Introduction
Qualcomm makes chips for phones. Chips are tiny parts that help a phone think and connect. On Wednesday, November 4, 2026, Qualcomm shared its latest results. The news was mixed. Sales were strong. But the next forecast was soft. Shares fell about 7% after the news.
What Happened
Qualcomm reported results for its fourth quarter of fiscal 2026. Revenue means all the money a company brings in from sales. Revenue was $10.44 billion. That was down 7% from a year earlier. Adjusted earnings per share were $2.17. Earnings per share means profit shared across each share. Stock means a small piece of a company. Experts had expected $2.16 per share. So the profit result was a little better than expected.
But the forecast worried investors. A forecast is a company’s guess about the future. For the current quarter, Qualcomm expects adjusted earnings per share of $2.15 to $2.35. It expects revenue of $10.4 billion to $11.2 billion. Experts had expected $2.27 per share and $10.48 billion in revenue. The middle of the profit forecast was below the expert guess. Shares fell about 7% in extended trading. Extended trading means trading after the normal market closes.
Key Figures
- Revenue: $10.44 billion, down 7% from a year earlier
- Adjusted earnings per share: $2.17, versus $2.16 expected
- Shares: down about 7% in extended trading
- Next-quarter revenue forecast: $10.4 billion to $11.2 billion
- Next-quarter profit forecast: $2.15 to $2.35 per share, versus $2.27 expected
- Phone chip sales: $5.14 billion, down 26%
- Car chip sales: $1.99 billion, up 89%
- Data center revenue: $650 million, with $5 billion expected in fiscal 2027
Why It Happened
Phone chip sales fell a lot. They dropped 26% to $5.14 billion. That is a big part of Qualcomm’s business. When that part shrinks, total sales shrink too. Car chip sales grew fast. They rose 89% to $1.99 billion. That helped, but it was not enough to cover the phone drop. Internet-of-things sales rose 4% to $1.88 billion. The internet of things means everyday devices that connect to the internet. Licensing sales fell 7% to $1.3 billion. Licensing means other companies pay to use Qualcomm’s ideas.
Why It Matters
Investors care more about the future than the past. The past quarter was close to expectations. The future guess was weaker. That is why shares fell. It is like getting a good mark on one test, then saying the next test may be hard. People focus on the next test. Qualcomm is also trying to grow in new areas. Car chips and data centers are examples. A data center is a big building full of computers. It stores and handles lots of information. Growth there may help over time. But phones still matter most today.
What Happens Next
Watch the next quarter’s sales. Watch phone chip sales in particular. Watch whether car and data center sales keep growing. Qualcomm expects $5 billion in data center revenue in fiscal 2027. That is a big jump from $650 million in this quarter. If that growth happens, it could change how people see the company. If phone sales stay weak, pressure may stay.
Final Thoughts
Qualcomm did not have a bad quarter. It had a mixed one. Sales were solid. The outlook was softer than hoped. That mix was enough to push shares down. For readers, the lesson is simple. One number is not the whole story. The forecast can matter just as much.
Disclaimer: This article is for educational and informational purposes only and does not constitute financial advice.
Sources: CNBC, Qualcomm (QCOM) earnings report Q4 2026; Qualcomm earnings release via PR Newswire, November 4, 2026. Related post: Intel Stock Plunges 25% After Weak Forecast, Despite a Strong Quarter
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