Qualcomm shares rose Wednesday after SpaceX announced a multiyear deal for Qualcomm to provide network technology for Starlink Mobile in the U.S., reversing their prior downward trend. The company reported fourth-quarter adjusted EPS of $2.17 and revenue of $10.32 billion, narrowly beating Wall Street estimates. It forecast current-quarter EPS of $2.15 to $2.35 and revenue of at least $10.4 billion, citing memory shortages that weigh on smartphone sales; chip sales also fell despite price increases. Shares came under pressure in after-hours trading as investors focused on the muted outlook, and remained about 30% below their year-to-date high.
Qualcomm's handset revenue fell to $5.14 billion in the fourth quarter, triggering a 4% drop in extended trading after missing analyst estimates.
Read the full storyQualcomm released its annual and quarterly financial results on its investor relations website following its strategic deal with SpaceX.