Qualcomm Locks In Apple, Huawei, Transsion Licenses; Sees FY27 Cost Relief
QCOM sits 31% above its 52-week low of $121.99 on elevated volume (1.9× avg).
Summary
Qualcomm renewed long-term QTL licensing agreements with Apple, Huawei and Transsion, removing a key overhang on the licensing side of the business. On the chip side, management flagged rising wafer, packaging and other input costs, with pricing changes underway and the full benefit to QCT gross margins not landing until the second half of fiscal 2027. The near-term picture is soft: global handset sales are expected flat to lower in 2027, QCT handset revenue is guided down a mid-single-digit percentage sequentially in fiscal Q1 2027, and the December quarter won't be the revenue peak as Apple product revenue ramps down. Offsets are real — automotive and IoT growth, more than 70% expected supply share in the next Samsung generation, Dragonwing C1000 on schedule for Meta, and custom-silicon shipments to two hyperscalers starting in fiscal Q1 2027. This follows the Nov. 4 8-K showing Q4 revenue of $10.3B (down 8%) and non-GAAP EPS of $2.17 (down 28%), and the CNBC report that handset revenue fell 26% to $5.14B and missed the $5.25B consensus.
At the time of this announcement, QCOM was trading at $160.25 on NASDAQ in the Technology sector, with a market capitalization of approximately $184.9B. The 52-week trading range was $121.99 to $259.92. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Wiseek News.