Cody Acree, an analyst from Benchmark Co., reiterated the Buy rating on Qualcomm (QCOM – Research Report). The associated price target was lowered to $200.00.
Cody Acree has given his Buy rating due to a combination of factors that highlight Qualcomm’s robust performance and potential for future growth. Qualcomm demonstrated strong revenue growth across its key markets, including a 12% increase in handsets, 27% in IoT, and a significant 59% rise in its Automotive sector. Despite some minor guidance misses and concerns about tariffs, the company has shown resilience with its strong execution and tariff exemptions on major products.
Qualcomm’s financial results for the March quarter surpassed expectations, with revenue and EPS both exceeding Street consensus. The company’s QCT division also posted impressive year-over-year growth, and its outlook for the June quarter remains positive, driven by expected strength in handsets and continued growth in IoT and Automotive. Furthermore, Qualcomm’s strategic positioning in China, with increased subsidies and strong design traction, supports its growth prospects. These factors collectively underpin Cody Acree’s Buy rating, despite a slight reduction in the price target due to industry-wide multiple compression.
In another report released today, Bank of America Securities also maintained a Buy rating on the stock with a $245.00 price target.