"Qualcomm (NASDAQ:QCOM): Strategy Analytics has revealed that Qualcomm’s grip on the baseband market has tightened, as the company now had about 97 percent of the LTE baseband market for the first quarter, and a 59 percent share of the baseband market overall. The global baseband market lifted 18.5 percent, for a value of roughly $4.6 billion."
WOW, and to think I used to bash this stock. Sure am buying now though.
A post here selectively quoted Zack's analysis, but purposely left out their last paragraphs where they said;
zacks also said
"We believe that Qualcomm will continue to perform wellon the back of significant surge in the demand for smartphones and tablets. The long-term fundamentals of the company remain intriguing given the increasing demand for LTE-enabled mobile handsets in the U.S.A., Japan, and South Korea, rapid transition from 2G to 3G in China and India, and increasing licensing revenues. Management is quite confident that it will be able to retainits current pace of revenues and earnings growth for at least the next five years.
Qualcomm has firmly established its leadership position in the high-end smartphone segment. It has a diversified client base. Qualcomm supplies mobile chipset for all three major operating systems, namely iOS of Apple Inc. (AAPL), Android of Google Inc. (GOOG) and Windows Phone of Microsoft Corp. (MSFT). The company is a major chipset supplier for Samsung, which is currently the largest seller of smartphones globally. "
The patents and licensing revenues alone are huge. What has caused this type of reaction in the stock is not understandable to me. Yes, all the INTC hype, but many analysts have given the strong headwinds INTC faces, Haswell or not, so that seems to be a risky play as well.