Qualcomm’s Earnings to Test Market Sentiment Amid Declines

Qualcomm's pivotal Q1 earnings may revive its struggling stock if results and guidance exceed expectations.

  • Qualcomm (QCOM) reports Q1 fiscal 2026 results after market close on February 4, with Wall Street expecting adjusted EPS of $3.39 on revenue of $12.12 billion.
  • The stock is down over 13% in the past year, but some analysts posit a rebound could begin if earnings beat expectations and forward guidance is strong.
  • Cantor Fitzgerald lowered its price target to $160, forecasting solid Q1 results but guidance for subsequent quarters below consensus.

Semiconductor developer Qualcomm will release its first-quarter fiscal 2026 results after the market closes today, February 4, setting the stage for a pivotal moment for its struggling stock. Wall Street expects adjusted earnings per share of $3.39, a slight decline from the prior year’s $3.41, while sales are forecast to rise 3.8% year-over-year to $12.12 billion. However, the company has beaten earnings expectations for eight consecutive quarters, offering a glimmer of hope for investors.

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Consequently, the company’s guidance for the second quarter is expected to carry more weight than the actual Q1 figures, given the stock’s high reactivity to handset market cues. An outperformance coupled with optimistic forward projections could potentially flip the negative sentiment surrounding QCOM. Meanwhile, Cantor Fitzgerald‘s C.J. Muse maintains a Neutral rating but lowered his price target on Qualcomm to $160 from $185 ahead of the report.

The firm anticipates solid December-quarter results but warns of a weaker outlook, expecting March-quarter guidance to come in “modestly below consensus”. It further projects June-quarter guidance to be “well below consensus,” which could pressure the stock if confirmed. Despite the cautious analyst stance, some market observers view the recent price decline as a potential buying opportunity ahead of the earnings release.

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