QCOM stock experienced wild swings on February 3, 2022, on a sea of positive analysts actions and a CNBC “Nothing about this quarter wasn’t great” moment. We detected bullish option flow in QCOM stock on February 3, 2022.
Bullish Option Flow
Make sure to review this lesson on option flow so that you understand the image above.
Qualcomm CEO: There was nothing about this quarter that wasn’t great
In an interview on CNBC’s Mad Money, Cristiano Amon said Qualcomm’s automotive business is “going very well.” He’s confident we will get to autonomous driving but thinks it will take time. He said the company’s IoT business is very diversified and growing significantly. The metaverse is a “huge opportunity” for Qualcomm, he noted.
Qualcomm price target raised to $250 from $225 at Bernstein
Bernstein analyst Stacy Rasgon raised the firm’s price target on Qualcomm to $250 from $225 and keeps an Outperform rating on the shares. The analyst notes the company reported “strong” FQ1 results with significant handset and licensing upside more than offsetting a bit of adjacency weakness.
Qualcomm price target raised to $220 from $210 at Cowen
Cowen analyst Matthew Ramsay raised the firm’s price target on Qualcomm to $220 from $210 and keeps an Outperform rating on the shares. The analyst sees an increasingly diverse set of growth drivers outside handsets and momentum already above the analyst day targets. He remains constructive and raises 2022 EPS.
Qualcomm price target raised to $250 from $225 at Canaccord
Canaccord analyst T. Michael Walkley raised the firm’s price target on Qualcomm to $250 from $225 and keeps a Buy rating on the shares. The analyst said as industry supply-demand dynamics likely normalize during C2022, he anticipates the company is likely to benefit through F2023 and beyond as 5G smartphones ramp, the company’s mix of 5G grows with 50% greater content than 4G smartphones, the RF business expands, and strong trends in IoT and automotive augment overall revenue growth and contribute to expanding margins.
Qualcomm price target raised to $190 from $175 at Susquehanna
Susquehanna analyst Christopher Rolland raised the firm’s price target on Qualcomm to $190 from $175 and keeps a Neutral rating on the shares. The analyst said on the supply front, demand continues to exceed supply, but management continues to expect incremental improvements to supply over the course of the year. He said management highlighted the September quarter as the next inflection point for growth as more flagships launch across several major OEMs.
Qualcomm price target raised to $230 from $220 at KeyBanc
KeyBanc analyst John Vinh raised the firm’s price target on Qualcomm to $230 from $220 and keeps an Overweight rating on the shares after the company posted “strong” beat and raise results. While management did temper Q3 expectations, fiscal 2022 is tracking well above Qualcomm’s prior outlook of 20% EPS growth, the analyst notes.
Qualcomm price target raised to $222 from $190 at Raymond James
Raymond James analyst Chris Caso raised the firm’s price target on Qualcomm to $222 from $190 and keeps a Strong Buy rating on the shares. Qualcomm reported a “very strong” quarter and outlook, and provided commentary suggesting June revenue to be down q/q off the stronger than expected March, Caso tells investors in a research note. The analyst thinks the sequential decline in June is simply a function of the timing of customer product launches, and notes that the company spoke of an “inflection” in demand in September.
Qualcomm price target raised to $210 from $195 at Mizuho
Mizuho analyst Vijay Rakesh raised the firm’s price target on Qualcomm to $210 from $195 and keeps a Buy rating on the shares. The company guided to a strong March quarter despite supply constraints, Rakesh tells investors in a research note. The analyst sees Qualcomm as well positioned for a multi-year 5G rollout.
QCOM Q1 2022 Results
Qualcomm reported Q1 adjusted EPS of $3.23 versus the consensus estimate of $3.01. The company reported Q1 revenue of $10.71B versus the consensus estimate of $10.42B.
“Our record quarterly results reflect the strong demand for our products and technologies, with QCT revenues exceeding those of any fabless semiconductor company,” said Cristiano Amon, President and CEO of Qualcomm Incorporated. “We are at the beginning of one of the largest opportunities in our history, with our addressable market expanding by more than seven times to approximately $700 billion in the next decade. Our one technology roadmap positions us as the partner of choice for both mobile and the connected intelligent edge.”
📺 Qualcomm after earnings
📈 QCOM Stock Technical Analysis
Both the short term and long term trends are positive. This is a very positive sign. QCOM is one of the better performing stocks in the Semiconductors & Semiconductor Equipment industry, it outperforms 83% of 107 stocks in the same industry. QCOM is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so QCOM is performing more or less in line with the market. Volume is considerably higher in the last couple of days, which is what you like to see during a strong movement up.
There is a support zone ranging from 163.78 to 164.92. This zone is formed by a combination of multiple trend lines in multiple time frames. There is support at 161.19 from a horizontal line in the daily time frame. There is also support at 140.33 from a trend line in the weekly time frame. Finally, there is a support zone ranging from 129.75 to 131.45. This zone is formed by a combination of multiple trend lines in the weekly time frame.
There is a resistance zone ranging from 188.70 to 189.29. This zone is formed by a combination of multiple trend lines in multiple time frames.
QCOM has an excellent technical rating, but the quality of the setup is only medium at the moment. QCOM stock has a Setup Rating of 6 out of 10. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first. Click here to sign up for email alerts on when QCOM stock consolidates and has a Setup Rating of 8 or higher.