QUALCOMM INC (1QCOM.MI) Stock Fundamental Analysis
BIT:1QCOM - Euronext Milan - US7475251036 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to 1QCOM. 1QCOM was compared to 60 industry peers in the Semiconductors & Semiconductor Equipment industry. 1QCOM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 1QCOM is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make 1QCOM a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
1QCOM had positive earnings in the past year.
1QCOM had a positive operating cash flow in the past year.
1QCOM had positive earnings in each of the past 5 years.
In the past 5 years 1QCOM always reported a positive cash flow from operatings.
1.2 Ratios
1QCOM's Return On Assets of 21.10% is amongst the best of the industry. 1QCOM outperforms 91.67% of its industry peers.
With an excellent Return On Equity value of 42.55%, 1QCOM belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
The Return On Invested Capital of 1QCOM (19.37%) is better than 81.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1QCOM is significantly above the industry average of 15.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.1% | ||
| ROE | 42.55% | ||
| ROIC | 19.37% |
ROA(3y)19.65%
ROA(5y)19.1%
ROE(3y)47.98%
ROE(5y)64.07%
ROIC(3y)20.79%
ROIC(5y)19.83%
1.3 Margins
1QCOM has a better Profit Margin (26.77%) than 76.67% of its industry peers.
1QCOM's Profit Margin has improved in the last couple of years.
The Operating Margin of 1QCOM (28.10%) is better than 66.67% of its industry peers.
1QCOM's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 55.68%, 1QCOM is in the better half of the industry, outperforming 71.67% of the companies in the same industry.
In the last couple of years the Gross Margin of 1QCOM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.1% | ||
| PM (TTM) | 26.77% | ||
| GM | 55.68% |
OM growth 3Y-3.37%
OM growth 5Y8.78%
PM growth 3Y-1.14%
PM growth 5Y3.04%
GM growth 3Y-0.76%
GM growth 5Y0.05%
2. Health
2.1 Basic Checks
1QCOM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, 1QCOM has about the same amount of shares outstanding.
1QCOM has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1QCOM has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.05 indicates that 1QCOM is not in any danger for bankruptcy at the moment.
1QCOM's Altman-Z score of 6.05 is in line compared to the rest of the industry. 1QCOM outperforms 58.33% of its industry peers.
1QCOM has a debt to FCF ratio of 1.27. This is a very positive value and a sign of high solvency as it would only need 1.27 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 1.27, 1QCOM is doing good in the industry, outperforming 78.33% of the companies in the same industry.
1QCOM has a Debt/Equity ratio of 0.54. This is a neutral value indicating 1QCOM is somewhat dependend on debt financing.
The Debt to Equity ratio of 1QCOM (0.54) is worse than 73.33% of its industry peers.
Although 1QCOM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 1.27 | ||
| Altman-Z | 6.05 |
ROIC/WACC1.74
WACC11.1%
2.3 Liquidity
A Current Ratio of 3.19 indicates that 1QCOM has no problem at all paying its short term obligations.
1QCOM's Current ratio of 3.19 is fine compared to the rest of the industry. 1QCOM outperforms 75.00% of its industry peers.
A Quick Ratio of 2.38 indicates that 1QCOM has no problem at all paying its short term obligations.
1QCOM's Quick ratio of 2.38 is amongst the best of the industry. 1QCOM outperforms 81.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.19 | ||
| Quick Ratio | 2.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.85% over the past year.
Measured over the past years, 1QCOM shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.53% on average per year.
The Revenue has grown by 15.82% in the past year. This is quite good.
The Revenue has been growing by 14.76% on average over the past years. This is quite good.
EPS 1Y (TTM)22.85%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%18.88%
Revenue 1Y (TTM)15.82%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%10.37%
3.2 Future
1QCOM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.17% yearly.
1QCOM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.90% yearly.
EPS Next Y17.54%
EPS Next 2Y9.26%
EPS Next 3Y6.72%
EPS Next 5Y7.17%
Revenue Next Year12.69%
Revenue Next 2Y7.08%
Revenue Next 3Y5.66%
Revenue Next 5Y4.9%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.69, which indicates a correct valuation of 1QCOM.
Based on the Price/Earnings ratio, 1QCOM is valued cheaper than 91.67% of the companies in the same industry.
1QCOM is valuated cheaply when we compare the Price/Earnings ratio to 26.48, which is the current average of the S&P500 Index.
1QCOM is valuated correctly with a Price/Forward Earnings ratio of 12.21.
Based on the Price/Forward Earnings ratio, 1QCOM is valued a bit cheaper than the industry average as 78.33% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.04. 1QCOM is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 12.21 |
4.2 Price Multiples
1QCOM's Enterprise Value to EBITDA is on the same level as the industry average.
90.00% of the companies in the same industry are more expensive than 1QCOM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.81 | ||
| EV/EBITDA | 11.63 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of 1QCOM may justify a higher PE ratio.
PEG (NY)0.72
PEG (5Y)0.54
EPS Next 2Y9.26%
EPS Next 3Y6.72%
5. Dividend
5.1 Amount
1QCOM has a Yearly Dividend Yield of 2.44%. Purely for dividend investing, there may be better candidates out there.
The stock price of 1QCOM dropped by -22.68% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
1QCOM's Dividend Yield is rather good when compared to the industry average which is at 1.33. 1QCOM pays more dividend than 90.00% of the companies in the same industry.
1QCOM's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
5.2 History
The dividend of 1QCOM has a limited annual growth rate of 5.69%.
Dividend Growth(5Y)5.69%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1QCOM pays out 32.79% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1QCOM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP32.79%
EPS Next 2Y9.26%
EPS Next 3Y6.72%
BIT:1QCOM (8/4/2025, 7:00:00 PM)
127.82
-3.36 (-2.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners81.04%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap137.89B
Analysts73.75
Price Target155.23 (21.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
Yearly Dividend2.84
Dividend Growth(5Y)5.69%
DP32.79%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.45%
Min EPS beat(2)-0.96%
Max EPS beat(2)0.05%
EPS beat(4)3
Avg EPS beat(4)3.73%
Min EPS beat(4)-0.96%
Max EPS beat(4)12.79%
EPS beat(8)7
Avg EPS beat(8)4.64%
EPS beat(12)8
Avg EPS beat(12)2.83%
EPS beat(16)12
Avg EPS beat(16)3.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-1.85%
Max Revenue beat(2)-0.35%
Revenue beat(4)2
Avg Revenue beat(4)0.97%
Min Revenue beat(4)-1.85%
Max Revenue beat(4)4.69%
Revenue beat(8)3
Avg Revenue beat(8)0.54%
Revenue beat(12)3
Avg Revenue beat(12)-0.28%
Revenue beat(16)6
Avg Revenue beat(16)0.15%
PT rev (1m)-2.78%
PT rev (3m)-11.04%
EPS NQ rev (1m)1.09%
EPS NQ rev (3m)-1.95%
EPS NY rev (1m)0%
EPS NY rev (3m)0.03%
Revenue NQ rev (1m)1.05%
Revenue NQ rev (3m)-1.68%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 12.21 | ||
| P/S | 3.71 | ||
| P/FCF | 13.81 | ||
| P/OCF | 12.68 | ||
| P/B | 5.9 | ||
| P/tB | 10.97 | ||
| EV/EBITDA | 11.63 |
EPS(TTM)10.07
EY7.88%
EPS(NY)10.47
Fwd EY8.19%
FCF(TTM)9.25
FCFY7.24%
OCF(TTM)10.08
OCFY7.89%
SpS34.44
BVpS21.66
TBVpS11.66
PEG (NY)0.72
PEG (5Y)0.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.1% | ||
| ROE | 42.55% | ||
| ROCE | 25.83% | ||
| ROIC | 19.37% | ||
| ROICexc | 24.6% | ||
| ROICexgc | 37.23% | ||
| OM | 28.1% | ||
| PM (TTM) | 26.77% | ||
| GM | 55.68% | ||
| FCFM | 26.87% |
ROA(3y)19.65%
ROA(5y)19.1%
ROE(3y)47.98%
ROE(5y)64.07%
ROIC(3y)20.79%
ROIC(5y)19.83%
ROICexc(3y)27.2%
ROICexc(5y)28.87%
ROICexgc(3y)44.87%
ROICexgc(5y)51.92%
ROCE(3y)27.9%
ROCE(5y)26.71%
ROICexcg growth 3Y-22.23%
ROICexcg growth 5Y-9.77%
ROICexc growth 3Y-16.58%
ROICexc growth 5Y3.47%
OM growth 3Y-3.37%
OM growth 5Y8.78%
PM growth 3Y-1.14%
PM growth 5Y3.04%
GM growth 3Y-0.76%
GM growth 5Y0.05%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 1.27 | ||
| Debt/EBITDA | 1.07 | ||
| Cap/Depr | 62.34% | ||
| Cap/Sales | 2.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.6% | ||
| Profit Quality | 100.38% | ||
| Current Ratio | 3.19 | ||
| Quick Ratio | 2.38 | ||
| Altman-Z | 6.05 |
F-Score7
WACC11.1%
ROIC/WACC1.74
Cap/Depr(3y)89.85%
Cap/Depr(5y)97.98%
Cap/Sales(3y)3.95%
Cap/Sales(5y)4.79%
Profit Quality(3y)99.69%
Profit Quality(5y)95.9%
High Growth Momentum
Growth
EPS 1Y (TTM)22.85%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%18.88%
EPS Next Y17.54%
EPS Next 2Y9.26%
EPS Next 3Y6.72%
EPS Next 5Y7.17%
Revenue 1Y (TTM)15.82%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%10.37%
Revenue Next Year12.69%
Revenue Next 2Y7.08%
Revenue Next 3Y5.66%
Revenue Next 5Y4.9%
EBIT growth 1Y27.63%
EBIT growth 3Y1.56%
EBIT growth 5Y24.84%
EBIT Next Year27.47%
EBIT Next 3Y7.62%
EBIT Next 5Y8.2%
FCF growth 1Y69.32%
FCF growth 3Y8.88%
FCF growth 5Y11.77%
OCF growth 1Y46.31%
OCF growth 3Y5.02%
OCF growth 5Y10.86%