163.3 USD
-1.76 (-1.07%)
163 USD
-0.3 (-0.18%)
Taking everything into account, QCOM scores 7 out of 10 in our fundamental rating. QCOM was compared to 112 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. A decent growth rate in combination with a cheap valuation! Better keep an eye on QCOM. Finally QCOM also has an excellent dividend rating. These ratings could make QCOM a good candidate for value and dividend and quality 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.
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 83.93% of its industry peers.
Looking at the Return On Equity, with a value of 26.13%, QCOM belongs to the top of the industry, outperforming 91.96% of the companies in the same industry.
QCOM has a better Return On Invested Capital (21.40%) than 94.64% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for QCOM is significantly above the industry average of 10.75%.
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
QCOM has a Profit Margin of 12.51%. This is in the better half of the industry: QCOM outperforms 72.32% of its industry peers.
QCOM's Profit Margin has declined in the last couple of years.
The Operating Margin of QCOM (27.99%) is better than 88.39% of its industry peers.
In the last couple of years the Operating Margin of QCOM has grown nicely.
With a decent Gross Margin value of 55.43%, QCOM is doing good in the industry, outperforming 76.79% of the companies in the same industry.
QCOM's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so QCOM is creating value.
QCOM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, QCOM has less shares outstanding
QCOM has a worse debt/assets ratio than last year.
2.2 Solvency
QCOM has an Altman-Z score of 6.34. This indicates that QCOM is financially healthy and has little risk of bankruptcy at the moment.
QCOM's Altman-Z score of 6.34 is fine compared to the rest of the industry. QCOM outperforms 65.18% 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 74.11% of its industry peers.
QCOM has a Debt/Equity ratio of 0.70. This is a neutral value indicating QCOM is somewhat dependend on debt financing.
QCOM has a worse Debt to Equity ratio (0.70) than 75.00% of its industry peers.
Even though the debt/equity ratio score it not favorable for QCOM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 6.34 |
ROIC/WACC2.05
WACC10.46%
2.3 Liquidity
A Current Ratio of 2.82 indicates that QCOM has no problem at all paying its short term obligations.
QCOM has a Current ratio (2.82) which is comparable to the rest of the industry.
A Quick Ratio of 2.10 indicates that QCOM has no problem at all paying its short term obligations.
QCOM's Quick ratio of 2.10 is in line compared to the rest of the industry. QCOM outperforms 50.89% of its industry peers.
| 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.
QCOM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.66%.
The Revenue has been growing by 15.30% on average over the past years. This is quite good.
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
QCOM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.23% yearly.
The Revenue is expected to grow by 5.59% on average over the next years.
EPS Next Y2.46%
EPS Next 2Y3.21%
EPS Next 3Y3.17%
EPS Next 5Y8.23%
Revenue Next Year1.72%
Revenue Next 2Y2.44%
Revenue Next 3Y3.49%
Revenue Next 5Y5.59%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
QCOM is valuated correctly with a Price/Earnings ratio of 13.57.
Based on the Price/Earnings ratio, QCOM is valued cheaply inside the industry as 93.75% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.98. QCOM is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 13.25, QCOM is valued correctly.
Based on the Price/Forward Earnings ratio, QCOM is valued cheaply inside the industry as 91.96% of the companies are valued more expensively.
QCOM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.57 | ||
| Fwd PE | 13.25 |
4.2 Price Multiples
83.04% of the companies in the same industry are more expensive than QCOM, based on the Enterprise Value to EBITDA ratio.
93.75% of the companies in the same industry are more expensive than QCOM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.64 | ||
| EV/EBITDA | 12.63 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates QCOM does not grow enough to justify the current Price/Earnings ratio.
QCOM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.53
PEG (5Y)0.58
EPS Next 2Y3.21%
EPS Next 3Y3.17%
5. Dividend
5.1 Amount
QCOM has a Yearly Dividend Yield of 2.23%.
Compared to an average industry Dividend Yield of 2.35, QCOM pays a better dividend. On top of this QCOM pays more dividend than 89.29% of the companies listed in the same industry.
QCOM's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
5.2 History
On average, the dividend of QCOM grows each year by 6.56%, which is quite nice.
QCOM has been paying a dividend for at least 10 years, so it has 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.
QCOM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP68.67%
EPS Next 2Y3.21%
EPS Next 3Y3.17%
163.3
-1.76 (-1.07%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners81.09%
Inst Owner Change-5.74%
Ins Owners0.05%
Ins Owner Change-1.06%
Market Cap174.89B
Revenue(TTM)44.28B
Net Income(TTM)5.54B
Analysts73.62
Price Target194.68 (19.22%)
Short Float %2.27%
Short Ratio2.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
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)7.15%
PT rev (3m)7.69%
EPS NQ rev (1m)3.19%
EPS NQ rev (3m)3.25%
EPS NY rev (1m)-0.09%
EPS NY rev (3m)0.02%
Revenue NQ rev (1m)5.2%
Revenue NQ rev (3m)5.25%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.57 | ||
| Fwd PE | 13.25 | ||
| P/S | 3.95 | ||
| P/FCF | 13.64 | ||
| P/OCF | 12.48 | ||
| P/B | 8.25 | ||
| P/tB | 20.1 | ||
| EV/EBITDA | 12.63 |
EPS(TTM)12.03
EY7.37%
EPS(NY)12.33
Fwd EY7.55%
FCF(TTM)11.97
FCFY7.33%
OCF(TTM)13.08
OCFY8.01%
SpS41.35
BVpS19.8
TBVpS8.12
PEG (NY)5.53
PEG (5Y)0.58
Graham Number73.21
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 | 6.34 |
F-Score6
WACC10.46%
ROIC/WACC2.05
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 Y2.46%
EPS Next 2Y3.21%
EPS Next 3Y3.17%
EPS Next 5Y8.23%
Revenue 1Y (TTM)13.66%
Revenue growth 3Y0.06%
Revenue growth 5Y15.3%
Sales Q2Q%10.02%
Revenue Next Year1.72%
Revenue Next 2Y2.44%
Revenue Next 3Y3.49%
Revenue Next 5Y5.59%
EBIT growth 1Y20.88%
EBIT growth 3Y-5.74%
EBIT growth 5Y22.86%
EBIT Next Year7.17%
EBIT Next 3Y4.43%
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 7 / 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.
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 2.46% 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%.