Qualcomm (QCOM) Stock Surges On New AI Data Center Chip Announcement: What Investors Need To Know – Qualcomm (NASDAQ:QCOM)
Qualcomm Inc (NASDAQ:QCOM) shares traded sharply higher Monday following the company’s unveiling of new AI chips aimed at the data center market. Here’s what investors need to know.
What To Know: The company announced its AI200 and AI250 chip-based accelerator cards and racks, designed for generative AI inference. These solutions promise rack-scale performance and high memory capacity at a low total cost of ownership. The AI250 will feature an innovative memory architecture providing a tenfold increase in effective memory bandwidth.
In a related announcement, Qualcomm revealed a collaboration with HUMAIN to deploy this advanced AI infrastructure in Saudi Arabia. HUMAIN is targeting 200 megawatts of the new AI solutions starting in 2026 to help establish the Kingdom as a global AI hub.
Following the announcements, UBS analyst Timothy Arcuri maintained a Neutral rating on Qualcomm but raised the price target from $165 to $175.
Investors now await Qualcomm’s fourth-quarter and fiscal 2025 earnings report. The results are scheduled for release after the market closes on Nov. 5. According to analyst consensus estimates, Qualcomm is expected to report EPS of $2.65 on quarterly revenue of $10.75 billion.
Benzinga Edge Rankings: According to Benzinga Edge stock rankings, Qualcomm shows particular strength with a Growth score of 70.50.
QCOM Price Action: Qualcomm shares closed Monday’s session higher by 11.09% to $187.68, according to Benzinga Pro data.
Read Also: Meta Platforms Q3 Preview: Facebook Parent Has 10 Straight Double Beats, Is Number 11 On The Way?
How To Buy QCOM Stock
By now you’re likely curious about how to participate in the market for Qualcomm – be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
In the case of Qualcomm, which is trading at $187.51 as of publishing time, $100 would buy you 0.53 shares of stock.
If you’re looking to bet against a company, the process is more complex. You’ll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource.
Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.
Image: Shutterstock
