10 Best Affordable Tech Stocks To Invest In Now

2. QUALCOMM Incorporated (NASDAQ:QCOM)

Forward P/E Ratio: 14.02

Earnings Growth This Year: 9.52%

Number of Hedge Fund Holders: 74

QUALCOMM Incorporated (NASDAQ:QCOM) is a leading technology company that focuses on developing essential technologies for wireless communication. The company not only designs and manufactures integrated circuits and software that are crucial for various smartphones and smart devices. They also work on advanced technologies for cars, such as automated driving systems. It also holds numerous patents related to wireless technology. The company operates through three main segments including Qualcomm CDMA Technologies, Qualcomm Technology Licensing, and Qualcomm Strategic Initiatives.

QUALCOMM Incorporated (NASDAQ:QCOM) is a leading player in the smartphone industry, with its Snapdragon X75 modem being used in the new iPhone 16 models. It also powers the South Korean smartphone giant, Samsung with Snapdragon processors to power its generative AI-enabled Galaxy smartphones. During the fourth quarter results for fiscal 2024, the company reported its QCT segment revenue which deals with handsets improved more than 9% year-over-year to reach $33.2 billion. Within this segment handsets revenue accounted for $6.1 billion, mainly driven by its recent Snapdragon 8 Elite chipset.

While the current growth is impressive for the company, what’s more impressive is its nealine growth prospects. Samsung is expected to launch its next-generation Galaxy S25 during the start of next year, the phones are reported to be powered by Snapdragon 8 Elite, indicating robust growth for the company. Moreover, other smartphone OEMs ASUS, Honor, OnePlus, and OPPO to name a few are also launching devices powered by the same chipset. Looking ahead management expects its first-quarter revenue for fiscal 2025 to be around $10.5 billion and  $11.3 billion. It is one of the best affordable tech stocks to invest in now.

Madison Sustainable Equity Fund stated the following regarding QUALCOMM Incorporated (NASDAQ:QCOM) in its Q3 2024 investor letter:

“Alphabet Inc., Eli Lilly and Company, QUALCOMM Incorporated (NASDAQ:QCOM), Microsoft Corporation, and Apple Inc. were the largest detractors. Qualcomm has given back some of its first half gains after the CFO commented at a conference that its entrance into the AI PC business would take time to ramp. We continue to see Qualcomm as well positioned with growth from AI moving into the mobile phone, from new opportunities in the Internet of Things (IoT), and within the Auto industry but will also look to future growth as they enter the PC market.”