JPMorgan bullish on Qualcomm, cites 25% growth potential

On April 29, 2025, JPMorgan Chase & Co. publicly expressed renewed optimism towards Qualcomm, a leading semiconductor company based in the United States. Analyst Samik Chatterjee issued an 'overweight' rating on Qualcomm shares, following a period of previously being not rated. This shift indicates a more positive outlook for the company moving forward. Chatterjee set a price target of $185 per share, which suggests a potential upside of approximately 25.3% from the closing price observed on the prior day. The analyst noted that there have been concerns regarding the short-term financial outlook for Qualcomm. Specifically, there are worries about reduced smartphone demand, both from distribution channels and consumer upgrades that have occurred recently. These factors have led to cautiousness about the immediate future performance of Qualcomm. However, despite these near-term challenges, Chatterjee emphasized a strong belief in Qualcomm's long-term growth potential. He highlighted the company's successful diversification from reliance on smartphone revenues as a pivotal factor contributing to this positive outlook. Qualcomm has made significant strides in increasing its revenue base from markets such as the Internet of Things (IoT) and automotive segments. In 2021, Qualcomm acquired Nuvia, a startup that specializes in advanced chip design, which indicates the company’s commitment to exploring opportunities in data centers. This strategic move positions Qualcomm well in the evolving technology landscape, as it aims to shift towards a diversified revenue model that will become increasingly important over the next few years. Overall, Chatterjee's report showcases a balanced view, recognizing immediate concerns while remaining firm on the significant long-term opportunities available to Qualcomm.