QUALCOMM Incorporated (QCOM) Slipped Over Memory-Related Supply Constraints in Q1

4 hours ago 2

Soumya Eswaran

Thu, May 7, 2026 astatine 6:38 AM CDT 4 min read

Aristotle Capital Management, LLC, an concern absorption company, released its “Value Equity Fund” first-quarter 2026 capitalist letter. A transcript of the missive tin beryllium downloaded here. During the archetypal quarter, the U.S. equity marketplace declined, with the S&P 500 Index falling by 4.33%. The fixed-income assemblage besides saw a downturn; the Bloomberg U.S. Aggregate Bond Index fell by 0.05%. In presumption of concern styles, the worth outperformed growth. Macroeconomic conditions indicated a slowdown successful maturation portion inflationary pressures persisted. Additionally, geopolitical events contributed to heightened volatility during this period. For the archetypal 4th of 2026, the Aristotle Value Equity Fund (Class I-2) recorded a full instrumentality of -2.23%, underperforming the Russell 1000 Value Index’s instrumentality of 2.10% but outperforming the S&P 500 Index’s instrumentality of -4.33%. In this challenging environment, the steadfast remains focused connected what it considers to beryllium much assessable and sustainable: the semipermanent fundamentals of idiosyncratic businesses. In addition, delight cheque the Fund’s apical 5 holdings to cognize its champion picks successful 2026.

In its first-quarter 2026 capitalist letter, Aristotle Value Equity Strategy highlighted QUALCOMM Incorporated (NASDAQ:QCOM). QUALCOMM Incorporated (NASDAQ:QCOM) is simply a semiconductor and connection exertion institution focusing connected the improvement and commercialization of foundational technologies for the wireless industry. On May 6, 2026, QUALCOMM Incorporated (NASDAQ:QCOM) closed astatine $192.57 per share. One-month instrumentality of QUALCOMM Incorporated (NASDAQ:QCOM) was 50.74%, and its shares gained 32.72% implicit the past 52 weeks. QUALCOMM Incorporated (NASDAQ:QCOM) has a marketplace capitalization of $202.97 billion.

Aristotle Value Equity Strategy stated the pursuing regarding QUALCOMM Incorporated (NASDAQ:QCOM) successful its Q1 2026 capitalist letter:

"QUALCOMM Incorporated (NASDAQ:QCOM), a starring semiconductor and communications exertion company, was 1 of the largest detractors for the quarter. Despite delivering grounds revenues during the period, the institution guided to little near-term results owed to representation related proviso constraints. Results were impacted by higher representation prices, driven successful portion by beardown request for AI-related information halfway applications. This is constraining smartphone accumulation contempt different steadfast underlying request and starring handset manufacturers to follow much cautious accumulation and inventory strategies, reducing near-term spot orders for Qualcomm. We presumption these headwinds arsenic cyclical alternatively than structural. Qualcomm has retained its precocious marketplace stock successful handsets, adjacent arsenic ample clients (most notably Apple) proceed to prosecute insourcing initiatives, which we judge is simply a testament to its past of productive probe and improvement (R&D) spending and technological leadership. Qualcomm besides continues to execute connected its semipermanent strategy of evolving from a handset centric institution into a broader connected computing platform. Automotive, Internet of Things (IoT) and newer initiatives, specified arsenic AI-enabled PCs and borderline inference processors, correspond a increasing information of the company, with absorption targeting astir fractional of spot gross from non-handset applications by the extremity of the decade. We judge Qualcomm’s technologies volition proceed to payment arsenic connectivity expands crossed devices and arsenic AI workloads progressively displacement from the unreality to on-device (the edge), supporting its quality to make beardown FREE currency travel implicit time."

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