Will QUALCOMM, Inc. (QCOM) Stock Soar To New Highs In 2017?

QUALCOMM, Inc. (NASDAQ:QCOM) stock looks set to make new highs following its CES 2017 announcements.

San Diego-based component manufacturer QUALCOMM, Inc. (NASDAQ:QCOM) was one of the strongest performers in 2016, delivering a 30.4% return. The company also started the new year on a good note with its announcements at CES 2017. Of late, things have not been going that well for Qualcomm, with South Korea imposing fines on the company for patent licensing practices.

While there’s no doubt that Qualcomm is set for a good run in the long term, QCOM stock has moved sideways at best, over the last quarter, losing more than 4%. Well, we believe Qualcomm Inc is headed higher and could well breach the $80 mark in 2017. Yet, there are few key things which you should know before you expose yourself to QCOM stock.

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Qualcomm At CES 2017

QUALCOMM, Inc. (NASDAQ:QCOM) showed off its latest Snapdragon 835 chip (1) at CES 2017 recently. Qualcomm has managed to pack a lot into the chip, which comes in at 35% (packs 3 billion transistors into a diminutive package) smaller than the Snapdragon 820 line. According to the company, it consumes 25% less power, supports AR/VR (natural support for Google Daydream), supports “exceptional photography”. It provides improved peak download speeds, up to 10 times as fast as the original 4G LTE modems, and packs in advanced security features including support for fingerprint, eye, and face-based biometrics. It is set to arrive in the first half of 2017.

Also at CES, the chipmaker unveiled several initiatives to drive further into the connected cars space, including a partnership with Volkswagen, a connected car trial in Germany, a new class of high-bandwidth LTE technology, ‘Gigabit LTE’ for vehicles, and more. Qualcomm intends to develop end-to-end car technology for the next generation of connected vehicles.

Also Read: Are Qualcomm Inc (QCOM) Dividends Safe Post The NXP (NASDAQ:NXPI) Buyout?

All these developments indicate that Qualcomm is geared up for the future and that it isn’t placing all its eggs in one basket. Also, some leaked benchmark results of the 835 chip suggest that it could be an Apple Inc. (NASDAQ:AAPL) A10 chip killer. If these reports were to be true then it would really augur very well for the world’s largest mobile chipmaker. The announcements at CES reinforces the view that Qualcomm will continue to dominate the mobile chip space and spread its presence in new growth areas.