Citi Starts Qualcomm (QCOM) at Neutral
Get Alerts QCOM Hot Sheet
Rating Summary:
28 Buy, 21 Hold, 4 Sell
Rating Trend: Down
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 11
Join SI Premium – FREE
Citi's Chris Danely initiates Qualcomm (NASDAQ: QCOM) at Neutral with a $70 price target citing improving core business but sees secular headwinds and "lumpy" NXP accretion holding back any potential share price appreciation.
Danely says: "we do not have confidence in the $500.0 million in synergies and we expect a host of integration difficulties given differences in manufacturing, customer base, and NXP’s merger with Freescale."
Danely also sees long-term growth targets as aggressive, noting slow licensing growth (1% CAGR over past three years) and subdued revenue growth (2% over next couple years) impacting royalty rates and ASPs.
For an analyst ratings summary and ratings history on Qualcomm click here. For more ratings news on Qualcomm click here.
Shares of Qualcomm closed at $66.91 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- TD Cowen Starts Grindr (GRND) at Buy
- Top 3 communication stocks disrupting the industry (Part 4)
- Now Inc (DNOW) PT Raised to $18 at Stifel
Create E-mail Alert Related Categories
Analyst Comments, New CoverageRelated Entities
Citi, Definitive AgreementSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!