{"id":5721,"date":"2026-07-30T00:26:20","date_gmt":"2026-07-30T00:26:20","guid":{"rendered":"https:\/\/thecapitalharbor.com\/index.php\/2026\/07\/30\/qualcomm-stock-slips-as-memory-crunch-hits-q2-earnings\/"},"modified":"2026-07-30T00:26:20","modified_gmt":"2026-07-30T00:26:20","slug":"qualcomm-stock-slips-as-memory-crunch-hits-q2-earnings","status":"publish","type":"post","link":"https:\/\/thecapitalharbor.com\/index.php\/2026\/07\/30\/qualcomm-stock-slips-as-memory-crunch-hits-q2-earnings\/","title":{"rendered":"Qualcomm stock slips as memory crunch hits Q2 earnings"},"content":{"rendered":"
<\/div>\n

Qualcomm (QCOM) shares are inching lower in extended hours after the company reported fiscal Q3 results that reflected persistent semiconductor supply constraints.<\/p>\n

The company based out of San Diego, CA earned $2.21 per share in its third financial quarter, less than $2.23 that analysts had called for, as net income tumbled 25% year-on-year to $2 billion.<\/p>\n

However, QCOM\u2019s sales soared to $9.95 billion in Q3 \u2013 handily beating the consensus set at $9.67 billion. Including after-hours decline, Qualcomm stock is down some 40% versus its June high.<\/p>\n

Why did Qualcomm miss on Q2 profit estimates?<\/h2>\n

A sharp escalation in semiconductor component costs was the primary culprit behind Qualcomm\u2019s bottom-line miss.<\/p>\n

In the press release, management pointed to much higher input expenses across wafer fabrication, packaging, assembly, and particularly memory components.<\/p>\n

The supply crunch severely impacted Qualcomm’s core handset segment, where chip sales dropped 20% annually to $5.1 billion, with CEO Cristiano Amon noting that elevated memory costs<\/a> have altered consumer behavior in the core smartphone market.<\/p>\n

Budget and mid-tier devices have faced severe affordability bottlenecks, and even premium Android shoppers are increasingly opting for lower-tier configurations or prior-year models, he added.<\/p>\n

This structural shift in buying patterns, paired with elevated supply chain overhead, squeezed gross margins in Q3, triggering an after-hours sell-off in QCOM shares.<\/p>\n

What else is weighing on QCOM shares in after-hours?<\/h2>\n

Investors bailed on Qualcomm shares also because of the disappointing current-quarter guidance.  <\/p>\n

Management projected adjusted earnings per share between $2.05 and $2.25 \u2013 falling noticeably short of the $2.36 consensus estimate compiled by analysts polled by LSEG.<\/p>\n

Expected sales of $9.7 billion to $10.5 billion surround the $10.02 billion Wall Street consensus, reflecting stable demand alongside ongoing cost inflation.<\/p>\n

To offset these pressures, Amon announced comprehensive price increases across QCOM\u2019s chip product line beginning September 1.<\/p>\n

However, he categorized higher supply costs as a temporary disruption \u2013 emphasizing that raising prices and streamlining supply chain operations will restore margin expansion moving into the next fiscal year.<\/p>\n

Should you buy the post-earnings dip in Qualcomm stock?<\/h2>\n

Despite near-term supply chain friction, Qualcomm Inc\u2019s strategic expansion beyond smartphones continues to gather momentum.<\/p>\n

Non-handset divisions delivered standout results, led by the automotive business with $1.59 billion in sales, anchored by a fresh digital cockpit supply partnership with BMW as the chipmaker targets $10 billion in automotive revenue by 2029.<\/p>\n

The Internet of Things segment grew 9% year-on-year to $1.83 billion, while the licensing division (QTL) generated $1.28 billion, topping StreetAccount estimates.<\/p>\n

With non-smartphone business targeted to represent 60% of total revenue next year, the finalized acquisition of Modular and an upcoming AI software platform signal that QCOM stock remains aggressively positioned for data center and edge AI expansion<\/a>.<\/p>\n

That said, Wall Street currently rates Qualcomm Inc at Hold only.<\/p>\n

The post Qualcomm stock slips as memory crunch hits Q2 earnings<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Qualcomm (QCOM) shares are inching lower in extended hours after the company reported fiscal Q3…<\/p>\n","protected":false},"author":1,"featured_media":5722,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-5721","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/posts\/5721","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/comments?post=5721"}],"version-history":[{"count":0,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/posts\/5721\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/media\/5722"}],"wp:attachment":[{"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/media?parent=5721"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/categories?post=5721"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thecapitalharbor.com\/index.php\/wp-json\/wp\/v2\/tags?post=5721"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}