Stock price when the opinion was issued
He sold some when it got above $200, then bought back below $150. It's 2% of his portfolio; when it gets to 2.5%, he brings it back to 2%. If it goes below 2%, he brings it back up. Likes it long term.
The negative is repeated fights with AAPL; if the relationship ends, looking at $20 downside. Sexy side is AI on a chip; if that comes through, probably $70-80 upside.
He likes them without them buying Intel. It is one of the cheapest players in the chip space from a multiples perspective. For example Apple's P/E is near 40 but Qualcomm's is 25. They are working on new semi-conductor technology. He thinks it will re-visit its highs relatively soon, and considers it more of a trade than an investment. Buy 29 Hold 14 Sell 1
(Analysts’ price target is $215.96)He bought more. 14x forward PE and pays a 2.3% dividend yield. Good value. The ARM lawsuit was an overhang, but now resolved in QCOM's favour. This and the semis saw momentum in the first half of 2024. Business fundamentals remain intact; only QCOM can serve certain AI applications. Likes it for the long run.
Sold his holdings in Q1 of 2015 because of concerns of the Chinese claiming that the company was monopolistic as well as some issues of patent infringement. The stock has been flat to down since then, and those concerns really haven’t gone away. Apple (AAPL-Q) has been a fairly large customer, but there are rumours that Apple will be using Intel (INTC-Q) chips, for the iPhone 7, at least in part.