Bullish Case: QCOM leverages 5G, AI, and AR/VR growth. Recent wins in legal disputes position it well to capitalize on expanding partnerships and new tech offerings. Low implied volatility suggests stable growth potential.

Bearish Case: Increased volatility and legal uncertainties could hamper growth. Competitive pressures from rivals and possible market saturation in key segments threaten margins and investor confidence.

Potential Outcomes:

• 60%: Strong growth from 5G and AI partnerships.
• 30%: Legal issues or competitor gains limit growth.
• 10%: Macro-economic factors induce declines.

Trading Oracle: Trade a long call debit spread, buying the $175 call and selling the $180 call expiring in March 2025. This strategy leverages low implied volatility with a bullish outlook on Qualcomm’s strategic moves in AI and 5G. Aim to capitalize on potential upside from upcoming product releases and partnerships, balancing risk through a spread strategy.

January 22, 2025