An analyst is cautious on Qualcomm Inc (NASDAQ:QCOM) stock ahead of the company’s Investor Day on June 24.
• Qualcomm stock is feeling bearish pressure. What’s behind QCOM decline?
The Qualcomm Analyst
Bank of America Securities analyst Vivek Arya maintains an Underperform rating on Qualcomm stock and raised the price target from $165 to $195.
The Analyst Takeaways
With Qualcomm set to unveil new AI efforts at its AI-focused Investor Day, Arya questions if the company is too late to become an entrant in the crowded market.
The analyst expects Qualcomm to share details on its AI opportunity, roadmap and engagements, as well as provide details on diversification efforts away from handsets.
“We expect a near-term ($2 billion-$5 billion by FY27/28E) and a longer-term addressable opportunity,” Arya said.
The analyst said the goal of the Investor Day could be to show that Qualcomm can get the majority of its revenue from non-smartphone segments such as data centers, AI, automotive and the internet of things.
“We believe Qualcomm is re-entering a fast-growing but hyper-competitive AI market full of large incumbents.”
The analyst names NVIDIA Corp (NASDAQ:NVDA), Broadcom Inc (NASDAQ:AVGO), Advanced Micro Devices Inc (NASDAQ:AMD) and others that represent the incumbents for the AI data center space.
Arya says that Qualcomm’s recent stock rally also puts pressure on shares with some estimates for data center future success likely already basked into the price.
The analyst estimates $10 billion in data center/AI sales for calendar year 2028, but says this may already be priced in.
“We also expect QCOM to address recent media reports about potential M&A to expand its data center footprint.”
Qualcomm Stock Price Action
Qualcomm stock is down 8.50% to $203.04 on Tuesday versus a 52-week trading range of $121.99 to $259.92. Qualcomm stock is up 18.1% year-to-date in 2026 and up 33% over the last 52 weeks.
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