Is QUALCOMM INC (NASDAQ:QCOM) the type of stock Peter Lynch would love?

Known for his philosophy of investing in what you know, Peter Lynch looked for companies with consistent earnings growth, low debt, and a competitive edge. Does QUALCOMM INC (NASDAQ:QCOM) meet these key criteria? Let’s find out.

Checking the Peter Lynch growth stock criteria for QUALCOMM INC (NASDAQ:QCOM)

• QCOM has a healthy Return on Equity(ROE) of 39.27%. This demonstrates the company's efficient utilization of capital and indicates its commitment to driving profitability.
• With a Debt/Equity ratio of 0.49, QCOM demonstrates prudent financial management.
• The EPS of QCOM has shown consistent growth over a 5-year period, indicating the company's ability to generate increasing earnings over time.
• With a PEG ratio of 0.54, QCOM presents a compelling case for growth at a fair price.
• With a Current Ratio of 2.62, QCOM demonstrates solid short-term financial stability.

Fundamental analysis of QCOM

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

Taking everything into account, QCOM scores 8 out of 10 in our fundamental rating. QCOM was compared to 109 industry peers in the Semiconductors & Semiconductor Equipment industry. QCOM gets an excellent profitability rating and is at the same time showing great financial health properties. QCOM scores decently on growth, while it is valued quite cheap. This could make an interesting combination. Finally QCOM also has an excellent dividend rating. These ratings would make QCOM suitable for value and dividend and quality investing!

For an up to date full fundamental analysis you can check the fundamental report of QCOM

Our Peter Lynch screener lists more Affordable Growth stocks and is updated daily.

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.