Qualcomm Slides After Hours Despite Beat as Phone Outlook Weighs
Qualcomm shares fell about 7.5% in after-hours trading on Wednesday even though the chipmaker beat estimates for its fiscal fourth quarter, as investors focused on a weaker outlook for its phone business.
The numbers
Revenue fell 8% from a year ago to $10.32 billion, but that was above the roughly $10.11 billion analysts expected, and adjusted earnings of $2.17 per share topped the $2.16 estimate. Automotive revenue hit a record $1.99 billion, up 89%, while handset revenue dropped 26% to $5.14 billion. For the December quarter, Qualcomm guided revenue to $10.4–$11.2 billion and adjusted earnings to $2.15–$2.35 per share.
The concern came from the call. The finance chief said December will not be the company’s strongest quarter as Apple product revenue ramps down, and management said its plan assumes global phone sales will be flat to down in 2027. On the positive side, Qualcomm renewed long-term licensing deals with Apple, Huawei and Transsion, signed an AI data center deal with Amazon, and expects data center revenue above $650 million in the December quarter.
The setup
The stock had gained 5.3% to $173.19 on Wednesday after announcing a deal with SpaceX for Starlink Mobile base stations. After hours it swung between $158.36 and $181.50 and traded near $160.16, giving back the whole day’s gain and more.
Sources: Company results and earnings call via Benzinga. Price data from Webull as of 8:00 p.m. ET, Nov. 4, 2026.
Disclaimer: This article is for informational and educational purposes only and is not financial advice. Tech & Money Press is not a registered investment advisor. Do your own research before making any investment decisions.
Our Take
Qualcomm beat the numbers, but the market is trading the next year, not the last quarter. Management said phone sales could be flat to down in 2027 and that Apple revenue is ramping down, which hits the business that still brings in about half of its sales. The bull case is real: record auto revenue, a renewed Apple license and data center sales starting above $650 million, but those are still small next to handsets. For Thursday, the after-hours drop erased Wednesday’s SpaceX rally. $160.38, Tuesday’s low, is the first support, and losing $158.36, the after-hours low, would put the stock at its lowest level in months. On a bounce, $165.28 is the first resistance and reclaiming Wednesday’s $173.19 close would mean buyers are betting on the data center story.
Opinion of Tech & Money Press. Not financial advice.