Shares of Qualcomm (NASDAQ:QCOM) slipped in after-hours trading after the company reported earnings for its second quarter of Fiscal Year 2023. Earnings per share came in at $2.15, which aligned with analysts’ consensus estimate. Sales decreased by 16.9% year-over-year, with revenue hitting $9.27 billion. This beat analysts’ expectations of $9.12 billion.
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Qualcomm posted losses in several of its operating segments. Its handset revenue, for example, was down 17% year-over-year, coming in at $6.11 billion. QCT revenue also fell by 17% against this time last year, coming in at $7.94 billion. However, its automotive revenue turned out to be a substantial gainer, coming in at 20% above last year’s numbers to reach $447 million.
Qualcomm management also offered some guidance going forward, though it proved disappointing. Analysts expected third-quarter revenue of $9.12 billion. Qualcomm itself expects between $8.1 billion and $8.9 billion. EPS figures also faltered, with Qualcomm’s expected range of $1.70 to $1.90 missing analysts’ call for $2.13.
Overall, Wall Street has a consensus price target of $140 on Qualcomm stock, implying 24.21% upside potential, as indicated by the graphic above.