Tech

Qualcomm stock sinks 10% as memory shortage drags on outlook

Qualcomm stock tumbled about 10% after the company issued guidance framing a weaker-than-expected quarter due to a memory-chip shortage. Q1 FY2026 guidance called for revenue of $10.2–$11.0 billion and adjusted EPS of $2.45–$2.65, well below consensus around $11.11 billion and $2.89.

📅 February 05, 2026
⏱️ 2 min read
Qualcomm stock sinks 10% as memory shortage drags on outlook

Key Takeaways

  • Qualcomm shares fell about 10% after guiding to a weaker quarter tied to a memory-chip shortage.
  • Q1 FY2026 guidance targets revenue of $10.2–$11.0 billion and adjusted EPS of $2.45–$2.65.
  • Analysts’ consensus sits near $11.11 billion revenue and $2.89 per share, above the guided range.
  • CEO Cristiano Amon says the weakness is 100% memory-related, with handset demand remaining strong.
  • AI/data-center demand is pulling memory toward high-bandwidth options, constraining supply for mobile/PC memory.

People Involved

  • Cristiano AmonQualcomm CEO

Entities Involved

  • Qualcomm Inc. (QCOM)Wireless chipset and mobile technologies company
  • Micron Technology, Inc.Memory supplier mentioned as benefiting from shortage
  • Samsung Electronics Co., Ltd.Memory supplier mentioned as benefiting from shortage
  • Apple Inc.Chip-availability cautions cited in broader market context
  • Arm Ltd.Memory concerns cited as impacting memory supply chain

MarketMoodz Analysis

Memory availability is the near-term swing factor for Qualcomm. The guidance implies a weaker quarter than analysts expected, with revenue of $10.2–$11.0 billion and EPS of $2.45–$2.65, versus consensus around $11.11 billion and $2.89. CEO Cristiano Amon frames the weakness as 100% memory-related while handset demand remains robust.

Longer-term, AI and data-center demand are reordering memory usage toward high-bandwidth memory, pulling supply away from traditional mobile and PC memory. That dynamic could lift memory prices and give Micron and Samsung leverage, while pressuring Qualcomm's ability to maintain mobile-margin discipline amid tighter memory allocations.

Investors should watch Qualcomm's next earnings update for any shifts in data-center versus mobile mix, memory-supply updates from key suppliers, and broader memory-cycle signals from peers like Apple and Arm as the sector navigates policy and supply-chain constraints.

Source: Original Article

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