Qualcomm (QCOM) Reports Q1: Everything You Need To Know Ahead Of Earnings

Max Juang /
2024/01/30 2:00 am EST

Wireless chipmaker Qualcomm (NASDAQ:QCOM) will be announcing earnings results tomorrow after market hours. Here's what to look for.

Last quarter Qualcomm reported revenues of $8.63 billion, down 24.2% year on year, beating analyst revenue expectations by 1.3%. It was a mixed quarter for the company, with an impressive beat of analysts' EPS estimates. In addition, next quarter's revenue and EPS guidance came in higher than Wall Street's estimates. On the other hand, its gross margin declined.

Is Qualcomm buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Qualcomm's revenue to grow 0.6% year on year to $9.52 billion, improving on the 11.6% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.37 per share.

Qualcomm Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing four upwards revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.

Looking at Qualcomm's peers in the semiconductors segment, some of them have already reported Q1 earnings results, giving us a hint of what we can expect. SMART's revenues decreased 30% year on year, missing analyst estimates by 0.3% and Intel reported revenues up 9.7% year on year, exceeding estimates by 1.5%. SMART traded up 82% on the results, Intel was down 4.7%.

Read our full analysis of SMART's results here and Intel's results here.

There has been positive sentiment among investors in the semiconductors segment, with the stocks up on average 3.7% over the last month. Qualcomm is up 7% during the same time, and is heading into the earnings with analyst price target of $154.3, compared to share price of $150.1.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

Join Paid Stock Investor Research

Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.

The author has no position in any of the stocks mentioned.