Qualcomm (QCOM) generated $5.1 billion of handset chip revenue in fiscal Q3 2026, more than half of its $9.9 billion total, while total revenue fell 4.0% year over year. Management cited two causes: costlier memory chips weighing on the global smartphone market, and Android phone chip revenue down 20%, along with an expected Apple share of the upcoming iPhone launch materially lower than its earlier estimate of 20%. Chip sales outside handsets, including automotive and connected devices, grew 28%, with automotive revenue reaching $1.6 billion, up 61%. Management expects growth outside handsets in fiscal 2027 to replace Apple revenue from fiscal 2026, including data center revenue reaching $5 billion, though the article notes that investors want more proof from this new entrant. The stock trades at 19.9 times earnings versus 21.9 for the S&P 500 and returned 7.5% over the past twelve months against 17.3% for the index, and the article points to the roughly $5.2 billion handset chip revenue forecast for fiscal Q4 2026 as the key number to watch.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Get briefings and signals on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the morning, midday and evening briefing of each market and important news as it happens.