Qualcomm Inc. (NASDAQ:QCOM)

The financial ratios presented demonstrate notable fluctuations over the recorded periods, reflecting changes in market valuation metrics relative to earnings, operating profits, sales, and book value. A detailed analysis of each ratio reveals specific trends and insights.

Price to Earnings (P/E) Ratio

Beginning from the earliest available data in December 2019, the P/E ratio initially increased from approximately 22.03 to a high of 38.25 in September 2019, indicating rising market expectations or reduced earnings. Subsequently, it trended downward reaching a low near 9.75 in June 2022, suggesting possible earnings growth or market repricing. After this low, the ratio moderately increased again, peaking around 23.14 in December 2024 before declining to 14.76 by March 2025. Overall, the P/E ratio exhibits a cyclic pattern with significant volatility indicating changing investor sentiment and company profitability over time.

Price to Operating Profit (P/OP) Ratio

Similar to the P/E ratio, the P/OP ratio shows an initial rise to a peak of nearly 29.96 in September 2019, followed by a general decrease to an approximate low of 7.95 by June 2022. This is indicative of enhanced operating profitability or market valuation adjustments in subsequent quarters. After the trough, the ratio increases again to around 22.65 in December 2024 before declining toward 14.2 in the latest period. The pattern mirrors that of the P/E ratio, emphasizing an initially high valuation relative to operating profits with subsequent normalization and renewed growth in market expectations.

Price to Sales (P/S) Ratio

The P/S ratio began around 3.98 in December 2019 and followed a moderate upward trend peaking at 6.91 in March 2021, reflecting increased investor valuation relative to company sales. After this peak, a general decline is observed, falling to roughly 2.85 in June 2022. The ratio then demonstrates a mild recovery to about 5.4 in December 2024 before stabilizing near 3.85 in March 2025. This movement indicates fluctuating market confidence in revenue generation capabilities, with peaks possibly driven by anticipated sales growth or improved market positioning.

Price to Book Value (P/BV) Ratio

The P/BV ratio reveals a significant volatility with a high of 31.75 in June 2020 followed by a pronounced decrease to a low near 5.72 in September 2023. Earlier values range broadly from about 10.74 to 29.17, showing substantial swings in the market’s valuation relative to the company’s book equity. The trend indicates periods of elevated market optimism or premium valuation followed by a retracement to more conservative levels. Toward the latest periods, the ratio stabilizes around 5.88 in March 2025, suggesting a more moderate market appraisal of the company’s net asset value.

In summary, all ratios display cyclical behavior marked by peaks in 2019-2021 followed by declines through mid-2022, with subsequent partial rebounds or stabilizations in 2023 and early 2025. The early peaks across ratios suggest phases of heightened market optimism or reduced profitability metrics. The subsequent declines signify potential earnings or operating profit improvements and market recalibrations. The later partial recovery in some ratios may reflect renewed investor confidence or changing growth prospects. Overall, the data reflects dynamic market evaluations influenced by shifting financial performance and broader economic factors over the analyzed quarters.

The share price demonstrates notable fluctuations over the presented quarterly periods, beginning at $50.17 in December 2018 and reaching a peak at various points, including $188.20 in December 2021, followed by a decline and subsequent increases. There is a general upward trend visible from late 2018 until late 2021, with intermittent corrections. After the peak in December 2021, the share price experiences a decline until September 2022, followed by a recovery and further volatility through 2023 and into 2024, concluding at $148.46 in March 2025. This volatility indicates periods of heightened investor confidence alternating with market corrections or external pressures affecting the stock's valuation.

Earnings per share (EPS) data begins from September 2019, initially reported at $3.84 and generally showing a consistent upward trajectory through the subsequent quarters. EPS peaks at $11.54 in the quarter ending March 2022 and remains relatively high with slight fluctuations, ending at $10.06 in the final quarter of March 2025. This consistent increase in EPS over time suggests improving profitability and operational efficiency, albeit with some periods of minor decline or stabilization.

The price-to-earnings (P/E) ratio exhibits variability that reflects both changes in share price and earnings performance. Early values from September 2019 show the ratio around the low to mid-20s, peaking at 38.25 in September 2019 which may correspond with a share price peak or temporarily depressed earnings. Following this, the ratio generally declines, reaching a low of 9.75 in September 2022, indicative of higher earnings relative to price or potentially a depressed stock price. Subsequently, the P/E ratio rebounds to levels in the low to mid-20s by late 2024 before dropping to 14.76 in March 2025. The fluctuation in P/E ratios indicates changing market sentiment and valuation dynamics relative to earnings growth.

Overall, the data suggests the company experienced significant growth in earnings over the period while its market valuation, as reflected in share price and P/E ratio, underwent periods of volatility but generally trended upward. The divergence between the sometimes declining P/E ratio and increasing EPS points to improved earnings outpacing stock price gains at points, which could reflect either undervaluation or changing investor expectations.

The analysis of the quarterly financial data reveals several key trends in the company's share price, operating profit per share, and the price-to-operating profit (P/OP) ratio over the observed periods.

Share Price Trends

The share price showed substantial volatility throughout the period. Initially, there was a significant increase from $50.17 in December 2018 to a peak of $162.3 in December 2020. This rise was followed by a downward correction, with the share price declining to $112.5 by September 2022. Subsequently, the price experienced renewed upward movement, reaching highs of $180.95 in June 2024 before a minor decrease towards $148.46 in March 2025. Overall, the share price demonstrated both strong growth phases and notable corrections, reflecting market fluctuations and investor sentiment variations.

Operating Profit per Share

Operating profit per share was not reported until June 2019, after which the company exhibited a generally positive growth trajectory. Starting at $6.71 in June 2019, this metric increased steadily, peaking at $14.15 by September 2022. Following this peak, a gradual decline ensued, with values dropping to $7.99 in December 2024. In early 2025, a recovery trend appeared, with operating profit per share rising again to $10.45 in March. The initial growth phase suggests improving operational efficiency and profitability, while the subsequent decline may reflect operational challenges or external market pressures.

Price-to-Operating Profit (P/OP) Ratio

The P/OP ratio exhibited considerable fluctuation, indicating varying market valuation relative to operating earnings. Early values ranged from roughly 12.6 to as high as 29.96 around late 2019, showing periods where the market priced shares at a substantial premium to operating profits. The ratio then decreased markedly to a low near 7.95 in December 2022, suggesting the stock was undervalued relative to its operating earnings during that period. Thereafter, the ratio increased again, reaching values above 22 in late 2024, before moderating to approximately 14.2 by March 2025. These movements reflect changing market expectations of future profitability and risk perception.

In summary, the financial data indicate a company experiencing significant share price volatility with periods of both growth and correction. Operating profit per share generally increased over the longer term, indicating enhanced operational performance, though recent declines suggest some emerging pressures. The fluctuating P/OP ratio highlights shifting investor sentiment toward share valuation relative to earnings, demonstrating alternating views on the company's growth prospects and profitability sustainability.

The share price exhibited considerable volatility over the observed periods, beginning at $50.17 in late 2018 and reaching a peak of $188.20 by the end of 2021. After this peak, the price largely declined and fluctuated between approximately $110 and $180, with notable decreases toward the end of 2022 and mid-2024. Despite these fluctuations, there is an overall trend of growth compared to the initial value in 2018.

Sales per share data begins from the period ending in March 2019, starting at $21.26 and showing a generally upward trend across the quarters. The values rose to $38.51 by the end of the forecasted periods in 2025. Although there are some fluctuations, the trend indicates a steady increase in sales per share, suggesting growing revenue generation per share over time.

The Price-to-Sales (P/S) ratio reveals a more complex pattern. Initially, this ratio fluctuated significantly, hitting lows around 2.85 and highs as much as 6.91 across various quarters. The variations in the P/S ratio may reflect changing market sentiment, valuation adjustments, or shifts in sales relative to share price. Towards the end of the dataset, the P/S ratio appears to stabilize somewhat, settling between approximately 3.8 and 5.4. This implies a moderate market valuation relative to sales, with no extreme overvaluation or undervaluation dominating the period.

Share Price Trend

Initially low, with a strong rise peaking in late 2021, followed by a period of fluctuation and moderate decline. Overall growth is noted over the total period.

Sales Per Share Trend

Consistent upward trend indicating increasing revenue on a per-share basis over time, suggesting improving operational performance.

Price-to-Sales Ratio Fluctuation

High variability early on, reflecting market valuation shifts, followed by a settling into a moderate range, indicating relatively stable valuation metrics.

In summary, the data indicates a company experiencing growth in sales per share accompanied by a share price that, despite volatility, has appreciated substantially since 2018. The P/S ratio's variation suggests changing investor perceptions regarding the company’s valuation; however, more recently, the valuations appear to normalize, implying a market consensus on the firm’s sales value relative to its price.

The analyzed financial data reveals several notable trends relating to share price, book value per share (BVPS), and the price-to-book value ratio (P/BV) over the observed periods.

Share Price (US$)

The share price exhibited considerable volatility with an overall upward trend from late 2018 to early 2025. Starting at $50.17, it peaked above $180 during late 2024 before experiencing a moderate decline to approximately $148.46 by the end of the period. Noteworthy is a sharp increase around late 2020 reaching $162.30, followed by fluctuations with highs and lows throughout 2021 and 2022. The share price showed periodic recoveries despite declines, indicating resilience and investor confidence despite some market corrections.

Book Value Per Share (BVPS) (US$)

The BVPS demonstrated a steady and consistent growth trend throughout the periods examined. From an initial value of $2.99, it increased nearly every quarter, reaching $25.25 by early 2025. The growth was especially pronounced from 2020 onward, indicating strong accumulation of shareholder equity. The upward trajectory suggests ongoing improvements in the company's net asset position, reflecting either retained earnings accumulation or asset base expansion.

Price-to-Book Value Ratio (P/BV) (ratio)

The P/BV ratio showed significant fluctuation with a general declining trend over the term analyzed. Starting at 16.79 in late 2018, it peaked above 31 during mid-2020 but declined steadily afterward, reaching a low near 5.88 by early 2025. This decline indicates that the share price growth was slower relative to the growth in book value per share, suggesting the market was valuing the company’s net assets more conservatively over time. The high early values reflect elevated market expectations or investor optimism, which tapered as fundamentals matured or changed.

Overall, the data indicates a company with a strengthening fundamental base as evidenced by the rising book value per share, while the share price performance reflects market responses that include periods of strong enthusiasm and subsequent moderation. The declining P/BV ratio suggests a re-rating in valuation multiples, potentially signaling market adjustment to more realistic assessments of asset values or growth prospects.