On Friday, Qualcomm (QCOM.US) saw its stock price jump more than 11% in early trading, bringing its cumulative gain since April to 75%. The stock is currently trading at $226.14.
The rally follows two positive signals from the company's latest quarterly earnings report: progress in its data center business and expectations that China's smartphone market will bottom out in the third quarter before resuming quarter-over-quarter growth, boosting investor confidence.
Qualcomm indicated that a leading hyperscale cloud service operator is expected to begin adopting its chip products later this year, marking a key breakthrough in the company's push into the data center market. This move is also seen as a significant step for Qualcomm in entering the AI infrastructure growth segment, currently dominated by Nvidia (NVDA.US).
Comments