Qualcomm (QCOM, $109.57) gets rating upgrade from Bernstein analysts
Shares of Qualcomm jumped Monday, after analysts at Bernstein upgraded the chipmaker’s shares.
Bernstein analysts raised their rating to outperform from market perform . They also hiked the price target to $135 from $105 per share.
Bernstein’s optimism on the company follows Qualcomm’s announcement last week that it had resolved a long-standing legal dispute with Chinese mobile device maker Huawei.
Also analyst Stacy Rasgon noted, "In the meantime, even in the middle of a pandemic the 5G content story is mostly supporting things, and hope remains for a cyclical recovery next year. We believe chipset margins are likely to exceed 20% into next year as AAPL ramps”.
QCOM's in Uptrend: Moving Average Convergence Divergence (MACD) Histogram just turned positive
This is a Bullish indicator signaling QCOM's price could rise. Traders may explore going long on the ticker or buying call options. In 29 of 42 cases where QCOM's MACD histogram became positive, the price rose further within the following month. The odds of a continued Uptrend are 69%.
Current price $109.60 is above $92.55 the highest resistance line found by A.I. Throughout the month of 06/30/20 - 07/31/20, the price experienced a +16% Uptrend. During the week of 07/24/20 - 07/31/20, the stock enjoyed a +19% Uptrend growth.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator exceeded the 0 level on July 29, 2020. Traders may consider buying the ticker or exploring call options. In 50 of 76 cases where the ticker's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 66%.
The Aroon Indicator entered an Uptrend today. In 183 of 270 similar cases where QCOM Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 68%.
Bearish Trend Analysis
The RSI Indicator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The Stochastic Indicator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.
The higher Bollinger Band was broken -- a price fall is expected as the ticker heads toward the middle band, which invites the trader to consider selling or shorting the ticker, or exploring put options. In 20 of 47 cases where QCOM's price broke its higher Bollinger Band, its price dropped further during the following month. The odds of a continued Downtrend are 43%.
Fundamental Analysis (Ratings)
Tickeron has a negative outlook on this ticker and predicts a further decline by more than 4.00% within the next month with a likelihood of 62%. During the last month, the daily ratio of advancing to declining volumes was 1.58 to 1.
The Tickeron Price Growth Rating for this company is 5 (best 1 - 100 worst), indicating outstanding price growth. QCOM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of 6 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron SMR rating for this company is 11 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 15 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 18 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock better than average.
The Tickeron Valuation Rating of 81 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: QCOM's P/B Ratio (36.03) is very high in comparison to the industry average of (2.68). P/E Ratio (44.67) is within average values for comparable stocks, (355.69). Projected Growth (PEG Ratio) (0.25) is also within normal values, averaging (15.08). QCOM has a moderately high Dividend Yield (3.24) as compared to the industry average of (0.94). P/S Ratio (3.10) is also within normal values, averaging (5.68).
QCOM's Stochastic Oscillator slumps oversold zone
The Stochastic Oscillator for QCOM moved into oversold territory on March 12, 2025. Be on the watch for the price uptrend or consolidation in the future. At that time, consider buying the stock or exploring call options.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where QCOM's RSI Indicator exited the oversold zone, of 21 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where QCOM advanced for three days, in of 317 cases, the price rose further within the following month. The odds of a continued upward trend are .
QCOM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on February 20, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on QCOM as a result. In of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for QCOM turned negative on February 07, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 50 similar instances when the indicator turned negative. In of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at .
QCOM moved below its 50-day moving average on February 24, 2025 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for QCOM crossed bearishly below the 50-day moving average on March 03, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where QCOM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for QCOM entered a downward trend on March 12, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.250) is normal, around the industry mean (10.445). P/E Ratio (16.391) is within average values for comparable stocks, (71.648). Projected Growth (PEG Ratio) (1.502) is also within normal values, averaging (2.417). Dividend Yield (0.022) settles around the average of (0.022) among similar stocks. P/S Ratio (4.214) is also within normal values, averaging (32.905).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. QCOM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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a provider of wireless communication systems
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