QUALCOMM INC (QCOM) Stock Fundamental Analysis
NASDAQ:QCOM • US7475251036
140.7 USD
+2.23 (+1.61%)
At close: Feb 13, 2026
140.55 USD
-0.15 (-0.11%)
After Hours: 2/13/2026, 4:35:41 PM
Taking everything into account, QCOM scores 7 out of 10 in our fundamental rating. QCOM was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. QCOM scores excellent on profitability, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on QCOM. QCOM also has an excellent dividend rating. These ratings would make QCOM suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- QCOM had positive earnings in the past year.
- QCOM had a positive operating cash flow in the past year.
- Each year in the past 5 years QCOM has been profitable.
- QCOM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- QCOM has a Return On Assets of 10.12%. This is in the better half of the industry: QCOM outperforms 79.65% of its industry peers.
- Looking at the Return On Equity, with a value of 23.25%, QCOM belongs to the top of the industry, outperforming 89.38% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 19.99%, QCOM belongs to the top of the industry, outperforming 92.92% of the companies in the same industry.
- QCOM had an Average Return On Invested Capital over the past 3 years of 17.48%. This is significantly above the industry average of 10.76%.
- The 3 year average ROIC (17.48%) for QCOM is below the current ROIC(19.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 23.25% | ||
| ROIC | 19.99% |
ROA(3y)14.54%
ROA(5y)18.39%
ROE(3y)32.75%
ROE(5y)52.19%
ROIC(3y)17.48%
ROIC(5y)20.71%
1.3 Margins
- Looking at the Profit Margin, with a value of 11.96%, QCOM is in the better half of the industry, outperforming 67.26% of the companies in the same industry.
- QCOM's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 27.20%, QCOM belongs to the best of the industry, outperforming 85.84% of the companies in the same industry.
- QCOM's Operating Margin has improved in the last couple of years.
- QCOM has a Gross Margin of 55.10%. This is in the better half of the industry: QCOM outperforms 72.57% of its industry peers.
- In the last couple of years the Gross Margin of QCOM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.2% | ||
| PM (TTM) | 11.96% | ||
| GM | 55.1% |
OM growth 3Y-5.8%
OM growth 5Y6.56%
PM growth 3Y-24.67%
PM growth 5Y-12.15%
GM growth 3Y-1.41%
GM growth 5Y-0.7%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), QCOM is creating value.
- Compared to 1 year ago, QCOM has less shares outstanding
- Compared to 5 years ago, QCOM has less shares outstanding
- The debt/assets ratio for QCOM is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 5.49 indicates that QCOM is not in any danger for bankruptcy at the moment.
- QCOM has a Altman-Z score (5.49) which is comparable to the rest of the industry.
- QCOM has a debt to FCF ratio of 1.15. This is a very positive value and a sign of high solvency as it would only need 1.15 years to pay back of all of its debts.
- QCOM's Debt to FCF ratio of 1.15 is fine compared to the rest of the industry. QCOM outperforms 72.57% of its industry peers.
- A Debt/Equity ratio of 0.64 indicates that QCOM is somewhat dependend on debt financing.
- QCOM has a Debt to Equity ratio of 0.64. This is in the lower half of the industry: QCOM underperforms 72.57% of its industry peers.
- Although QCOM 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 | 0.64 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 5.49 |
ROIC/WACC1.86
WACC10.75%
2.3 Liquidity
- A Current Ratio of 2.51 indicates that QCOM has no problem at all paying its short term obligations.
- QCOM's Current ratio of 2.51 is in line compared to the rest of the industry. QCOM outperforms 42.48% of its industry peers.
- A Quick Ratio of 1.83 indicates that QCOM should not have too much problems paying its short term obligations.
- With a Quick ratio value of 1.83, QCOM is not doing good in the industry: 60.18% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.51 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 11.50% over the past year.
- Measured over the past years, QCOM shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.54% on average per year.
- The Revenue has grown by 10.25% in the past year. This is quite good.
- The Revenue has been growing by 15.30% on average over the past years. This is quite good.
EPS 1Y (TTM)11.5%
EPS 3Y-1.35%
EPS 5Y23.54%
EPS Q2Q%2.64%
Revenue 1Y (TTM)10.25%
Revenue growth 3Y0.06%
Revenue growth 5Y15.3%
Sales Q2Q%5%
3.2 Future
- QCOM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.18% yearly.
- QCOM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.35% yearly.
EPS Next Y1.63%
EPS Next 2Y1.91%
EPS Next 3Y3.11%
EPS Next 5Y7.18%
Revenue Next Year3.7%
Revenue Next 2Y2.45%
Revenue Next 3Y3.59%
Revenue Next 5Y5.35%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- 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
- A Price/Earnings ratio of 11.61 indicates a reasonable valuation of QCOM.
- Based on the Price/Earnings ratio, QCOM is valued cheaply inside the industry as 97.35% of the companies are valued more expensively.
- QCOM is valuated cheaply when we compare the Price/Earnings ratio to 27.67, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 11.26 indicates a reasonable valuation of QCOM.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of QCOM indicates a rather cheap valuation: QCOM is cheaper than 95.58% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 27.69, QCOM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.61 | ||
| Fwd PE | 11.26 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of QCOM indicates a rather cheap valuation: QCOM is cheaper than 93.81% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, QCOM is valued cheaply inside the industry as 96.46% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.61 | ||
| EV/EBITDA | 10.62 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of QCOM may justify a higher PE ratio.
PEG (NY)7.12
PEG (5Y)0.49
EPS Next 2Y1.91%
EPS Next 3Y3.11%
5. Dividend
5.1 Amount
- QCOM has a Yearly Dividend Yield of 2.52%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 0.53, QCOM pays a better dividend. On top of this QCOM pays more dividend than 94.69% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.80, QCOM pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
5.2 History
- The dividend of QCOM is nicely growing with an annual growth rate of 6.56%!
- QCOM has paid a dividend for at least 10 years, which is a reliable track record.
- QCOM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.56%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
- QCOM pays out 71.05% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of QCOM is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP71.05%
EPS Next 2Y1.91%
EPS Next 3Y3.11%
140.7
+2.23 (+1.61%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)02-04 2026-02-04/amc
Earnings (Next)04-28 2026-04-28/amc
Inst Owners81.85%
Inst Owner Change-2.71%
Ins Owners0.05%
Ins Owner Change3.93%
Market Cap150.13B
Revenue(TTM)44.87B
Net Income(TTM)5.37B
Analysts72.89
Price Target190.7 (35.54%)
Short Float %2.99%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
Yearly Dividend3.48
Dividend Growth(5Y)6.56%
DP71.05%
Div Incr Years21
Div Non Decr Years21
Ex-Date03-05 2026-03-05 (0.89)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.42%
Min EPS beat(2)0.57%
Max EPS beat(2)2.27%
EPS beat(4)3
Avg EPS beat(4)0.48%
Min EPS beat(4)-0.96%
Max EPS beat(4)2.27%
EPS beat(8)7
Avg EPS beat(8)2.79%
EPS beat(12)10
Avg EPS beat(12)3.29%
EPS beat(16)12
Avg EPS beat(16)2.88%
Revenue beat(2)1
Avg Revenue beat(2)0.38%
Min Revenue beat(2)-1.63%
Max Revenue beat(2)2.38%
Revenue beat(4)1
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-1.85%
Max Revenue beat(4)2.38%
Revenue beat(8)3
Avg Revenue beat(8)0.38%
Revenue beat(12)4
Avg Revenue beat(12)0.19%
Revenue beat(16)5
Avg Revenue beat(16)-0.05%
PT rev (1m)-2.18%
PT rev (3m)3.65%
EPS NQ rev (1m)-0.26%
EPS NQ rev (3m)-0.99%
EPS NY rev (1m)-1.15%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)2.26%
Revenue NY rev (1m)-0.72%
Revenue NY rev (3m)1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.61 | ||
| Fwd PE | 11.26 | ||
| P/S | 3.35 | ||
| P/FCF | 11.61 | ||
| P/OCF | 10.43 | ||
| P/B | 6.51 | ||
| P/tB | 20.67 | ||
| EV/EBITDA | 10.62 |
EPS(TTM)12.12
EY8.61%
EPS(NY)12.49
Fwd EY8.88%
FCF(TTM)12.11
FCFY8.61%
OCF(TTM)13.49
OCFY9.59%
SpS42.05
BVpS21.62
TBVpS6.81
PEG (NY)7.12
PEG (5Y)0.49
Graham Number76.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 23.25% | ||
| ROCE | 28.24% | ||
| ROIC | 19.99% | ||
| ROICexc | 27.52% | ||
| ROICexgc | 55.45% | ||
| OM | 27.2% | ||
| PM (TTM) | 11.96% | ||
| GM | 55.1% | ||
| FCFM | 28.81% |
ROA(3y)14.54%
ROA(5y)18.39%
ROE(3y)32.75%
ROE(5y)52.19%
ROIC(3y)17.48%
ROIC(5y)20.71%
ROICexc(3y)23.98%
ROICexc(5y)29.07%
ROICexgc(3y)39.79%
ROICexgc(5y)50.96%
ROCE(3y)24.69%
ROCE(5y)29.47%
ROICexgc growth 3Y-4.83%
ROICexgc growth 5Y4.68%
ROICexc growth 3Y-5.32%
ROICexc growth 5Y8.03%
OM growth 3Y-5.8%
OM growth 5Y6.56%
PM growth 3Y-24.67%
PM growth 5Y-12.15%
GM growth 3Y-1.41%
GM growth 5Y-0.7%
F-Score5
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 1.15 | ||
| Debt/EBITDA | 1.08 | ||
| Cap/Depr | 93.91% | ||
| Cap/Sales | 3.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.55% | ||
| Profit Quality | 240.93% | ||
| Current Ratio | 2.51 | ||
| Quick Ratio | 1.83 | ||
| Altman-Z | 5.49 |
F-Score5
WACC10.75%
ROIC/WACC1.86
Cap/Depr(3y)71.86%
Cap/Depr(5y)92.66%
Cap/Sales(3y)3.14%
Cap/Sales(5y)4.03%
Profit Quality(3y)159.2%
Profit Quality(5y)125.21%
High Growth Momentum
Growth
EPS 1Y (TTM)11.5%
EPS 3Y-1.35%
EPS 5Y23.54%
EPS Q2Q%2.64%
EPS Next Y1.63%
EPS Next 2Y1.91%
EPS Next 3Y3.11%
EPS Next 5Y7.18%
Revenue 1Y (TTM)10.25%
Revenue growth 3Y0.06%
Revenue growth 5Y15.3%
Sales Q2Q%5%
Revenue Next Year3.7%
Revenue Next 2Y2.45%
Revenue Next 3Y3.59%
Revenue Next 5Y5.35%
EBIT growth 1Y11.89%
EBIT growth 3Y-5.74%
EBIT growth 5Y22.86%
EBIT Next Year7.27%
EBIT Next 3Y4.53%
EBIT Next 5YN/A
FCF growth 1Y30.74%
FCF growth 3Y23.33%
FCF growth 5Y23.81%
OCF growth 1Y29.02%
OCF growth 3Y15.49%
OCF growth 5Y19.24%
QUALCOMM INC / QCOM FAQ
What is the fundamental rating for QCOM stock?
ChartMill assigns a fundamental rating of 7 / 10 to QCOM.
What is the valuation status for QCOM stock?
ChartMill assigns a valuation rating of 8 / 10 to QUALCOMM INC (QCOM). This can be considered as Undervalued.
What is the profitability of QCOM stock?
QUALCOMM INC (QCOM) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for QCOM stock?
The Price/Earnings (PE) ratio for QUALCOMM INC (QCOM) is 11.61 and the Price/Book (PB) ratio is 6.51.
Can you provide the expected EPS growth for QCOM stock?
The Earnings per Share (EPS) of QUALCOMM INC (QCOM) is expected to grow by 1.63% in the next year.