Qualcomm Jumps After Daiwa Raises Target, Turns Bullish

Key Moments

Daiwa Moves Qualcomm to Outperform

Qualcomm Inc. (NASDAQ:QCOM) traded sharply higher Friday morning, rising 6% after Daiwa Securities analyst Louis Miscioscia upgraded the stock from Neutral to Outperform and established a price target of $225.

The new target was set as Qualcomm shares had closed at $202.50 on Thursday and were already up 5.6% in pre-market trading on Friday. The move comes after a strong run in the stock, which has gained over 60% in the past 30 days.

Valuation Rerating Debate and Arm Comparison

In the accompanying report, Daiwa examined whether Qualcomm could be the next semiconductor name to undergo a reset in its price-to-earnings ratio. The analysis drew parallels with Arm Holdings, suggesting the potential for a similar market revaluation.

Focus on Future Growth Areas

The report highlighted Qualcomm’s upcoming investor day, where management is expected to discuss prospects in data center CPUs, physical computing, and edge AI. These areas were pointed to as key themes for the company’s long-term trajectory.

Guidance Miss vs Long-Term Potential

Although Qualcomm’s third quarter fiscal 2026 guidance came in below market expectations, Miscioscia emphasized that investors should prioritize the company’s forward-looking opportunities. The analyst pointed to Qualcomm’s revenue growth outlook and what was described as a modest valuation as the core reasons behind the new Outperform rating and the $225 price target.

Quantitative Snapshot