Qualcomm Stock Surges After Chip Reveal

The equity is already up over 84% year-over-year

Digital Content Manager
Dec 1, 2020 at 2:46 PM
facebook twitter linkedin

The shares of QUALCOMM, Inc. (NASDAQ:QCOM) are up 2.9% at $151.49 at last check, after the semiconductor company announced a new flagship smartphone chip called Snapdragon 888, which will feature enhanced gaming and photo abilities. The 5G chip will be manufactured by Samsung Electronics' chipmaking division, and represents the top of Qualcomm's lineup for mobile phone processors. In addition, smartphones containing the chip are expected to be launched as soon as the first quarter of 2021.

On the charts, the security has more than doubled off this year's March 18 low of $58. Shares started beating records on a nearly monthly basis in late July, climbing all the way up to a Nov. 18 all-time-high of $153.33, with consistent support from the 40-day moving average since April. Year-over-year, QCOM sports an impressive 84.2% lead.


Analysts are majorly optimistic toward Qualcomm stock, with 13 of the 20 in coverage sporting a "buy" or better rating. Plus, the stock's 12-month consensus target price of $158.54 is a 4.4% premium to current levels.

Drilling down today's options activity, 215,000 calls have crossed the tape, which is seven times the average intraday amount. Most popular is the January, 2021 100-strike call, followed by the 12/4 155 strike-call, with new positions currently being opened at both.

Now also looks like an ideal time to take advantage of Qualcomm stock with options. The security's Schaeffer's Volatility Index (SVI) of 35% sits in the extremely low 14th percentile of its annual range. This mean QCOM currently sports attractively priced premiums.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 


300x250 - Banner 3 - v1