Nomura Securities analyst Romit Shah lowered his price target on Qualcomm (NASDAQ: QCOM) to $85.00 (from $90.00) following Q4 results but maintained a Buy rating.

Shah comments, "Resolving the investigation in China remains a significant catalyst, in our view, as it would boost EPS over time and improve the company’s long-term growth rate. FQ4 results, although weaker, suggest progress on the front as the company is including some favourable outcomes in fiscal guidance. We believe that the FY15 QTL revenue guidance of $7.3bn-8.3bn, while below our estimate of $8.6bn, only assumes at the midpoint an incremental 110mn units from China, versus upside of 300mn-400mn units in CY15/16. In addition, the backdrop for global smartphone demand continues to be positive. We are lowering our CY15 EPS forecast from $6.21 to $5.60, based on revenue growth of 7%. That puts valuation at 14x CY15 (including options) in after-market trading or 10x ex cash."

CY14E EPS from $5.48 to $5.26; CY15E EPS from $6.21 to $5.60.

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Shares of Qualcomm closed at $77.20 yesterday.