Analysts Watch QUALCOMM Incorporated (QCOM)'s Expanding AI Data Center Footprint

QUALCOMM Incorporated (NASDAQ:QCOM) is among the most undervalued tech giants to buy according to hedge funds. As of December 26, QUALCOMM Incorporated (NASDAQ:QCOM) has a ‘Buy’ or equivalent rating from half of the analysts covering the stock. With a median price target of $200, the stock has an upside potential of 14.28%. Among the analysts bullish on the stock is Fang Boon Foo, an analyst at DBS, who maintained a ‘Buy’ rating on the company on December 5 and a price target that mirrored the consensus estimate.

Later, on December 18, QUALCOMM Incorporated (NASDAQ:QCOM) announced the completion of its acquisition of Alphawave IP Group plc, a quarter ahead of the expected timeline. This acquisition is a testament to the company’s strategy of establishing a foothold in the data center market. CEO and co-founder of Alphawave Semi, Tony Pialis, will lead the company’s data center business.

“Alphawave Semi’s expertise in high-speed connectivity technologies complements our Qualcomm Oryon CPU and Hexagon NPU processors,” stated Cristiano Amon, President and CEO of QUALCOMM Incorporated (NASDAQ:QCOM). “The addition of Alphawave’s technologies will strengthen our platforms and optimize performance for next-generation AI data centers.”

The venture aims to create a leading player in AI compute and connectivity solutions across several fast-growing markets, particularly data center applications.

Separately, on December 16, C.J. Muse from Cantor Fitzgerald lifted the price target on QUALCOMM Incorporated (NASDAQ:QCOM) to $185 from $170 and maintained a ‘Neutral’ rating. The firm’s confidence in SOX (Philadelphia Semiconductor Index) to lead the market is driven by its outperformance versus S&P by approximately 30 points in CY25, The Fly reported.

QUALCOMM Incorporated (NASDAQ:QCOM), headquartered in California, is a digital telecommunications provider operating across three segments: Qualcomm CDMA Technologies, Qualcomm Technology Licensing, and Qualcomm Strategic Initiatives.

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Disclosure: None.