-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We boost our 12-month target price to $220 from $170, implying a higher revised P/E of about 20x our CY 27 EPS view of $11.10, above peers and historical. After mixed Mar-Q results/Jun-Q guide, we adjust our FY 26 (Sep.) EPS estimate to $10.67 from $11.06 and FY 27's to $10.75 from $10.95. Despite near-term share loss across the smartphone space as QCOM has to contend with memory supply constraints and lost Apple business, we think Android orders are in a near bottoming process. We do believe that as QCOM's revenue mix diversifies, with recent momentum from data centers and automotive, it will warrant a higher valuation. A custom silicon hyperscaler win, with initial shipments seen by CY end is a material validation of QCOM's data center strategy and a new high-margin revenue stream that could scale rapidly. Combined, automotive (sales seen accelerating to +50% in Jun-Q from 38% in Mar-Q) and IoT now represent approximately 34% of QCT revenues, and we see these segments reaching 50% within three to five years.