Nomura Securities Q3 Review on Qualcomm (QCOM); At This Point, Look to BRCM & ABGO
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Price: $165.79 +0.61%
Rating Summary:
25 Buy, 33 Hold, 5 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
25 Buy, 33 Hold, 5 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Nomura Securities maintains a 'Neutral' on Qualcomm (NASDAQ: QCOM) price target of $60.00.
Analyst, Romit Shah, said, "Qualcomm’s price action after hours (down on headline numbers and up 6% on Q4 commentary) suggests that the market is willing to look past a weak Sept quarter to a strong iPhone 5 build in calendar Q4. At roughly $60 (16x CY13 EPS of $3.55), we don’t think Qualcomm is that interesting. However, we would be buying Broadcom (Nasdaq: BRCM) and Avago (Nasdaq: AVGO). We believe $3.50-4.00 is a reasonable range for earnings next year. On that basis, the stock is fairly valued in our view, considering a forward multiple of 16x CY13 versus Apple (Nasdaq: AAPL) at 11x and our coverage universe at 12x."
FY12 EPS estimate cut from $3.25 to $3.15 and FY13 from $3.62 to $3.55.
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 $56.05 yesterday.
Analyst, Romit Shah, said, "Qualcomm’s price action after hours (down on headline numbers and up 6% on Q4 commentary) suggests that the market is willing to look past a weak Sept quarter to a strong iPhone 5 build in calendar Q4. At roughly $60 (16x CY13 EPS of $3.55), we don’t think Qualcomm is that interesting. However, we would be buying Broadcom (Nasdaq: BRCM) and Avago (Nasdaq: AVGO). We believe $3.50-4.00 is a reasonable range for earnings next year. On that basis, the stock is fairly valued in our view, considering a forward multiple of 16x CY13 versus Apple (Nasdaq: AAPL) at 11x and our coverage universe at 12x."
FY12 EPS estimate cut from $3.25 to $3.15 and FY13 from $3.62 to $3.55.
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 $56.05 yesterday.
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