Bernstein Calls Qualcomm (QCOM) the 'Rodney Dangerfield' of Chips - But Says That's Changing

We recently published a list of 10 Trending AI Stocks on Wall Street Right Now. In this article, we are going to take a look at where QUALCOMM Incorporated (NASDAQ:QCOM) stands against other trending AI stocks on Wall Street right now.

On June 3^rd, Bernstein reiterated an “Outperform” rating on QUALCOMM Incorporated (NASDAQ:QCOM) with a $185 price target. Analyst Stacy Rasgon dubbed Qualcomm the “Rodney Dangerfield of semiconductor stocks,” referencing the comedian famous for saying he “gets no respect.”

Bernstein named Qualcomm a best idea, stating that the stock is “not the Qualcomm of old.”

“Indeed, the name has been the quintessential ‘Rodney Dangerfield’ of semiconductor stocks, garnering no respect regardless of the fundamentals. But this is no longer the Qualcomm of old. Smartphones have stabilized, and the company’s own revenue drivers are increasingly diversifying into other areas.”

The firm noted that while the loss of Apple as a customer has been a headwind for the stock, it has already been priced into the stock. The firm also projected a bottoming of the smartphone market, which could be a tailwind for the stock.

“AAPL headwinds are approaching but are known, the product portfolio is stronger than ever, option value exists, and the shares are very inexpensive.”

QUALCOMM Incorporated (NASDAQ:QCOM) develops wireless technologies, supplies chips for mobile, automotive, and IoT devices, licenses patents, and invests in emerging industries worldwide.

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Disclosure: None. This article is originally published at Insider Monkey.