfolio, which include various patent rights useful in the manufacture and sale of wireless products comprising products implementing CDMA2000, wideband CDMA, CDMA time division duplex, long term evolution, and/or fifth generation standards and their derivatives. The QSI segment invests in early-stage companies in various industries, including artificial intelligence, automotive, digital healthcare, enterprise software and solutions, mobile and networking and investment for supporting the design and introduction of new products and services for voice and data communications, and new industry segments. The company also provides development, and other services and related products to the United States government agencies and their contractors. QUALCOMM Incorporated was founded in 1985 and is headquartered in San Diego, California.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/09 23:51 |
| End of Day Share Price | 2020/07/09 00:00 |
| Earnings | 2020/03/29 |
| Annual Earnings | 2019/09/29 |
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.