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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: TShirtPrinter who wrote (73628)	6/10/2000 1:20:00 AM
From: Ruffian	Read Replies (1) \| Respond to of 152472

The Bottom Line on QCOM Author Benjamin Koppel Report Source Casey Wian (Added 6/9/2000 7:38:19 PM) Categories: Sector Reports, Stock Picks, Stocks To Watch, Story Stocks, Word on the Street Email link to this Article INTC Intel Corporation Semiconductors More Views CEO Interviews QCOM QUALCOMM, Inc. Communications Equipment More Views CEO Interviews The Bottom Line on QCOM Many people believe that QCOM is still in the cell phone business, however the company sold this part earlier this year Now the company designs chips for wireless phones and licenses this technology to cell phone manufacturers The main technology this company sells is CDMA technology, where it is 60m phones with plenty of room for growth The company receives $10 in royalties for every CDMA phone sold The stock rose 2600% last year, becoming a "poster child" for tech stocks, yet it has given back almost 2/3 of that this year Concerns that led to this are increasing competition from companies like INTC, who decided to get into the cell-phone chip business, concerns about patent enforceability, and concerns about slowdowns in business in China and Korea This has created a dispute among analysts whether or not the stock is as low as it will go, or whether it will go down further Thus, the stock market is having a tough time finding an appropriate value for the stock QCOM does have great profit growth going for it, though In 1996, the company made $21m; in 1999, the company made $201m In the first quarter of this year, the company made $177m Further concerns for the company include concerns about the business in Asia. The company believes that CDMA technology will take off in China, but some aren't so sure But the company is anticipating complete wireless Internet usage on cell phones in about 18 months. Consumers will then be able to access movies, games, etc. through their cell phones