Top 5 Undervalued Tech Stocks

2. QUALCOMM Incorporated (NASDAQ:QCOM)

Number of Hedge Fund Holders: 75

PE Ratio: 16.81

QUALCOMM Incorporated (NASDAQ:QCOM) provides critical technology to the wireless communication industry around the world. It develops the popular Snapdragon chipsets used by a range of prominent smartphone-makers, and its chips are used in autonomous vehicles, and IoT (internet of things) capabilities as well.

Canaccord analyst T. Michael Walkley in February kept a ‘Buy’ rating on QUALCOMM, Incorporated (NASDAQ:QCOM) shares, and raised the price target to $250 from $225. The analyst sees the firm well-positioned to benefit from the increased adoption of smartphones with 5G capability, as well as growing demand in the automotive and Internet of Things (IoT) segments. On April 4, QUALCOMM Incorporated (NASDAQ:QCOM) announced the acquisition of Arriver from SSW Partners, which will allow the firm to enhance its offerings for the autonomous vehicle industry with Advanced Driver Assistance System solutions.

In the fourth quarter, QUALCOMM Incorporated (NASDAQ:QCOM) reported earnings per share of $3.23, which was above analysts’ estimates by $0.23. Quarterly revenue stood at $10.70 billion, above consensus estimates by $262.71 million and showing an increase of 30.04% year-on-year.

Out of all the hedge funds tracked by Insider Monkey, 75 hedge funds held stakes in QUALCOMM Incorporated (NASDAQ:QCOM) during the fourth quarter, as opposed to 70 in the preceding quarter. Alkeon Capital Management was the leading shareholder of the firm in Q4 2021, with 5.3 million shares worth $970 million.