QUALCOMM Inc. (QCOM) continues to trade near a 52-week high even in the face of Monday’s plunging market. The company also offers a dividend yield that is quite competitive within its industry group.
QUALCOMM Incorporated designs, manufactures and markets digital wireless telecommunications products and services.
Bullish Performance in a Difficult Market
Shares of QCOM continue to trade higher in a tough market. QUALCOMM closed near a 52-week high Monday, while the Dow sunk 242 (2%) points and the tech-heavy Nasdaq shed 49 points (2%)
On July 23, the company posted a strong fiscal third quarter, noting that it delivered record revenues that were up by 19 % year-over-year.
Forecasts are in line with Wall Street
On July 24, Qualcomm announced its outlook, which included a fourth-quarter guidance of about 49 to 51 cents per share.
Wall Street is forecasting 50 cents per share currently, up from the two months-ago level of 47 cents. For the year ending September 2008, analysts are projecting earnings of $1.94 per share, versus the two months-ago level $1.91.
Favorable Industry Comparisons
The company’s return on equity [ROE] of 20% is well above the industry average of 2%. Its yield of 1.2% stands out as the company operates in an industry that virtually pays no dividend. QCOM’s earnings per share are expected to grow by 19% over the next 3 – 5 years, versus the industry average of 17%.