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Qualcomm Hits 52-Week High on Reports of OpenAI Phone-Chip Project

Investors are betting that Qualcomm’s AI push will widen growth beyond smartphones.

Overview

  • Qualcomm shares climbed about 8% to a new 52-week peak Thursday after reports of a Qualcomm–OpenAI effort to design an AI-focused smartphone chip aimed at 2028 mass production, which the company has not confirmed in these reports.
  • Momentum built on April 29 results that topped forecasts, with adjusted earnings of $2.65 per share and revenue of $10.60 billion.
  • Management said automotive revenue has surpassed a $5 billion annualized pace and it expects to exit fiscal 2026 above a $6 billion run rate.
  • Qualcomm closed its $2.3 billion Alphawave acquisition to deepen its data-center lineup and said a custom chip for a major cloud provider is still slated to begin shipping later this year.
  • The board added $20 billion to stock buybacks and lifted the quarterly dividend to 92 cents, with strategy updates expected at the June 24 Investor Day.