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 58 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making 1QCOM a very profitable company, without any liquidiy or solvency issues. 1QCOM is not valued too expensively and it also shows a decent growth rate. These ratings could make 1QCOM a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year 1QCOM was profitable.
1QCOM had a positive operating cash flow in the past year.
Each year in the past 5 years 1QCOM has been profitable.
In the past 5 years 1QCOM always reported a positive cash flow from operatings.
1.2 Ratios
1QCOM has a Return On Assets of 18.99%. This is in the better half of the industry: 1QCOM outperforms 79.31% of its industry peers.
1QCOM has a Return On Equity of 39.27%. This is amongst the best in the industry. 1QCOM outperforms 84.48% of its industry peers.
The Return On Invested Capital of 1QCOM (17.93%) is better than 77.59% of its industry peers.
1QCOM had an Average Return On Invested Capital over the past 3 years of 20.79%. This is above the industry average of 16.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.99% | ||
| ROE | 39.27% | ||
| ROIC | 17.93% |
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 25.94% is fine compared to the rest of the industry. 1QCOM outperforms 77.59% of its industry peers.
1QCOM's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 26.80%, 1QCOM is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
1QCOM's Operating Margin has improved in the last couple of years.
1QCOM has a Gross Margin of 55.99%. This is in the better half of the industry: 1QCOM outperforms 75.86% of its industry peers.
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 | 26.8% | ||
| PM (TTM) | 25.94% | ||
| GM | 55.99% |
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 6.03 indicates that 1QCOM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.03, 1QCOM is in the better half of the industry, outperforming 63.79% of the companies in the same industry.
The Debt to FCF ratio of 1QCOM is 1.14, which is an excellent value as it means it would take 1QCOM, only 1.14 years of fcf income to pay off all of its debts.
1QCOM has a better Debt to FCF ratio (1.14) than 82.76% of its industry peers.
A Debt/Equity ratio of 0.49 indicates that 1QCOM is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.49, 1QCOM is not doing good in the industry: 74.14% of the companies in the same industry are doing better.
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 | 0.49 | ||
| Debt/FCF | 1.14 | ||
| Altman-Z | 6.03 |
ROIC/WACC1.59
WACC11.31%
2.3 Liquidity
1QCOM has a Current Ratio of 2.62. This indicates that 1QCOM is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.62, 1QCOM is doing good in the industry, outperforming 65.52% of the companies in the same industry.
A Quick Ratio of 1.99 indicates that 1QCOM should not have too much problems paying its short term obligations.
The Quick ratio of 1QCOM (1.99) is better than 75.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.66% over the past year.
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 12.13%.
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)23.66%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%24%
Revenue 1Y (TTM)12.13%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%17.61%
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 10.61% yearly.
The Revenue is expected to grow by 6.05% on average over the next years.
EPS Next Y17.4%
EPS Next 2Y10.43%
EPS Next 3Y5.99%
EPS Next 5Y10.61%
Revenue Next Year12.38%
Revenue Next 2Y8.4%
Revenue Next 3Y6.05%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
1QCOM is valuated correctly with a Price/Earnings ratio of 14.43.
Based on the Price/Earnings ratio, 1QCOM is valued a bit cheaper than the industry average as 70.69% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of 1QCOM to the average of the S&P500 Index (29.35), we can say 1QCOM is valued rather cheaply.
A Price/Forward Earnings ratio of 12.60 indicates a correct valuation of 1QCOM.
Based on the Price/Forward Earnings ratio, 1QCOM is valued cheaply inside the industry as 81.03% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of 1QCOM to the average of the S&P500 Index (22.10), we can say 1QCOM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.43 | ||
| Fwd PE | 12.6 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1QCOM.
Based on the Price/Free Cash Flow ratio, 1QCOM is valued cheaper than 91.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.62 | ||
| EV/EBITDA | 13.33 |
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 a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.83
PEG (5Y)0.61
EPS Next 2Y10.43%
EPS Next 3Y5.99%
5. Dividend
5.1 Amount
1QCOM has a Yearly Dividend Yield of 2.18%.
1QCOM's Dividend Yield is rather good when compared to the industry average which is at 1.50. 1QCOM pays more dividend than 87.93% of the companies in the same industry.
1QCOM's Dividend Yield is comparable with the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.18% |
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
35.38% of the earnings are spent on dividend by 1QCOM. This is a low number and sustainable payout ratio.
The dividend of 1QCOM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP35.38%
EPS Next 2Y10.43%
EPS Next 3Y5.99%
BIT:1QCOM (3/4/2025, 7:00:00 PM)
144.48
-6.52 (-4.32%)
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 Cap159.79B
Analysts74.47
Price Target195.45 (35.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.18% |
Yearly Dividend3.05
Dividend Growth(5Y)5.69%
DP35.38%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.91%
Min EPS beat(2)3.04%
Max EPS beat(2)12.79%
EPS beat(4)4
Avg EPS beat(4)5.1%
Min EPS beat(4)1.54%
Max EPS beat(4)12.79%
EPS beat(8)7
Avg EPS beat(8)4.7%
EPS beat(12)9
Avg EPS beat(12)3.68%
EPS beat(16)13
Avg EPS beat(16)5.24%
Revenue beat(2)2
Avg Revenue beat(2)3.04%
Min Revenue beat(2)1.4%
Max Revenue beat(2)4.69%
Revenue beat(4)2
Avg Revenue beat(4)1.13%
Min Revenue beat(4)-1.47%
Max Revenue beat(4)4.69%
Revenue beat(8)3
Avg Revenue beat(8)0.48%
Revenue beat(12)4
Avg Revenue beat(12)0.05%
Revenue beat(16)8
Avg Revenue beat(16)0.69%
PT rev (1m)-1.37%
PT rev (3m)-1.12%
EPS NQ rev (1m)4.25%
EPS NQ rev (3m)5.02%
EPS NY rev (1m)4.88%
EPS NY rev (3m)4.99%
Revenue NQ rev (1m)2.64%
Revenue NQ rev (3m)3.04%
Revenue NY rev (1m)2.11%
Revenue NY rev (3m)2.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.43 | ||
| Fwd PE | 12.6 | ||
| P/S | 4.26 | ||
| P/FCF | 13.62 | ||
| P/OCF | 12.54 | ||
| P/B | 6.45 | ||
| P/tB | 11.76 | ||
| EV/EBITDA | 13.33 |
EPS(TTM)10.01
EY6.93%
EPS(NY)11.47
Fwd EY7.94%
FCF(TTM)10.61
FCFY7.34%
OCF(TTM)11.53
OCFY7.98%
SpS33.89
BVpS22.39
TBVpS12.28
PEG (NY)0.83
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.99% | ||
| ROE | 39.27% | ||
| ROCE | 23.91% | ||
| ROIC | 17.93% | ||
| ROICexc | 26.12% | ||
| ROICexgc | 42.65% | ||
| OM | 26.8% | ||
| PM (TTM) | 25.94% | ||
| GM | 55.99% | ||
| FCFM | 31.3% |
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-Score9
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 1.14 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 64.75% | ||
| Cap/Sales | 2.71% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 109.73% | ||
| Profit Quality | 120.66% | ||
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 6.03 |
F-Score9
WACC11.31%
ROIC/WACC1.59
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)23.66%
EPS 3Y6.13%
EPS 5Y23.53%
EPS Q2Q%24%
EPS Next Y17.4%
EPS Next 2Y10.43%
EPS Next 3Y5.99%
EPS Next 5Y10.61%
Revenue 1Y (TTM)12.13%
Revenue growth 3Y5.09%
Revenue growth 5Y14.76%
Sales Q2Q%17.61%
Revenue Next Year12.38%
Revenue Next 2Y8.4%
Revenue Next 3Y6.05%
Revenue Next 5YN/A
EBIT growth 1Y21.13%
EBIT growth 3Y1.56%
EBIT growth 5Y24.84%
EBIT Next Year21.28%
EBIT Next 3Y8.46%
EBIT Next 5YN/A
FCF growth 1Y58.07%
FCF growth 3Y8.88%
FCF growth 5Y11.77%
OCF growth 1Y36.57%
OCF growth 3Y5.02%
OCF growth 5Y10.86%