revenue
9200–10000 $million
Q3 2026
official guidance
QUALCOMM INCORPORATED
Last · NASDAQ$168.74+0.17 (+0.10%)stale · yahoo · 97h ago
Market cap$180.22B1.07B sh
P/E · TTM19.3fwd 16.5 · eps 8.76
Beta1.68vs S&P 500
Div yield2.18%annual · TTM
52w range
$121.99$259.92
Volume8.5Msession
| Revenue | $44.1B |
|---|---|
| Operating income | $10.2B |
| Net income | $12.4B |
| Free cash flow | $10.4B |
| Operating margin | 23.2% |
| Net margin | 28.1% |
| Return on equity | 44.8% |
| Period | TTM 2026-06-28 |
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OpenFilings analyst
Our analyst
Agentic read of the latest earnings call — recommendation updates when we process a new transcript. Research synthesis, not investment advice.
BuyHoldSell
Strong automotive and emerging data-center optionality are offset by near-term handset pressure, Apple share loss, and limited visibility into the new growth businesses.
Hold.
Qualcomm delivered Q2 revenue of $10.6 billion and non-GAAP EPS of $2.65, but Q3 guidance falls to $9.2–$10.0 billion of revenue and $2.10–$2.30 of EPS as memory-driven handset inventory reductions hit China Android and QTL. The bull case is accelerating diversification—automotive revenue growth guided to approximately 50% year over year, a custom hyperscaler shipment in December, and strong ADAS content growth—but data-center economics and customer scale remain undisclosed, while Apple product revenue is expected to be only about $2 billion-plus in fiscal 2027.
Themes
- Handset Memory Pressure
- Automotive Adas
- Qtl Licensing
- Apple Share Loss
- Hyperscaler Custom Silicon
- Agentic Ai
Near term
China Android QCT shipments are expected to bottom in fiscal Q3 and recover sequentially in Q4, but this depends on channel inventory normalization rather than clear end-market acceleration.
Q3 QCT handset revenue is guided to approximately $4.9 billion, with weakness concentrated in mid- and low-tier devices; premium handset demand is holding up better.
The June 24 Investor Day is the key near-term catalyst for data-center CPU, accelerator, custom ASIC, customer wins, and margin disclosure.
Apple's fall launch assumption remains only 20% Qualcomm share, with no product relationship beyond that launch and no expected QCT seasonal growth from Apple.
Longer term
Automotive is the clearest structural growth engine: Q2 revenue reached $1.3 billion, up 38% year over year, with ADAS, software, modules, and fifth-generation Digital Chassis increasing content per vehicle.
Automotive and IoT together grew 20% year over year, providing credible diversification from handsets; automotive is expected to grow approximately 50% year over year in Q3.
The data-center strategy spans merchant silicon, custom ASICs, CPU, connectivity, and inference accelerators, but Qualcomm must establish itself against Arm's vertical integration and NVIDIA's inference push.
Agentic AI could expand Qualcomm's content across smartphones, PCs, cars, wearables, industrial devices, and data centers if local CPU/NPU execution drives a genuine replacement cycle.
Samsung's greater-than-70% share framework is described as stable for this year and next, limiting—but not eliminating—premium Android customer concentration risk.
6G is a long-dated option: prototypes and first silicon are expected in 2028, early launches in 2029, and broader scale by 2030.
Red flags
Management would not identify the hyperscaler, product type, expected revenue, volume, or timing beyond initial custom shipments in the December quarter; the multi-generation opportunity remains unquantified.
The Q3 handset trough thesis relies heavily on OEM inventory drawdowns ending, while management acknowledged limited visibility into fiscal 2027 memory availability and pricing.
Apple's share reduction is a persistent structural headwind: Qualcomm models approximately $2 billion-plus of fiscal 2027 QCT product revenue, with no product relationship beyond the assumed 20% fall-launch share.
Competitive questions on Arm and NVIDIA were answered with broad positioning around CPU, custom silicon, and inference rather than disclosed benchmarks, wins, or economics.
QTL revenue is guided down to $1.15–$1.35 billion with margin falling to 67%–71%, exposing licensing earnings to lower-tier handset weakness.
Forward outlook
eps diluted
2.1–2.3 $per share
Q3 2026
official guidance
revenue
1150–1350 $million
Q3 2026
official guidance
operating margin
67–71 pct
Q3 2026
official guidance
revenue
7900–8500 $million
Q3 2026
official guidance
revenue
4900 $million
Q3 2026
official guidance
revenue growth
50 pct
Q3 2026
official guidance
revenue growth
—
Q3 2026
official guidance
OpenFilings analyst view from primary-source filings and earnings calls — not investment advice.
Upcoming earnings
9:00 PM UTC+1
Period
Sep 2026
Est. EPS
$2.15
Est. revenue
10.1B
Earnings transcripts
Press & signals
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