Qualcomm Gets Crushed: $150 Is the Level to Watch Going Forward

Shares of Qualcomm Inc (NASDAQ: QCOM) have been hit hard over the past week, sinking roughly 17% across seven consecutive sessions with little resistance from the bulls.

The tech giant has now effectively given up all its gains from 2025 and is trading back near levels it was at in 2020, a sobering reversal for investors who had been keyed into its improving narrative. 

To be fair, some of the blame can be placed on the rapidly escalating geopolitical backdrop, which has driven a broad flight from tech stocks and saw the S&P 500 log its worst single session since October.

Still, it’s hard to ignore the technical damage that has been done to Qualcomm’s chart, especially considering how hard the stock fought for its gains last year. 

The rising uptrend that underpinned much of Qualcomm’s rally since before last summer has now been broken, and that’s never a good look. Still, for those of us on the sidelines who like to take the contrarian stance, there could be an opportunity opening up—let’s jump in and take a closer look. 

Why the Oversold Signal Matters

As if the run of red days wasn’t enough, the ongoing selloff has had a dramatic impact on Qualcomm’s momentum indicators. The stock’s relative strength index (RSI) has slipped firmly into extremely oversold territory, marking its most stretched reading since April of last year. It doesn’t make for pretty reading, but when you consider what happened after the last time it fell this much, it does get a bit more interesting. 

It’s important to note that extreme RSI readings do not call bottoms by themselves, and oversold stocks can always become more oversold. However, they can often signal that selling pressure is becoming unsustainable. When an oversold indicator appears without a clear company-specific catalyst, as is the case right now, it suggests the move may be driven more by market-wide sentiment than by company-specific fundamentals.

This is where Qualcomm’s history becomes relevant. The last time the stock reached similarly oversold conditions, in April of last year, it went on to rally as much as 70% over the following months. Obviously, that doesn’t guarantee a repeat, but it does show that extreme pessimism about Qualcomm’s prospects has been proven wrong before. 

A Frustrating Stock to Follow

There are plenty of reasons to stay skeptical, however, even with the stock extremely oversold. Qualcomm has a long-standing reputation for frustrating investors, lagging larger peers, and failing to sustain breakouts just when optimism begins to build. That track record is part of why the recent break in trend should be taken seriously.

At the same time, the current selloff looks unusually disconnected from fundamentals. There has been no fresh earnings miss, no guidance cut, and no new negative development specific to the business. Instead, the stock appears to have been swept up in a broader risk-off move that has punished equities across the board in recent sessions.

That disconnect is reflected in analyst positioning. Citigroup, RBC, and Mizuho have all rated Qualcomm Neutral or equivalent in the past month, yet even their cautious price targets are around $180. With the stock now trading below $155, it’s clear that even the more cautious voices think the selling has been overdone. 

What Bulls Need to Watch

For this to turn into a genuine opportunity rather than a trap, however, the price action and technicals need to stabilize. The first step would be for Qualcomm to stop the bleeding and begin consolidating around the $150 level. Signs of selling exhaustion, such as the RSI turning higher or a bullish MACD crossover, would strengthen the case that downside momentum is fading.

Until then, caution is warranted. Broken trends take time to repair, and Qualcomm has burned investors before with false starts. Still, when a stock with solid long-term fundamentals becomes this oversold without a clear catalyst, it deserves attention.

For investors who believe in Qualcomm’s longer-term potential and are comfortable with volatility, this could be the makings of a decent entry point—you might just have to pinch your nose for a little while.

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The article "Qualcomm Gets Crushed: $150 Is the Level to Watch Going Forward" first appeared on MarketBeat.