Qualcomm Downgraded, Price Target Slashed to $140 on Memory Headwinds
Qualcomm was downgraded to market perform from outperform with its price target cut to $140 from $175 due to memory headwinds from AI models requiring less memory. The stock has dropped 24% YTD, trades below its 20-day moving average, and its $160.65 consensus target implies a 25.2% premium.
1. Broker Downgrade and Price-Target Adjustment
A brokerage downgraded Qualcomm to market perform from outperform and cut its price target to $140 from $175, citing memory headwinds as emerging AI models require less memory for large-language tasks.
2. Stock Performance Trends
Qualcomm shares have fallen over 24% year to date, reaching their lowest level since April and trading below the 20-day moving average.
3. Consensus Target Premium
The 12-month consensus price target stands at $160.65, implying a 25.2% premium to current levels and suggesting potential upside despite recent declines.
4. Options Market Sentiment
Traders have shown increased bearish bets, with the 50-day put/call volume ratio currently higher than 77% of readings over the past year.