High-End Devices Could Lift Qualcomm (NASDAQ: QCOM) Stock Price

After managing a balanced momentum, Qualcomm Incorporated (NASDAQ: QCOM) stock price appears to have entered a consolidation last week. It closed at $115.94 at the weekend’s end. Semiconductor industry is a burgeoning market with emerging technologies leading to rising demand for semiconductors chips to be used for smooth digital operations.

Qualcomm’s Profit Margin Has Increased During Past Few Years

Recent Securities and Exchange Commission (SEC) filings revealed a few companies raised their stakes in Qualcomm. Geneos Wealth Management holds around $2 Million shares, Naviter Wealth LLC increased their stakes by 41.2% while SlateStone Wealth LLC elevated their position by 66.6% during Q4 2022. Additionally, FSB ADV currently holds 25,778 QCOM shares worth over $2.8 Million.

An analysis by Ookla, Washington-based web testing company, shows Qualcomm chips are, by far, most energy efficient while using 5G technologies. Draining battery life while using a 5G network can drain a device’s battery faster due to high power consumption and heat generation.

Qualcomm Incorporated currently holds a market capitalization of $129.2 Billion. The company’s profit margin has increased from 18.07% to 29.27% between 2019 and 2022. However, it anticipates revenue and earnings per share (EPS) will decline in contrast to last year.

QCOM Stock Price Performance

QCOM stock price is creating a double bottom pattern on a long enough timeline, beginning April 2022. The chart shows a price target at $180 according to the pattern, however, present momentum in QCOM share price isn’t aligning with the target. Currently, the company shares hold support at $113 and resistance near $121. The stock was trading at a market price of $117.05 at publication time, uptrending by 1.05% since its previous close.

Aroon down has declined recently but has managed to stay above aroon up. Moving averages convergence divergence (MACD) appears decreasing, indicating sellers dominance is rising in the market. TRIX is above the zero line, however, a slight plunge is visible. Williams alligator is moving with a sated movement, indicating a potential choppy momentum may appear.

The European chip market gained pace in May 2023, rising by 5.9% year-on-year according to Semiconductor Industry Association (SIA), a trade association. However, China’s semiconductor space has declined almost 30% in a year. Global supply chain is facing disruptions following the Russia-Ukraine war and the United States-China diplomatic relations.

Emerging technologies including 5G, cloud computing, quantum computing, virtual reality (VR) and more could help companies grow in the semiconductor market. Moreover, high-end devices are leading to increasing demand in chips considering gamers are awaiting release of games like Warzone Mobile this year.

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.