On April 4, 2024, Akash Palkhiwala, the Chief Financial Officer & Chief Operating Officer of Qualcomm Inc (QCOM, Financial), sold 3,000 shares of the company. The transaction was reported in a recent SEC filing, which provides details of the insider's trade.
Qualcomm Inc is a leading semiconductor company that designs and markets wireless telecommunications products and services. The company's portfolio includes a variety of chipsets and solutions for mobile devices, infrastructure, automotive, and Internet of Things (IoT) applications.
According to the filing, the insider sold the shares at an average price of $173.49, resulting in a total transaction value of $520,470. This sale has contributed to the insider's total sales of 10,000 shares over the past year, during which the insider has not made any purchases of Qualcomm Inc stock.
The insider transaction history for Qualcomm Inc over the past year indicates a trend of more insider selling than buying. There have been 20 insider sells and no insider buys during this period.
On the valuation front, Qualcomm Inc's shares were trading at $173.49 on the day of the insider's sale, giving the company a market capitalization of $189.45 billion. The price-earnings ratio of the stock stands at 24.60, which is below the industry median of 32.85 but above the company's historical median price-earnings ratio.
The stock's price relative to the GuruFocus Value (GF Value) indicates that Qualcomm Inc is currently modestly overvalued. With a share price of $173.49 and a GF Value of $138.10, the price-to-GF-Value ratio is 1.26.
The GF Value is calculated based on historical trading multiples, a GuruFocus adjustment factor, and future business performance estimates provided by Morningstar analysts.
The insider's recent sale may attract the attention of investors who track insider behavior as an indicator of a company's prospects. However, it is important to consider a wide range of factors when evaluating the potential impact of insider transactions on stock performance.
Investors and analysts often monitor insider sales to gain insights into a company's internal perspective. While the sale of shares by an insider does not necessarily indicate a negative outlook, it is one of many pieces of information that can be used to form a comprehensive view of a company's financial health and future potential.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
