Qualcomm Inc (QCOM)

[khemara_qc]

What's the best guess for QCOM stock price in 1-2 years?

http://moneycentral.msn.com/investor/research/wizards/srwtarget.asp?Symbol=qcom

Investors fix targets for most stocks by estimating future earnings per share and then applying a price-to-earnings "multiple", also known as the P/E ratio. Companies with the most consistent earnings history or strongest growth prospects receive the highest P/E multiples. We calculate price targets for the current and next fiscal year by applying the stock's current multiple to the average professional analyst's estimate.
Valuation using QUALCOMM INC 's current multiple (P/E):

Fiscal Year Est Low/High Price Range Avg. Est. Price % Change for Average
9/2004 $41.01-$48.51 $48.07 10.43%
9/2005 $44.54-$59.09 $52.92 21.57%

QUALCOMM INC current price: 43.53
QUALCOMM INC current multiple (P/E): 44.10

QUALCOMM INC average 9/2004 estimate: 1.09
QUALCOMM INC low 9/2004 estimate: 0.93
QUALCOMM INC high 9/2004 estimate: 1.10
QUALCOMM INC average 9/2005 estimate: 1.20
QUALCOMM INC low 9/2005 estimate: 1.01
QUALCOMM INC high 9/2005 estimate: 1.34



What's the best guess for the stock if it were valued like its peers?
Investors often come to believe that a stock is undervalued or overvalued compared to other stocks in its industrial group. To calculate an alternate target price for the current and next fiscal year based on those beliefs, investors can apply the average PE multiple for a company's industrial group to the average professional analyst's earnings estimate for the company in those periods.

Valuation using the industry's current multiple (P/E):

Fiscal Year Est. Price % Change
9/2004 $73.58 69.02%
9/2005 $81.00 86.08%

QUALCOMM INC current price: 43.53
Communication Equipment group current multiple (P/E): 67.50

QUALCOMM INC average 9/2004 analyst estimate: 1.09
QUALCOMM INC average 9/2005 analyst estimate: 1.20

Investors estimate the level of unanimity about a stock's prospects among analysts by calculating the range between the most optimistic and most pessimistic estimates.

Average number of analysts covering QUALCOMM INC : 23
QUALCOMM INC analysts' high/low spread: 25%
QUALCOMM INC analysts' confidence: Low