QUALCOMM INC (1QCOM.MI) Stock Fundamental Analysis
BIT:1QCOM - Euronext Milan - US7475251036 - Common Stock - Currency: EUR
1QCOM gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 52 industry peers in the Semiconductors & Semiconductor Equipment industry. 1QCOM scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 1QCOM may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make 1QCOM a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
In the past year 1QCOM was profitable.
In the past year 1QCOM had a positive cash flow from operations.
In the past 5 years 1QCOM has always been profitable.
1QCOM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1QCOM has a better Return On Assets (19.94%) than 90.57% of its industry peers.
With an excellent Return On Equity value of 39.82%, 1QCOM belongs to the best of the industry, outperforming 86.79% of the companies in the same industry.
1QCOM's Return On Invested Capital of 19.13% is amongst the best of the industry. 1QCOM outperforms 84.91% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1QCOM is above the industry average of 15.85%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.94% | ||
| ROE | 39.82% | ||
| ROIC | 19.13% |
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's Profit Margin of 26.11% is fine compared to the rest of the industry. 1QCOM outperforms 77.36% of its industry peers.
In the last couple of years the Profit Margin of 1QCOM has grown nicely.
Looking at the Operating Margin, with a value of 27.64%, 1QCOM is in the better half of the industry, outperforming 69.81% of the companies in the same industry.
In the last couple of years the Operating Margin of 1QCOM has grown nicely.
1QCOM has a Gross Margin of 55.68%. This is in the better half of the industry: 1QCOM outperforms 75.47% of its industry peers.
1QCOM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.64% | ||
| PM (TTM) | 26.11% | ||
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1QCOM is creating value.
The number of shares outstanding for 1QCOM remains at a similar level compared to 1 year ago.
1QCOM has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1QCOM has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.00 indicates that 1QCOM is not in any danger for bankruptcy at the moment.
1QCOM's Altman-Z score of 6.00 is fine compared to the rest of the industry. 1QCOM outperforms 62.26% of its industry peers.
The Debt to FCF ratio of 1QCOM is 1.25, which is an excellent value as it means it would take 1QCOM, only 1.25 years of fcf income to pay off all of its debts.
1QCOM has a better Debt to FCF ratio (1.25) than 75.47% of its industry peers.
A Debt/Equity ratio of 0.48 indicates that 1QCOM is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.48, 1QCOM is doing worse than 77.36% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for 1QCOM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 6 |
ROIC/WACC2.04
WACC9.37%
2.3 Liquidity
A Current Ratio of 2.73 indicates that 1QCOM has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.73, 1QCOM is doing good in the industry, outperforming 67.92% of the companies in the same industry.
1QCOM has a Quick Ratio of 2.08. This indicates that 1QCOM is financially healthy and has no problem in meeting its short term obligations.
1QCOM has a Quick ratio of 2.08. This is in the better half of the industry: 1QCOM outperforms 77.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.73 | ||
| Quick Ratio | 2.08 |
3. Growth
3.1 Past
1QCOM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.23%, which is quite impressive.
The Earnings Per Share has been growing by 23.53% on average over the past years. This is a very strong growth
1QCOM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.15%.
1QCOM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.76% yearly.
EPS 1Y (TTM)24.23%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%16.8%
Revenue 1Y (TTM)16.15%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%15.45%
3.2 Future
1QCOM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.12% yearly.
The Revenue is expected to grow by 3.57% on average over the next years.
EPS Next Y17.51%
EPS Next 2Y10.17%
EPS Next 3Y5.36%
EPS Next 5Y10.12%
Revenue Next Year12.41%
Revenue Next 2Y8.11%
Revenue Next 3Y5.87%
Revenue Next 5Y3.57%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.50 indicates a correct valuation of 1QCOM.
Compared to the rest of the industry, the Price/Earnings ratio of 1QCOM indicates a rather cheap valuation: 1QCOM is cheaper than 83.02% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of 1QCOM to the average of the S&P500 Index (28.10), we can say 1QCOM is valued rather cheaply.
The Price/Forward Earnings ratio is 11.37, which indicates a very decent valuation of 1QCOM.
Based on the Price/Forward Earnings ratio, 1QCOM is valued cheaply inside the industry as 83.02% of the companies are valued more expensively.
1QCOM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.5 | ||
| Fwd PE | 11.37 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1QCOM is on the same level as its industry peers.
90.57% 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 | 13.31 | ||
| EV/EBITDA | 11.58 |
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.
1QCOM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.71
PEG (5Y)0.53
EPS Next 2Y10.17%
EPS Next 3Y5.36%
5. Dividend
5.1 Amount
1QCOM has a Yearly Dividend Yield of 2.63%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.48, 1QCOM pays a better dividend. On top of this 1QCOM pays more dividend than 92.45% of the companies listed in the same industry.
1QCOM's Dividend Yield is comparable with the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.63% |
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
34.21% of the earnings are spent on dividend by 1QCOM. This is a low number and sustainable payout ratio.
1QCOM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP34.21%
EPS Next 2Y10.17%
EPS Next 3Y5.36%
BIT:1QCOM (5/5/2025, 7:00:00 PM)
124.22
+4.34 (+3.62%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners79.72%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap137.39B
Analysts73.62
Price Target172.52 (38.88%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.63% |
Yearly Dividend2.92
Dividend Growth(5Y)5.69%
DP34.21%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.11%
Min EPS beat(2)-0.58%
Max EPS beat(2)12.79%
EPS beat(4)3
Avg EPS beat(4)4.2%
Min EPS beat(4)-0.58%
Max EPS beat(4)12.79%
EPS beat(8)7
Avg EPS beat(8)4.86%
EPS beat(12)8
Avg EPS beat(12)2.96%
EPS beat(16)12
Avg EPS beat(16)4.47%
Revenue beat(2)1
Avg Revenue beat(2)2.22%
Min Revenue beat(2)-0.25%
Max Revenue beat(2)4.69%
Revenue beat(4)2
Avg Revenue beat(4)1.43%
Min Revenue beat(4)-0.25%
Max Revenue beat(4)4.69%
Revenue beat(8)3
Avg Revenue beat(8)0.46%
Revenue beat(12)3
Avg Revenue beat(12)-0.24%
Revenue beat(16)7
Avg Revenue beat(16)0.54%
PT rev (1m)-11.73%
PT rev (3m)-12.94%
EPS NQ rev (1m)0.64%
EPS NQ rev (3m)0.87%
EPS NY rev (1m)0.09%
EPS NY rev (3m)4.98%
Revenue NQ rev (1m)0.45%
Revenue NQ rev (3m)0.37%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)2.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.5 | ||
| Fwd PE | 11.37 | ||
| P/S | 3.69 | ||
| P/FCF | 13.31 | ||
| P/OCF | 12.14 | ||
| P/B | 5.62 | ||
| P/tB | 9.99 | ||
| EV/EBITDA | 11.58 |
EPS(TTM)9.94
EY8%
EPS(NY)10.93
Fwd EY8.8%
FCF(TTM)9.33
FCFY7.51%
OCF(TTM)10.23
OCFY8.24%
SpS33.71
BVpS22.1
TBVpS12.43
PEG (NY)0.71
PEG (5Y)0.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.94% | ||
| ROE | 39.82% | ||
| ROCE | 25.5% | ||
| ROIC | 19.13% | ||
| ROICexc | 27.41% | ||
| ROICexgc | 44.16% | ||
| OM | 27.64% | ||
| PM (TTM) | 26.11% | ||
| GM | 55.68% | ||
| FCFM | 27.68% |
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-Score8
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 67.06% | ||
| Cap/Sales | 2.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.97% | ||
| Profit Quality | 106.02% | ||
| Current Ratio | 2.73 | ||
| Quick Ratio | 2.08 | ||
| Altman-Z | 6 |
F-Score8
WACC9.37%
ROIC/WACC2.04
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)24.23%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%16.8%
EPS Next Y17.51%
EPS Next 2Y10.17%
EPS Next 3Y5.36%
EPS Next 5Y10.12%
Revenue 1Y (TTM)16.15%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%15.45%
Revenue Next Year12.41%
Revenue Next 2Y8.11%
Revenue Next 3Y5.87%
Revenue Next 5Y3.57%
EBIT growth 1Y29.19%
EBIT growth 3Y1.56%
EBIT growth 5Y24.84%
EBIT Next Year28.58%
EBIT Next 3Y7.95%
EBIT Next 5Y6.24%
FCF growth 1Y70.79%
FCF growth 3Y8.88%
FCF growth 5Y11.77%
OCF growth 1Y44.38%
OCF growth 3Y5.02%
OCF growth 5Y10.86%