One of the big tech's biggest blows is now over, and that makes Wall Street more bullish on the square.
Cerity Partners & # 39; Jim Lebenthal So Great Path For Qualcomm's Stock:
" I think you stick to this stock. I understand it's something like 33% in two days, but the real value of me on this stock is $ 96 per share. With Apple revenue and revenue now back in the picture – they've been out for two years – you're looking at revenue around $ 6 [per share] probably north of it. But use $ 6, put a 16 [times price-to-earnings] more on it, [and] you come to $ 96. If you want to know why 16 times? See: If this was just a chip maker, you would say 10 to 12 times. But what happened yesterday validated … the high-margin [intellectual property] model that Qualcomm has depended on for 25 years. It deserves a much higher number. And, for people who know this stock over the last 20 years, this Apple problem isn't the first time they've been challenged on this. You go back to Broadcom 15 years ago; The same thing happened. You had Samsung, you had land, whether it's Korea, China [or] USA right now. This model has been tested again and again and again, and they always come out on top. That's why I love this stock at $ 50, but $ 96, 25% higher? I see it in the summer. "
Pete Najarian from Investitute.com also noted how well Qualcomm held up:
" Yesterday I had options and stocked here, and it all started when we had a big purchase. And we talked about everything that was short term. Well, you go back to February, March: suddenly we saw some October to buy [and] we saw some July to buy in here. By the way, the July [options were] July $ 62.50 call – how are they? 80 cents, and reach the stock trading, what is it? $ 77, $ 78? So these act now, call it, somewhere near some real money. So these are big gains. You have to take things out of it. I took it off too soon. I took it off yesterday in the afternoon while looking at the warehouse, screaming upside down because I thought, "We're going to see something going to pull it down again." It hasn't happened. "
Virtus Investment Partners & # 39; Joe Terranova had eyes on a sideline winner:
" I think what happened yesterday is very beneficial for Intel. I applaud [Intel CEO] Bob Swan for acting quickly and swinging out of a business he wanted to get out of. This gives him the opportunity to do so. Now you have Intel at a 19-year height. Clear runway straight ahead. They could focus on the company's priorities. They come out of these 5G modems. I think this is great for Intel. "