QUALCOMM Incorporated (QCOM)

From January 22, 2025, to July 22, 2025, Qualcomm reported record revenues in Fiscal Q1 2025, driven by strong handset demand and growth in automotive and IoT, but the stock dipped potentially due to licensing revenue being slightly below expectations. Fiscal Q2 2025 revenues were at the high end of guidance, propelled by strong performance in handsets, IoT, and automotive. A legal dispute with Arm Ltd. regarding chip design licenses was resolved after Arm withdrew its efforts to terminate the chip-licensing agreement in February 2025.

Qualcomm's demand exhibits seasonality due to its reliance on the smartphone market. Fiscal Q1 is typically strong for QCT due to holiday sales, while Fiscal Q2 is seasonally strong for QTL as the company collects licensing fees. Sequential declines in QCT handset revenues are often attributed to seasonality in shipments to Apple. Qualcomm's diversified business model, including its growing automotive and IoT segments, helps to maintain consistent earnings.

QUALCOMM, Inc. specializes in developing and commercializing technologies for the wireless industry, operating in the Technology sector and Semiconductors industry. The company generates revenue from licensing its patented technology and selling semiconductor products. Its operations are divided into Qualcomm CDMA Technologies (QCT), which develops and supplies integrated circuits and system software; Qualcomm Technology Licensing (QTL), which grants licenses to use its intellectual property; and Qualcomm Strategic Initiatives (QSI), which invests in early-stage companies. Qualcomm's product portfolio includes platforms for various devices beyond smartphones.

Qualcomm's headquarters is located in San Diego, California, United States. The company maintains a significant global presence with over 170 offices in more than 30 countries, including Brazil, China, Germany, Singapore, India, Japan, the UK, South Korea, Taiwan, France, Norway, Canada, Sweden, Australia, Denmark, Switzerland, Hong Kong, Netherlands, Luxembourg, Ireland, Belgium, Italy, Spain, Finland, Austria, Czech Republic, New Zealand, Singapore, Slovenia, India, Liechtenstein, South Africa, and Mexico.

Qualcomm's brand reputation has been influenced by legal challenges and continued innovation. The EU upheld a fine against Qualcomm for abusing its market position, which could negatively impact its reputation. The public legal battle with Arm over chip design licenses could have raised concerns, but the subsequent withdrawal of Arm's termination efforts likely mitigated some of the potential reputational damage. Qualcomm continues to bolster its reputation through innovation in 5G, AI, automotive, and IoT technologies, including a partnership with the Mercedes-AMG Petronas F1 Team and the opening of an AI research and development center in Vietnam.

Qualcomm's ownership is predominantly institutional, with 73.50% held by institutional shareholders including Vanguard Group Inc, BlackRock, Inc., and State Street Corp. Individual investors hold 0.08% of the shares, with Irwin M. Jacobs owning 1.69% of the company.