February 6, 2026

By Nigam Arora

As semiconductors go, Qualcomm Inc (QCOM) is an inexpensive stock.  A further dip in QCOM will become a buying opportunity.

Here are the key points:

• QCOM licenses technology or provides chips for the vast majority of smartphones in the world.
• Demand remains strong.
• QCOM earnings are being hurt because smartphone manufacturers are becoming memory constrained.  Memory is being diverted to AI data centers.
• Sooner or later, a fair amount of AI will be done at the edge. QCOM is the leader in edge AI.
• QCOM products are beginning to gain traction in data centers.
• QCOM is expanding its footprint in automotive.