5 Most Undervalued Tech Stocks to Buy According to Hedge Funds

2. QUALCOMM Incorporated (NASDAQ:QCOM)

Number of Hedge Fund Holders: 80

QUALCOMM Incorporated (NASDAQ:QCOM), like other semiconductor stocks, is currently under pressure amid major supply chair issues and demand concerns. However, QUALCOMM Incorporated (NASDAQ:QCOM) bulls believe the company has several secular growth catalysts. QUALCOMM Incorporated (NASDAQ:QCOM) is set to benefit from the rise of IoT devices, smart home, AI and wireless technologies. QUALCOMM Incorporated (NASDAQ:QCOM) expects its IoT revenue to reach a whopping $9 billion by FY 2024, compared to $6.9 billion last year. QUALCOMM Incorporated (NASDAQ:QCOM) expects its annual revenue from the automotive segment to jump to $3.5 billion in five years, as compared to $1.4 billion last year. Perhaps the biggest growth driver for QUALCOMM Incorporated (NASDAQ:QCOM) is the upcoming 5G revolution.

A total of 80 hedge funds out of the 920 funds tracked by Insider Monkey had stakes in QUALCOMM Incorporated (NASDAQ:QCOM) as of the end of the third quarter. The total value of these stakes was about $2.6 billion.

Madison Funds made the following comment about QUALCOMM Incorporated (NASDAQ:QCOM) in its fourth-quarter 2022 investor letter:

“QUALCOMM Incorporated (NASDAQ:QCOM) continues to be challenged by headwinds in the smartphone supply chain with an expected decline in units for 2022. Despite solid gains in the Internet of Things and Auto segments, Qualcomm’s dominant business remains the smartphone market. We expect to see stabilization of the smartphone market in 2023, including a recovery in China.”