Qualcomm (QCOM - Get Report) is a designer and manufacturer of digital communications products. It has been given a buy rating by UBS Investment Research, primarily due to the increase in demand for Qualcomm's Snapdragon processors. With the increase in usage of LTE, bigger displays and thinner phones, Qualcomm's processors are experiencing a rise in demand. UBS does not expect the company's competitive position to be jolted despite the increase in discrete application processors offered by Intel and NVIDIA. Shares of Qualcomm are currently trading at $58 per share and are expected to reach a price target of $70, indicating a potential upside of 20%.
Qualcomm is one of the most popular stocks among hedge funds. Qualcomm introduced its new Snapdragon S4 processor for powering Windows 8 tablet devices. We expect an increase in demand for Qualcomm's processors. We are bullish about QCOM.
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