Qualcomm shares drop as recent rally momentum fades

Investing.com -- Qualcomm Inc shares fell 5.7% in morning trading on Monday to $190.51, reversing gains accumulated in recent weeks.

The decline followed a period of gains driven by the company's Snapdragon Summit, a renewed global patent licensing agreement with Apple Inc, and an AI data center collaboration with Amazon Web Services. The stock pulled back as no new positive developments emerged to maintain the upward momentum.

Supply chain concerns added to the selling pressure. At the Snapdragon Summit, Qualcomm SVP Chris Patrick said the company is evaluating Samsung's 2nm process technology for future products. A pricing dispute between Qualcomm and Samsung has delayed any near-term manufacturing agreement, with production timelines potentially pushed into 2027.

CEO Cristiano Amon sold approximately $1.95 million in shares the prior week through a pre-arranged trading plan. The sale contributed to cautious sentiment among investors.

The company's expansion into automotive, IoT, and AI data centers continues to attract interest from institutional investors.

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