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Qualcomm shares slide as higher costs, Apple-related weakness cloud profit forecast
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July 30 (Reuters) - Qualcomm shares fell about 5% on Thursday after the chipmaker's warning about higher memory costs and a steeper decline in revenue from Apple raised concerns about near-term profit growth.
A surge in AI infrastructure spending has tightened semiconductor supply chains, driving up costs for memory, wafers, packaging and testing.
Qualcomm plans to pass on those increases to customers through double-digit price hikes.
For the current quarter, Qualcomm forecast adjusted profit per share in the range of $2.05 to $2.25, well below LSEG-compiled analysts' average estimate of $2.36.
Qualcomm trades at 14.31 times its expected earnings over the next 12 months, compared with 43.85 times for Intel and 17.49 times for Nvidia.