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Qualcomm fought for the impending major client and severe loss of China.
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The product lines of the joint venture, of course, give investors a good reason to use their low assessment.
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10 shares we like more than Qualcomm ›
Investors have not noticed in recent years Qualcomm (Nasdaq: qcom) stock. The leader of the smartphone chip sets faced a declining income after the 5G upgrade cycle drove at its course and the demand for AI’s phones has not yet made a comparable growth cycle.
In addition to An apple 2027 Qualcomm drops as a chip set, and a large part of the company weighed shares in a large part of the company.
However, despite these challenges, investors may not notice a convincing reason to buy this value. That’s why.
In short, the reasons to buy Qualcomm are rising business lines.
In fact, the fight against the smartphone chip can continue. However, Qualcomm has long predicted a day when smartphones become less critical. It expanded into new business lines, including IT, Automotive and recently, the computer business. He also plans to create optional processors with whom will be integrated NvidiaAA tokens.
These movements show early signs of success. Although income growth in the first 2025 The fiscal side was 17%per year (ended on March 30), revenue increased by 31%over that period and car revenue increased by 60%. This exceeds 12% of phone sales, which still increases most of the company’s revenue.
In addition, Qualcomm costs and costs have increased closely, approximately coordinating income growth. However, its $ 6 billion in net income in the first two quarters of the Fiskal 2025 has risen 18%, indicating that the company’s chips business is in a larger cycle. Although Qualcomm has not reported the numbers in its computer business, she expects the fiscal 2029. Fiscal business annual revenue from that business will earn $ 4 billion.
Finally, despite the double digit profit growth, the Qualcomm shares sell a 16 P/E ratio. This shows that investors have essentially ignored this potential for the growth of the chip giant. However, with the rapid growth of the newer Qualcomm business lines, investors may want to use the low P/E ratio to prevent more investors from noticing.
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