 |
|
| View previous topic :: View next topic |
| Author |
QCOM (Qualcomm) |
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
 Posted: Wed Apr 20, 2005 6:16 pm Post subject: QCOM (Qualcomm) |
 |
|
QCOM getting smashed after hours. When a company that is run as well as QCOM reports lower guidance ahead, then it is time to listen.
------------------------------------------------------------------------------
Qualcomm Profit Rises But Cuts Outlook
Wednesday April 20, 7:59 pm ET
NEW YORK (Reuters) - Qualcomm Inc. (NasdaqNM:QCOM - News) on Wednesday posted a rise in quarterly profit and revenue but cut its 2005 forecast, citing global product inventory gluts and weak demand in Western Europe for advanced cell-phone services such as mobile video and Web surfing.
Shares of Qualcomm fell more than 4 percent after the provider of wireless chips and licenses based on CDMA mobile phone technology cut its 2005 revenue target to a range of $5.5 billion to $5.7 billion, from $5.8 billion to $6.3 billion.
Further, Qualcomm executives said during a conference call with investors that the latest guidance depends on a strong increase in demand in the second half of the year for phones based on W-CMDA, a high-speed mobile technology.
"The magnitude of the reduction in estimates is fairly disappointing," said Legg Mason analyst Cody Acree.
Paul Jacobs, who will take over as chief executive in July, said the advanced phones were catching on slower than expected in Western Europe.
Qualcomm, which sells technology licenses for every W-CDMA phone sold and chips in some W-CDMA phones, now expects 50 million worldwide shipments of such phones this calendar year, down from its earlier estimate for 55 million.
Jacobs also said operators around the world were still trying to sell off earlier-generation CDMA phones after they stockpiled more than they needed in fourth quarter.
"We saw seasonal build up in all countries that we underestimated," said Jacobs. In particular Qualcomm cited inventory issues in Latin America and Southeast Asia.
Qualcomm also cut its 2005 target for CDMA phone sales to 163 million from 168 million. It dominates the market for chips used in CDMA phones that are popular among U.S. and some Asian consumers.
Qualcomm also cut its 2005 forecast for earnings, excluding its investment arm, to a range of $1.10 to $1.14 a share from its earlier forecast of $1.16 to $1.20 a share.
It expects third-quarter earnings of 24 cents to 26 cents per share on revenue from $1.26 billion to $1.36 billion compared with analyst estimates for earnings of 28 cents a share on revenue of $1.458 million, according to analysts polled by Reuters Estimates.
Net profit rose 9 percent to $532 million, or 31 cents a share, in its fiscal second quarter ended March 27, from $488 million, or 29 cents a share, a year earlier.
Revenue rose 12 percent to $1.37 billion from $1.22 billion a year earlier.
Wall Street analysts on average expected quarterly net income of 28 cents per share on revenue of $1.397 billion, according to Reuters Estimates.
Qualcomm shares fell to $31.63 in after-hours trade on the Inet electronic brokerage from their close of $33.21 on Nasdaq. |
|
| Back to top |
|
 |
| Author |
QCOM (Qualcomm) Replies |
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
| Posted: Thu Apr 19, 2012 4:08 pm Post subject: |
|
|
Morningstar on QCOM's 2Q earnings.
| Quote: | | Qualcomm QCOM reported strong fiscal second-quarter earnings, and although its outlook for the June quarter was a bit weaker than expected, we still believe the company is seeing plenty of tailwinds in the near term. We intend to raise ou r fair value estimate by a little more than 10%, primarily because handset average selling prices, from which Qualcomm earns licensing revenue, are holding up better than our prior expectations. Revenue was $4.94 billion, up 6% sequentially and at the high end of the firm's forecast of $4.6 billion-$5.0 billion announced in January. Chip sales fared quite well, as revenue from this segment was $3.06 billion, down only 1% from the seasonally strong December quarter but up 56% from the year-ago quarter. Qualcomm's chip unit shipments were 152 million, down only 3% sequentially, and we estimate that chip average selling prices rose as the company profited from a favorable product mix. Licensing revenue was $1.7 billion, up 20% sequentially, thanks to robust demand for 3G and 4G smartphones and tablets sold during the December quarter. Qualcomm believes industrywide sales of 3G and 4G devices were up 25% sequentially, as device unit shipments were up by a similar percentage whil e handset ASPs held steady at a blended ASP of $214, which is still higher than prices seen a couple of years ago. Although competition in the handset industry will always put pressure on ASPs in the long term, we think several positive factors, such as rapid adoption of 4G LTE handsets and Apple's AAPL share gains in smartphones, are helping to prop up handset ASPs in the near term and will probably help to prevent sharp ASP declines in the long term as well. Qualcomm's forecast for the June quarter was a bit below our expectations, but since the company maintained its previous guidance for all of fiscal 2012, we tend to think of any third-quarter weakness as a larger-than-expected seasonal dip that may come on the heels of an especially strong first half of the year. Qualcomm expects fiscal third-quarter revenue of $4.45 billion-$4.85 billion, which would represent a 2%-10% sequential decrease. We anticipate that licensing revenue should decline as this revenue pertains to handset sales made in the seasonally weak March quarter, while chip sales may see a modest decline due to some capacity constraints for cutting-edge chips. Yet we're encouraged by the company's reiteration of its prior full-year revenue outlook of $18.7 billion-$19.7 billion, which would represent 25%-32% annual growth and implies that Qualcomm's business is still firing on most, if not all, cylinders today. |
|
|
| Back to top |
|
|
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
| Posted: Thu Feb 02, 2012 2:24 pm Post subject: |
|
|
Morningstar on QCOM's fiscal 1Q earnings.
| Quote: | | Qualcomm QCOM reported excellent fiscal first-quarter earnings and gave investors a glowing outlook for the March quarter and all of fiscal 2012 that was a bit bet ter than our expectations, but not enough to move the needle on our fair value estimate. Qualcomm's revenue for the quarter was $4.68 billion, at the high end of the firm's forecast range of $4.35 billion-$4.75 billion announced in October. Chip sales were solid during the seasonally strong December quarter, as revenue from this segment was $3.09 billion and up 19% sequentially. Qualcomm's chip unit shipments were 156 million, up 23% sequentially and up 32% from the year-ago quarter, while chip average selling prices, or ASPs, fell only slightly. Qualcomm's licensing revenue was $1.44 billion, up 6% sequentially, thanks to robust demand for 3G and 4G smartphones and tablets during the holiday season. The bigger news on the licensing front, in our opinion, is that handset ASPs rose 4% sequentially, which is a good sign for Qualcomm's royalty revenue in future quarters. There is little doubt that Qualcomm's position as the sole wireless baseband chip supplier into Apple's AAPL new iPhone 4S gave the firm a shot in the arm on multiple fronts this quarter. Qualcomm's chip shipments reached record levels and are expected to decline only modestly in the March quarter, despite seasonal weakness in the handset industry. Meanwhile, tremendous iPhone sales likely contributed to the overall lift in handset ASPs, thus leading to higher royalty revenue for Qualcomm. The firm expects this trend to continue, forecasting robust handset ASPs through all of calendar 2012, even though a stronger U.S. dollar will provide a slight headwind this year. Additionally, Qualcomm's Snapdragon processors, which power a host of other popular smartphones, grew 120% year over year, and the firm cited especially strong penetration in China. Finally, the launch of a host of new devices that will run Microsoft's MSFT Windows Mobile platform should provide another boost to the firm, as Qualcomm is the sole chipset supplier in this platform today. In addition to the firm 's terrific results, the company gave investors a decent forecast for the March quarter and raised its full-year forecast revenue levels. For the March quarter, Qualcomm expects revenue in the range of $4.6 billion-$5.0 billion, which, at the midpoint, would represent a 3% sequential increase. The firm also expects to record a $0.8 billion gain from the sale of its wireless spectrum to AT&T T. We're encouraged by this forecast, especially as we think the outlook implies that healthy royalty revenue growth, which relates to the seasonally strong December quarter, will more than offset a modest decline in chip revenue. Finally, for all of fiscal 2012 (ending September 2012), Qualcomm raised its revenue forecast to $18.7 billion-$19.7 billion, up from its previous outlook of $18 billion-$19 billion of revenue, and the new forecast would represent 25%-32% annual growth. All in all, Qualcomm's position in the handset industry is only getting stronger, and we continue to believe t hat Qualcomm will continue to generate robust returns for investors in the years ahead. |
|
|
| Back to top |
|
|
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
| Posted: Thu Nov 03, 2011 2:37 pm Post subject: |
|
|
Morningstar on QCOM's fiscal 4Q earnings:
| Quote: | | Qualcomm QCOM reported strong fiscal fourth-quarter earnings and gave investors a surprisingly bright outlook for the December quarter and fiscal 2012 that was ahead of our expectations. We are likely to raise our fair value estimate by a few dollars. Despite a slowing global economy, revenue for the quarter was $4.12 billion, at the high end of the firm's forecast range of $3.86 billion-$4.16 billion announced in July. Chip sales were especially strong this quarter, as revenue from this segment of $2.6 billion was up 18% sequentially. Even though part of the growth stemmed from a full quarter of revenue contribution from recently acquired Atheros, Qualcomm's chip unit shipments exceeded the firm's prior expectations, while chip average selling prices were relativ ely flat. The firm's chip business should remain on fire in the December quarter, as the company expects almost 20% growth in chip unit shipments next quarter. Its position as the sole wireless baseband chip supplier into Apple's AAPL new iPhone 4S will give Qualcomm a boost next quarter, but the firm will still be a key supplier into Android and Windows Mobile phones in the years ahead as well. Qualcomm's licensing revenue was $1.4 billion, up 8% sequentially thanks to healthy growth of 3G smartphone and tablet shipments. Handset ASPs were relatively flat this quarter. The bigger news, in our opinion, came from Qualcomm's rosy outlook for the next 12 months. For the December quarter, Qualcomm expects revenue of $4.35 billion-$4.75 billion, which would represent a 6%-15% sequential increase. Chip unit shipments should spike as handset makers ramp up production before the holiday season. Meanwhile, Qualcomm's licensing revenue should continue to benefit from the secular shift in the handset industry toward cutting-edge smartphones. Furthermore, Qualcomm forecasts fiscal 2012 revenue of $18.0 billion-$19.0 billion, which would represent 20%-27% annual growth. Although we were in the ballpark of Qualcomm's earnings per share forecast of $3.42-$3.62, the firm's revenue forecast exceeded our prior estimates by about $1 billion. The outlook is again driven by robust chip growth, while the firm is currently forecasting only modest handset ASP declines over the next year, which bodes well for royalty revenue. Even though Qualcomm recognizes that the global economy is weak at the moment, which provides a headwind for handset replacement rates and ASPs around the world, the secular shift toward 3G devices remains strong and should offset all of these factors in the months ahead. |
|
|
| Back to top |
|
|
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
| Posted: Sun Jan 06, 2008 12:05 pm Post subject: |
|
|
Barron's on QCOM - dated November 12, 2007 but still highly relevant:
http://online.barrons.com/article/SB119465853507388778.html?mod=9_0031_b_this_weeks_magazine_main
| Quote: | Still, the stock seems to be priced for the worst legal outcome. Even without including any royalty revenues from Nokia, Qualcomm should earn as much as $2.30 a share in fiscal 2008, ending September, versus $2.01 in 2007, according to Bernard Diggins, a partner at Gardner, Lewis Asset Management, which owns about 4.3 million shares. (Qualcomm stopped booking Nokia revenues, thought to be worth about 25-30 cents a share, last April when their licensing pact expired. The handset maker continues to ship products utilizing Qualcomm patents.) Even if Nokia be permitted to cut its payouts sharply, Diggins still believes the stock should approach 60 within 12 months based on a multiple of 25. And if Qualcomm retains a larger share of Nokia revenues, he thinks the stock could reach 80.
The key to the shares' gain, Diggins says, is news of progress on a settlement. "The shame of the litigation is that you are missing the benefit of one of the greatest upgrade cycles of all-time," says the analyst, whose growth-focused firm runs about $10 billion for institutions.
A lot of the enthusiasm for Qualcomm's prospects is based on the global transition to 3G that should allow the company to gain total chip market-share as more carriers and handset makers shift from various flavors of second generation, or 2G, technology to a widely adopted W-CDMA technology, a wideband variation of Qualcomm's core CDMA. Qualcomm's technology has about 20% of the $56.1 billion world wireless-chip market. The other 80% is dominated by rival GSM (Global System for Mobile Communications). But GSM doesn't enable the new, third-generation products as well, so Qualcomm should have a great chance to win upgrade business, Diggins explains.
The potential is huge. Already there are 500 million subscribers on 3G mobile networks worldwide -- more than the number of global cable television subscribers -- and it's just starting to take off, says Jacobs. The number of 3G handsets is expected to nearly double to 800 million by 2011.
"If I look at our product road map compared to everybody else's, there is nobody ahead of us on that road," says Jacobs. In addition to W-CDMA, the company is developing a new chipset aimed at connecting consumer electronics, such as toys and cameras, to wireless networks. It also has high hopes for MediaFlo, its new mobile video network.
So far, so good. In September, Qualcomm guided the Street upward in its fiscal-fourth-quarter forecasts, which it reached. Revenues were $2.31 billion, up 15% despite the loss of Nokia revenues. Earnings rose 84% over the previous year to $1.13 billion. Diggins says that even if Nokia is able to cut its payments, Qualcomm has the power to lift earnings to $3.50 a share longer term. |
|
|
| Back to top |
|
|
HenryTo
Site Admin
Joined: 06 Aug 2004
Posts: 11742
Location: Los Angeles, California
|
| Posted: Thu Apr 21, 2005 12:57 pm Post subject: reversal |
|
|
QCOM did a huge reversal today and it now looks like that we may have a ST bottom in the market here (depending on the reaction to GOOG's report tonight).
The Bank Index also loomed on the edge of the abyss and came back - although not that strongly.
Going to reevaluate this weekend but we have have a ST bottom here. |
|
| Back to top |
|
|
Please log in to view without the ad banners |
|
|
|
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
|
|
FAQ
Search
Memberlist
Usergroups
Statistics
Register
Profile
Log in to check your private messages
Log in
