Why the quality investor may take a look at QUALCOMM INC (NASDAQ:QCOM).

In this article we will dive into QUALCOMM INC (NASDAQ:QCOM) as a possible candidate for quality investing. Investors should always do their own research, but we noticed QUALCOMM INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Key Considerations for Quality Investors.

• QCOM has shown strong performance in revenue growth over the past 5 years, with a 14.76% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
• The ROIC excluding cash and goodwill of QCOM stands at 44.92%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• With a favorable Debt/Free Cash Flow Ratio of 1.14, QCOM showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• The Profit Quality (5-year) of QCOM stands at 95.9%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• QCOM has demonstrated consistent growth in EBIT over the past 5 years, with a strong 24.84%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• QCOM has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental analysis of QCOM

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

We assign a fundamental rating of 8 out of 10 to QCOM. QCOM was compared to 108 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making QCOM a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on QCOM. QCOM also has an excellent dividend rating. These ratings would make QCOM suitable for value and dividend and quality investing!

Check the latest full fundamental report of QCOM for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.