Qualcomm Stock Analysis: Record QCT Fiscal Year Revenues and AI Diversification

Qualcomm Incorporated (NASDAQ: QCOM) is gaining investor attention following a robust fiscal 2025 performance and the unveiling of its next-generation AI200 and AI250 data center inference chips. The company continues to evolve beyond mobile chips, targeting the fast-growing AI infrastructure market while maintaining strong growth in automotive and IoT segments.

Solid Fiscal 2025 Performance

For fiscal 2025, Qualcomm reported GAAP revenues of $44.3 billion, up 14% year-over-year, and non-GAAP EPS of $12.03, up 18%. Its QCT segment achieved record annual revenue of $38.4 billion, driven by 12% handset growth, 36% automotive growth, and 22% IoT (internet of things) growth. Notably, non-Apple QCT revenues rose 18% year-over-year, demonstrating diversification progress as Apple prepares to phase out Qualcomm’s modem supply in future iPhones.

Q4 Performance and Tax Impact

In the fourth quarter of fiscal 2025, Qualcomm posted GAAP revenue of $11.27 billion, up 10% from the prior year, with earnings before taxes (EBT) of $2.97 billion, up 14%. However, the company reported a GAAP net loss of $3.1 billion, or -$2.89 per share, largely due to a $5.7 billion non-cash tax charge tied to new U.S. tax legislation under the One Big Beautiful Bill Act.

On a non-GAAP basis, Qualcomm delivered net income of $3.26 billion, or $3.00 per share, up 12% year-over-year, reflecting strong operational execution despite the one-time tax item. The company anticipates its effective tax rate will remain in the 13%–14% range going forward, with lower cash tax payments in future periods.

Qualcomm’s Entry into Data Center AI

The next major leap is the announced entry into the high-growth data center AI inference market with the Qualcomm AI200 and AI250 accelerator solutions, planned for commercial release in 2026 and 2027, respectively. These rack-scale systems are designed to deliver industry-leading total cost of ownership (TCO) and superior memory capacity. The AI250, specifically, promises a generational leap in efficiency via an innovative near-memory computing architecture. The new AI roadmap signals Qualcomm’s long-term ambition to compete directly in the data center AI chip space alongside NVIDIA and AMD.

Technical Outlook

QCOM shares currently face a major resistance at $194. A sustained breakout above this level could trigger momentum toward the next target of $211. Conversely, failure to hold above resistance, the stock may retreat to seek support. The first key support level is identified at $161. A failure to hold this level could see the stock test deeper support in the $145 - $135 range.