Qualcomm signs Huawei patent pact. RBC sets USD 180 target for Qualcomm stock

Published on 10/06/2026 at 17:20 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Q3 revenue fell 4.00 percent to USD 9.90 billion in fiscal 2026. Q4 sales guidance of USD 9.70-10.50 billion frames Qualcomm stock in fiscal 2026.

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Qualcomm (ISIN US7475251036) agreed with Huawei on a multi-year patent licensing pact covering 5G, compute, artificial intelligence and networking on October 5, 2026. Asia News Network reported that Qualcomm will also purchase selected Huawei patents, while the transaction remains subject to regulatory approvals. RBC Capital raised its price target from USD 160.00 to USD 180.00 on September 9, 2026, retaining a Sector Perform rating, according to Price Target.

Patent pact broadens Qualcomm reach

The Huawei agreement extends beyond handset licensing into compute, artificial intelligence and networking, giving Qualcomm additional rights across technology fields that support its diversification strategy. Qualcomm Technology Licensing executive John Han said the pact reflects the company's contributions to 5G technology and its standards-essential patent licensing program, as reported by Asia News Network.

The commercial significance sits beside a weaker handset backdrop. Fiscal third-quarter 2026 revenue declined 4.00 percent year over year to USD 9.90 billion, while non-GAAP diluted earnings per share fell 20.00 percent to USD 2.21, according to Yahoo Finance. The same report said handset revenue dropped 20.00 percent to USD 5.10 billion, making diversification a measurable counterweight rather than a replacement for the core business.

Guidance tests the diversification case

For fiscal fourth quarter 2026, Qualcomm guided to revenue of USD 9.70 billion to USD 10.50 billion and non-GAAP earnings per share of USD 2.05 to USD 2.25, according to Yahoo Finance. The range places the next quarter against the USD 9.90 billion fiscal-third-quarter revenue base and keeps execution in automotive, licensing and data-center initiatives central to the investment case.

Nasdaq valuation sets the frame

QCOM was trading at USD 180.78 on Nasdaq on October 6, 2026 at 11:19 a.m. ET. The market capitalization was USD 189.8 billion, and the 52-week range was USD 121.99 to USD 259.92 on the same date, leaving the quote 30.45 percent below the yearly high.