NEW YORK (TheStreet) -- Shares of Qualcomm (QCOM) were increasing in after-hours trading on Wednesday as the chipmaker reported stronger-than-expected results for the 2016 fourth quarter and gave guidance for the 2017 fiscal first quarter.
After today's market close, Qualcomm posted adjusted earnings of $1.28 per share, beating Wall Street's expected $1.13 per share.
Revenue rose 13% year-over-year to $6.20 billion, which surpassed analysts' projections of $5.86 billion.
During the same quarter last year, San Diego-based Qualcomm earned 91 cents per share on revenue of $5.45 billion.
Qualcomm now expects to report adjusted earnings between $1.12 and $1.22 per share for the 2017 first quarter. Analysts surveyed by FactSet are looking for adjusted earnings of $1.22 per share.
Revenue is projected to be in the range of $5.70 billion and $6.50 billion, while the FactSet consensus is $6.14 billion.
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The team rates Qualcomm as a Buy with a ratings score of B. The company's strengths can be seen in multiple areas, such as its increase in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and expanding profit margins. The team feels its strengths outweigh the fact that the company shows weak operating cash flow.