Reports from Bloomberg indicate that Qualcomm, Inc. (NASDAQ:QCOM) is in talks with GlaxoSmithKlein pertaining to a possible joint venture to develop medical technology. While reports indicate that the talks are only at a preliminary stage, such a joint venture could certainly produce interesting output.
This is not the first tech company to team with those in the medical field. Recently both Alphabet’s Google and IBM have teamed to bring their computing power and algorithms to the field of medicine. As we move forward into the next five to ten years, data, artificial intelligence and computing power will play an enormous role in drug discovery, as well as new medical breakthroughs. Qualcomm, Inc. (NASDAQ:QCOM) clearly realizes this and wants to stay ahead of the curve.
The stock is down 2.76% or $1.27 following the news, hitting $44.82 per share. Approximately 6.61 million shares traded hands. QCOM shares have declined 30.83% since June 15, 2015 and are currently downtrending. It has underperformed the S&P500 by 21.96%.
From a total of 22 analysts covering Qualcomm Inc. (NASDAQ:QCOM) stock, 14 rate it a “Buy”, 0 a “Sell”, and 8 a “Hold”. This means that 64% of the ratings are positive. The highest target price is $75 while the lowest target price is $51. The mean of all analyst targets is $63.11 which is 40.81% above today’s ($44.82) stock price. Qualcomm Inc. was the topic of 39 analyst reports since July 23, 2015 according to the firm StockzIntelligence Inc. Argus Research maintained shares on January 14 with a “Buy” rating. Pacific Crest initiated shares with a”Overweight” rating and a $64 target share price in their report from a December 4. Susquehanna upgraded QCOM stock in a recent report from January 13 to a “Positive” rating. Rosenblatt initiated the rating on October 22. Rosenblatt has a “Buy” rating and a $65 price target on shares. Finally, Topeka Capital Markets maintained the stock with a “Hold” rating in a report they issued on a December 16.
The institutional sentiment decreased to 0.63 in Q2 2015. It’s down 0.30, from 0.93 in 2015Q2. The ratio is negative, as 154 funds sold all their QUALCOMM, Inc. shares they owned while 677 reduced their positions. 93 funds bought stakes while 428 increased their total positions. Institutions now own 1.06 billion shares which is 14.12% less than the previous share count of 1.24 billion in 2015Q2.
Jana Partners Llc holds 17.29% of its total portfolio in QUALCOMM, Inc., equating to 28.55 million shares. Orbis Investment Management (U.S.) Llc owns 213,730 shares representing 10.41% of their total US portfolio. Moreover, Penn Davis Mcfarland Inc has 9.19% of their total portfolio invested in the company, equating to 650,023 shares. The United Kingdom-based Generation Investment Management Llp has a total of 8.8% of their portfolio invested in the stock. Spo Advisory Corp, a California-based fund reported 9.44 million shares owned.
Since March 11, 2015, the stock had 1 buying transaction, and 3 selling transactions for a total of $490,240 in net activity. Renduchintala Venkata S M sold 2,700 shares worth $150,066. Amon Cristiano R sold 2,737 shares worth $146,621. Vinciquerra Anthony J bought 1,000 shares worth $54,700. Sterling Michelle M sold 4,185 shares worth $248,253. The insider Aberle Derek K sold 14,794 shares worth $981,465.
Qualcomm Incorporated is engaged in providing third-generation (3G), fourth-generation (4G) and next-generation wireless technologies. The company has a market cap of $68.89 billion. The Company’s products include 2net, AllPlay, Brew, Gobi, Halo, HealthyCircles, Hy-Fi, IPQ, IZat, Pixtronix, Powerline, QChat, QLearn, Small Cells, Snapdragon, Vive, RaptorQ, Vuforia and WiPower. It has 13.99 P/E ratio. AllPlay helps manufacturers create devices and services.