Key Stats for Qualcomm Stock
- Price change for Qualcomm stock in last 6 months: 34%
- $QCOM Stock Price as of Oct. 9: $176
- 52-Week High: $260
- $QCOM Stock Price Target: $194
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What Happened?
Qualcomm (QCOM) did not get a verdict in its lawsuit against Arm Holdings. The jury in Wilmington, Delaware, deliberated for about four hours on Friday without reaching a decision. It plans to return on Tuesday.
The case is the second trial between the two companies in two years. Qualcomm says Arm broke its licensing agreements in a few ways.
It says Arm held back software patches and tools. It also says Arm violated a deal meant to keep Qualcomm’s price within 10% of the lowest price for Arm’s processor designs.
Qualcomm says Arm tried to hurt its dealings with Meta. The claim is that Arm leaked a 2024 letter to Bloomberg saying Qualcomm was in breach of a key license.
Arm says Qualcomm suffered no harm. Its lawyer told the jury Qualcomm was “not harmed in the least.” Arm described the suit as a way to gain leverage in a fight over licensing terms.
A lot rides on this. Qualcomm’s license for Arm’s architecture runs until 2033. The question is whether it can agree on terms for newer versions.
Qualcomm’s lawyer said its entire chip business depends on Arm keeping its promises.
A separate bench trial also addressed whether Arm is negotiating in good faith. That ruling could come well after the verdict.
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What the Market Is Telling Us About Qualcomm Stock
For Qualcomm stock, the question remains open for now. A hung jury means no clear win or loss yet.
The business is moving on other fronts. In its latest quarter, Qualcomm reported $9.9 billion in revenue and $2.21 per share in earnings.
Automotive revenue hit a record $1.6 billion, up 61% from last year, and non-handset revenue grew 28%.
Management is also leaning into data centers. It expects data center revenue of $5 billion in fiscal 2027 and $15 billion in fiscal 2029.
That is part of a $40 billion non-handset target for fiscal 2029. Qualcomm stock could get more attention if those plans stay on track.
However, memory prices are hurting phone demand and pressuring margins.
Qualcomm also expects a sharp drop in Apple revenue. Qualcomm stock has a lot to prove on data centers, since it is a new entrant.
The Arm dispute adds one more thing to watch. Qualcomm stock may move once the jury returns on Tuesday.
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So what is Qualcomm stock actually worth?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
