Qualcomm, a US telecoms chip supplier, paid approximately $1 billion in 2015 to settle a 14-month-long government probe into anti-competitive conduct in China. This settlement marked the end of a difficult period for the company, as it faced scrutiny for its business practices in the Chinese market.
Looking ahead, there are several potential scenarios that could impact Qualcomm’s stock. One possibility is that the company could face additional regulatory challenges in China or other markets, which could lead to further legal troubles and potential fines. Another potential factor that could affect Qualcomm’s stock is the company’s performance in the competitive telecoms chip market, as it faces stiff competition from other major players in the industry.
Additionally, Qualcomm’s stock could be influenced by broader macroeconomic factors, such as changes in global trade policies or economic conditions. For example, a trade war between the US and China could have a significant impact on Qualcomm’s business, as the company generates a significant portion of its revenue from the Chinese market.
Overall, Qualcomm’s stock is likely to remain volatile in the near term as the company navigates various challenges and opportunities in the telecoms chip industry. Investors should closely monitor regulatory developments, competitive dynamics, and macroeconomic trends to assess the potential impact on Qualcomm’s stock performance.
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https://www.thestreet.com/investing/stocks/analysts-reboot-qualcomm-stock-price-target-on-microsoft-deal