Qualcomm Moderated Thread - please read rules before posting Message Board - Msg: 26258372

SiliconInvestor

register

Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

Public Reply | Prvt Reply | Mark as Last Read | File

Previous 10 | Next 10 | Previous | Next

From: ihavenoidea	1/20/2010 9:48:03 AM
	Read Replies (3) of 117529

Furthermore, we believe that Qualcomm’s ongoing patent-related legal battles will adversely affect its financials. What is this about? i thought qcom had all our patent food fights behind us. i. Qualcomm Downgraded to Underperform Buzz up! Print Companies:Broadcom Corp.Qualcomm Inc.Texas Instruments Inc. Related Quotes Symbol Price Change BRCM 29.68 0.00 QCOM 49.32 0.00 TXN 24.72 0.00 By Zacks Equity Research , On Wednesday January 20, 2010, 8:17 am EST We downgrade our recommendation for Qualcomm Inc. (NasdaqGS: QCOM - News) to Underperform ahead of its first quarter fiscal 2010 financial results. According to our view, the ongoing global economic recession may generate earnings fluctuations in the near-term. The stock price has moved up more than 50% in the last one year and is currently trading at the high-end of its 52-week price range. With respect to several valuation metrics, the stock is also trading at a significantly higher multiple compared to the S&P 500 averages. Financial outlook given by the management for full fiscal 2010 also remains tepid. Furthermore, we believe that Qualcomm’s ongoing patent-related legal battles will adversely affect its financials. Qualcomm expects to ship between 89 million – 92 million MSM chipsets during the first quarter of fiscal 2010 which is 0.6% below its mid-point compared to the previous quarter. Qualcomm also projected that its first quarter fiscal 2010 revenue will be within the range of $2.55 billion - $2.75 billion. This is also 1.5% below its mid-point compared to the previous quarter. Qualcomm has focused predominantly on CDMA wireless technology, while much of Europe and other parts of the world use GSM networks and other competing wireless protocols. There can be no assurance that CDMA can maintain its growth projection in the market. Management has already declared that aggressive competition in the mobile phone chipset market will hurt Qualcomm’s profit during fiscal 2010 coupled with a slowdown in handset upgrade by consumers throughout the world. Competition is likely to occur from formidable U.S. rivals like Broadcom Corp. (NasdaqGS: BRCM - News) and Texas Instruments Inc. (NYSE: TXN - News) as well as from low-cost competitors like Mediatek of Taiwan and VIA Technologies of China. QUALCOMM INC (QCOM): Read the Full Research Report BROADCOM CP CL A (BRCM): Read the Full Research Report TEXAS INSTRUMENTS INC (TXN): Read the Full Research Report Zacks Investment Research

Report TOU Violation

Share This Post

Public Reply | Prvt Reply | Mark as Last Read | File

Previous 10 | Next 10 | Previous | Next

Copyright/IP Policy

Copyright © 1995-2013 Knight Sac Media. All rights reserved.