Friday, November 9, 2018

Qualcomm: Don't Overreact

Qualcomm is down over 8% on disappointing FQ1 guidance.
Apple remains the main thorn in their financials impacting the comparisons until the license dispute is resolved.
Business remains solid, with EPS targets rising even without ~$1.7 billion in high-margin license revenue.
The net payout yield is set to reach 35% make a very bullish buy signal.
The perplexing story of Qualcomm (QCOM) was further evident by the reaction to a large FQ4 earnings beat. After massive stock buybacks and with 5G on the horizon, now isn't the time to abandon ship just because Apple(AAPL) continues playing hardball. My long-term investment thesis remains solid.
Read the full article on Seeking Alpha. 

Disclosure: Long QCOM, AAPL. Please review the disclaimer pages for more details. 


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