Gretchen Lash Qualcomm QCOM-Q TOP PICK Aug 13, 2004

He talked about the bid for Intel. Intel doesn't have any AI of any significance, is a low growth business, and missed the mobile window. It should be dilutive to earnings from a growth perspective

Makes sense for QCOM to be interested in INTC, as it's a path to being more vertically integrated. Could create more synergies than other players. But you can't buy a stock hoping for a takeout; it may not occur.

Has a low PE compared to fellow chipmakers. They recently suffered from over-inventory, but have mostly worked through this. What's interesting in QCOM is their chips used in cars and the internet of things, so they have good growth potential.

It reports Wednesday. Good risk/reward with shares rallying after an earnings beat but not declining much after a miss. They may buy Intel, which is rallying these days.

One of the major chip maker names to consider for your portfolio. Adds value to the supply chain.

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.

Trades at 12.5x PE, trades at a 41% discount to semi sector, and they've done a good job moving into EVs.

Plays nicely into Edge AI. Out of favour, surprising. Still a major supplier into the smartphone market. Follows it, but is waiting for a catalyst.

Laggard in the group, and no sign that's changing. In fact, making an RSI new low today versus the market. When you're in a bull market, you want to own stocks that are participating. Unable to make a higher high since June 2024.

Key enabler of all kinds of mobile connectivity, which still drives 75% of revenue. Fundamentals rank 9/10. Upside of about 11%. June quarter was solid with 10% revenue growth. Potential opportunity if margins hold up. Apple's shift to its own chips will be gradual.