Mitsubishi UFJ Trust Reduces QUALCOMM Stake by 3.7% in Q2

Mitsubishi UFJ Trust & Banking Corp has reduced its holdings in QUALCOMM Incorporated (NASDAQ: QCOM) by 3.7% during the second quarter of 2023, as detailed in its latest filing with the Securities and Exchange Commission (SEC). The financial institution now holds 1,077,976 shares of the wireless technology company after divesting 41,912 shares in this period. As of the end of June, Mitsubishi UFJ Trust owned approximately 0.10% of QUALCOMM, valued at around $171,678,000.

Various institutional investors and hedge funds are adjusting their positions in QUALCOMM as well. For instance, Vermillion & White Wealth Management Group LLC increased its ownership by 122.4% in the first quarter, now holding 169 shares valued at $26,000 after acquiring an additional 93 shares. Chung Wu Investment Group LLC entered a new position in QUALCOMM in the second quarter, valued at approximately $32,000. Similarly, Harbor Asset Planning Inc. also acquired a new stake in QUALCOMM for the same amount.

Atticus Wealth Management LLC made a significant leap, growing its stake by an astonishing 21,200.0% in the second quarter, now owning 213 shares worth $34,000 after purchasing 212 additional shares. CBIZ Investment Advisory Services LLC increased its position by 44.6% during the same period, bringing its total to 256 shares valued at $39,000. Currently, hedge funds and institutional investors hold 74.35% of QUALCOMM’s stock.

Recent Insider Transactions

In related developments, Neil Martin, the Chief Accounting Officer at QUALCOMM, sold 791 shares of the company on August 21, 2023, at an average price of $154.82, totaling $122,462.62. This transaction reduced his holdings by 41.70%, leaving him with 1,106 shares valued at approximately $171,230.92.

Another insider, Patricia Y. Grech, also sold shares on November 7, 2023. She sold 203 shares at an average price of $172.87, with a total value of $35,092.61. In the last three months, company insiders have sold 168,305 shares, amounting to $27,858,392. Notably, insiders own a mere 0.08% of the company’s stock.

QUALCOMM’s Market Performance and Financial Outlook

As for the stock’s performance, QUALCOMM shares opened at $173.98 on Wednesday. The company boasts a market capitalization of $186.33 billion, with a price-to-earnings (P/E) ratio of 16.78 and a P/E growth (P/E/G) ratio of 2.59. QUALCOMM’s beta stands at 1.26, indicating a moderate level of volatility compared to the market.

The firm reported earnings on November 5, 2023, announcing earnings per share (EPS) of $3.00, surpassing analysts’ expectations of $2.87 by $0.13. The company recorded a net margin of 26.77% and a return on equity of 40.35%, with revenues hitting $11.27 billion, exceeding the consensus estimate of $10.74 billion. This marks a year-over-year revenue increase of 10.0%.

Looking ahead, QUALCOMM has projected its Q1 2026 guidance at $3.300-$3.500 EPS, with analysts forecasting a total of 9.39 EPS for the current fiscal year.

The company has also declared a quarterly dividend of $0.89 per share, to be paid on December 18, 2023, to shareholders of record on December 4, 2023. This dividend represents an annualized payout of $3.56 and a yield of 2.0%, with a payout ratio of 72.80%.

QUALCOMM Incorporated remains a pivotal player in the wireless technology sector, focusing on the development and commercialization of foundational technologies. The company operates through three primary segments: Qualcomm CDMA Technologies (QCT), Qualcomm Technology Licensing (QTL), and Qualcomm Strategic Initiatives (QSI).