Street View: Wall Street warms to Qualcomm's data center chip push

Qualcomm

30/04/2026 14:24

** Qualcomm QCOM.O CEO Cristiano Amon on Wednesday said the chipmaker was confident that the smartphone market will start to rebound after its fiscal third quarter
** Co forecast third-quarter chip revenue of between $7.9 billion and $8.5 billion, below estimates of $8.93 billion
** Qualcomm is also working to break into the booming data center chip market, which it will start shipping products for before the end of the year

** Shares jump 10% premarket

PIVOTING TOWARDS AI

** Melius Research ("hold," PT: $170) says "QCOM is likely getting a bump into its June 24th analyst day because it will unleash long-term targets aimed at shifting the narrative from "share loser to Apple" to "AI winner in Data Center"
** Adds, "tough to argue that they won't get a little credit in this tape for semis, even if it's unproven"

** Summit Insights Group ("buy") says management diversification efforts beyond handsets will determine QCOM's trajectory moving forward

** TD Cowen ("buy," PT: $200) says Qualcomm's diversification efforts are starting to materialize in the model
** Adds, handset exposure and narrative will remain a battle

** RBC Capital Markets ("sector perform," PT: $175) says custom silicon win could solidify AI narrative

 (Reporting by Joel Jose in Bengaluru)

 ((joeljose@thomsonreuters.com))