175.25 USD
+1.06 (+0.61%)
175.75 USD
+0.5 (+0.29%)
Overall QCOM gets a fundamental rating of 7 out of 10. We evaluated QCOM against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. QCOM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. QCOM is not valued too expensively and it also shows a decent growth rate. Finally QCOM also has an excellent dividend rating. This makes QCOM very considerable for dividend and quality investing!
1. Profitability
1.1 Basic Checks
QCOM had positive earnings in the past year.
In the past year QCOM had a positive cash flow from operations.
QCOM had positive earnings in each of the past 5 years.
In the past 5 years QCOM always reported a positive cash flow from operatings.
1.2 Ratios
QCOM's Return On Assets of 11.05% is amongst the best of the industry. QCOM outperforms 82.14% of its industry peers.
With an excellent Return On Equity value of 26.13%, QCOM belongs to the best of the industry, outperforming 90.18% of the companies in the same industry.
With an excellent Return On Invested Capital value of 21.40%, QCOM belongs to the best of the industry, outperforming 94.64% 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 10.79%.
The 3 year average ROIC (17.48%) for QCOM is below the current ROIC(21.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 26.13% | ||
| ROIC | 21.4% |
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
With a decent Profit Margin value of 12.51%, QCOM is doing good in the industry, outperforming 69.64% of the companies in the same industry.
QCOM's Profit Margin has declined in the last couple of years.
QCOM's Operating Margin of 27.99% is amongst the best of the industry. QCOM outperforms 88.39% of its industry peers.
In the last couple of years the Operating Margin of QCOM has grown nicely.
QCOM has a better Gross Margin (55.43%) than 75.89% 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 | 27.99% | ||
| PM (TTM) | 12.51% | ||
| GM | 55.43% |
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
QCOM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, QCOM has less shares outstanding
The number of shares outstanding for QCOM has been reduced compared to 5 years ago.
QCOM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.53 indicates that QCOM is not in any danger for bankruptcy at the moment.
QCOM's Altman-Z score of 6.53 is fine compared to the rest of the industry. QCOM outperforms 62.50% of its industry peers.
QCOM has a debt to FCF ratio of 1.16. This is a very positive value and a sign of high solvency as it would only need 1.16 years to pay back of all of its debts.
The Debt to FCF ratio of QCOM (1.16) is better than 73.21% of its industry peers.
A Debt/Equity ratio of 0.70 indicates that QCOM is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.70, QCOM is not doing good in the industry: 75.89% of the companies in the same industry are doing better.
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 | 0.7 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 6.53 |
ROIC/WACC2.09
WACC10.22%
2.3 Liquidity
QCOM has a Current Ratio of 2.82. This indicates that QCOM is financially healthy and has no problem in meeting its short term obligations.
QCOM has a Current ratio of 2.82. This is comparable to the rest of the industry: QCOM outperforms 48.21% of its industry peers.
QCOM has a Quick Ratio of 2.10. This indicates that QCOM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of QCOM (2.10) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.82 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
QCOM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.83%, which is quite good.
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.
Looking at the last year, QCOM shows a quite strong growth in Revenue. The Revenue has grown by 13.66% in the last year.
Measured over the past years, QCOM shows a quite strong growth in Revenue. The Revenue has been growing by 15.30% on average per year.
EPS 1Y (TTM)17.83%
EPS 3Y-1.35%
EPS 5Y23.54%
EPS Q2Q%11.52%
Revenue 1Y (TTM)13.66%
Revenue growth 3Y0.06%
Revenue growth 5Y15.3%
Sales Q2Q%10.02%
3.2 Future
The Earnings Per Share is expected to grow by 8.23% on average over the next years. This is quite good.
QCOM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.59% yearly.
EPS Next Y2.82%
EPS Next 2Y2.66%
EPS Next 3Y3.48%
EPS Next 5Y8.23%
Revenue Next Year4.45%
Revenue Next 2Y2.82%
Revenue Next 3Y3.72%
Revenue Next 5Y5.59%
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
QCOM is valuated correctly with a Price/Earnings ratio of 14.57.
Based on the Price/Earnings ratio, QCOM is valued cheaply inside the industry as 94.64% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.38, QCOM is valued a bit cheaper.
With a Price/Forward Earnings ratio of 14.17, QCOM is valued correctly.
QCOM's Price/Forward Earnings ratio is rather cheap when compared to the industry. QCOM is cheaper than 94.64% of the companies in the same industry.
QCOM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.57 | ||
| Fwd PE | 14.17 |
4.2 Price Multiples
83.93% of the companies in the same industry are more expensive than QCOM, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of QCOM indicates a rather cheap valuation: QCOM is cheaper than 93.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.61 | ||
| EV/EBITDA | 13.31 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
QCOM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.17
PEG (5Y)0.62
EPS Next 2Y2.66%
EPS Next 3Y3.48%
5. Dividend
5.1 Amount
QCOM has a Yearly Dividend Yield of 1.96%.
Compared to an average industry Dividend Yield of 0.59, QCOM pays a better dividend. On top of this QCOM pays more dividend than 89.29% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, QCOM has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
5.2 History
On average, the dividend of QCOM grows each year by 6.56%, which is quite nice.
QCOM has paid a dividend for at least 10 years, which is a reliable track record.
QCOM has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.56%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
QCOM pays out 68.67% of its income as dividend. This is not a sustainable payout ratio.
The dividend of QCOM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP68.67%
EPS Next 2Y2.66%
EPS Next 3Y3.48%
175.25
+1.06 (+0.61%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners81.84%
Inst Owner Change-5.68%
Ins Owners0.05%
Ins Owner Change-0.52%
Market Cap187.34B
Revenue(TTM)44.28B
Net Income(TTM)5.54B
Analysts73.62
Price Target194.44 (10.95%)
Short Float %2.44%
Short Ratio2.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
Yearly Dividend3.48
Dividend Growth(5Y)6.56%
DP68.67%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.16%
Min EPS beat(2)0.05%
Max EPS beat(2)2.27%
EPS beat(4)3
Avg EPS beat(4)3.54%
Min EPS beat(4)-0.96%
Max EPS beat(4)12.79%
EPS beat(8)7
Avg EPS beat(8)4.44%
EPS beat(12)9
Avg EPS beat(12)3.18%
EPS beat(16)12
Avg EPS beat(16)3.17%
Revenue beat(2)1
Avg Revenue beat(2)0.27%
Min Revenue beat(2)-1.85%
Max Revenue beat(2)2.38%
Revenue beat(4)2
Avg Revenue beat(4)1.22%
Min Revenue beat(4)-1.85%
Max Revenue beat(4)4.69%
Revenue beat(8)4
Avg Revenue beat(8)0.86%
Revenue beat(12)4
Avg Revenue beat(12)0.05%
Revenue beat(16)6
Avg Revenue beat(16)0.09%
PT rev (1m)5.68%
PT rev (3m)6.98%
EPS NQ rev (1m)0.71%
EPS NQ rev (3m)3.25%
EPS NY rev (1m)0.35%
EPS NY rev (3m)0.37%
Revenue NQ rev (1m)0.52%
Revenue NQ rev (3m)5.25%
Revenue NY rev (1m)2.71%
Revenue NY rev (3m)2.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.57 | ||
| Fwd PE | 14.17 | ||
| P/S | 4.23 | ||
| P/FCF | 14.61 | ||
| P/OCF | 13.37 | ||
| P/B | 8.83 | ||
| P/tB | 21.53 | ||
| EV/EBITDA | 13.31 |
EPS(TTM)12.03
EY6.86%
EPS(NY)12.37
Fwd EY7.06%
FCF(TTM)11.99
FCFY6.84%
OCF(TTM)13.11
OCFY7.48%
SpS41.43
BVpS19.84
TBVpS8.14
PEG (NY)5.17
PEG (5Y)0.62
Graham Number73.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 26.13% | ||
| ROCE | 30.23% | ||
| ROIC | 21.4% | ||
| ROICexc | 28.44% | ||
| ROICexgc | 47.84% | ||
| OM | 27.99% | ||
| PM (TTM) | 12.51% | ||
| GM | 55.43% | ||
| FCFM | 28.95% |
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-Score6
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 1.16 | ||
| Debt/EBITDA | 1.06 | ||
| Cap/Depr | 74.41% | ||
| Cap/Sales | 2.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 100.11% | ||
| Profit Quality | 231.37% | ||
| Current Ratio | 2.82 | ||
| Quick Ratio | 2.1 | ||
| Altman-Z | 6.53 |
F-Score6
WACC10.22%
ROIC/WACC2.09
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)17.83%
EPS 3Y-1.35%
EPS 5Y23.54%
EPS Q2Q%11.52%
EPS Next Y2.82%
EPS Next 2Y2.66%
EPS Next 3Y3.48%
EPS Next 5Y8.23%
Revenue 1Y (TTM)13.66%
Revenue growth 3Y0.06%
Revenue growth 5Y15.3%
Sales Q2Q%10.02%
Revenue Next Year4.45%
Revenue Next 2Y2.82%
Revenue Next 3Y3.72%
Revenue Next 5Y5.59%
EBIT growth 1Y20.88%
EBIT growth 3Y-5.74%
EBIT growth 5Y22.86%
EBIT Next Year7.6%
EBIT Next 3Y4.53%
EBIT Next 5YN/A
FCF growth 1Y14.86%
FCF growth 3Y23.33%
FCF growth 5Y23.81%
OCF growth 1Y14.83%
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 of QUALCOMM INC (QCOM) stock?
ChartMill assigns a valuation rating of 6 / 10 to QUALCOMM INC (QCOM). This can be considered as Fairly Valued.
What is the profitability of QCOM stock?
QUALCOMM INC (QCOM) has a profitability rating of 8 / 10.
What is the expected EPS growth for QUALCOMM INC (QCOM) stock?
The Earnings per Share (EPS) of QUALCOMM INC (QCOM) is expected to grow by 2.82% in the next year.
Is the dividend of QUALCOMM INC sustainable?
The dividend rating of QUALCOMM INC (QCOM) is 7 / 10 and the dividend payout ratio is 68.67%.