QUALCOMM (QCOM) Stock Forecast & Price Target

Qualcomm demonstrates a robust financial performance with QCT revenue increasing by 11% year-over-year to $9.0 billion, driven by significant growth in handsets, IoT, and automotive sectors. The company's IoT segment reported a remarkable 24% year-over-year growth, reaching $1.7 billion, highlighting strong demand driven by edge AI applications. Additionally, Qualcomm's technology licensing revenue, increasing 4% year-over-year to $1.3 billion, along with an elevated EBT margin of 71%, underscores the strength of the company’s intellectual property business and its competitive position in the market.

Qualcomm's revenue guidance for the fourth quarter indicates a range between $10.3 billion and $11.1 billion, which is slightly below previous estimates, leading to a revised revenue forecast of $10.65 billion for the September quarter. Additionally, the company's anticipated fiscal year 2025 revenue has been adjusted downward to $43.52 billion, reflecting a concerning trend in financial performance amidst challenges with Apple-related revenue and weak expansion in the data center market. Finally, the consistent struggle to finalize agreements with major hyperscalers further exacerbates the uncertainty surrounding Qualcomm's growth prospects and ability to capitalize on emerging markets.