$Qualcomm(QCOM)$ I have been trimming $Qualcomm(QCOM)$  lately. Is the company lagging behind?

Yes — QCOM has been lagging, especially compared with AMD, NVDA and some other AI/semiconductor names. But the important question is why it’s lagging.

As of the latest close, QCOM was around $177.72, versus a 52-week high of about $259.92. Its 2026 YTD return was only about +5.5%, compared with roughly +11.8% for the S&P 500.

Why QCOM has lagged

1. Smartphone weakness / Apple modem transition

This remains the biggest near-term issue. Qualcomm is still heavily exposed to handsets, while Apple is increasingly using its own modem technology. Memory/supply constraints have also pressured the handset market. QCOM’s FY26 Q3 revenue was $9.9B, and management specifically cited the challenging memory and supply environment.

2. The market isn’t valuing QCOM like an AI leader — yet

Compare the stories:

* AMD: AI GPUs → enormous potential data-centre growth

* NVDA: dominant AI accelerator ecosystem

* QCOM: smartphones + automotive + IoT + emerging AI data centre

So money has naturally flowed toward the more obvious AI beneficiaries.

But QCOM is undergoing a potentially important transition

This is what makes it interesting now.

At its June Investor Day, Qualcomm raised its FY2029 non-handset revenue target to $40B, roughly double its previous target. It is targeting:

* $10B automotive revenue

* >$14B IoT revenue

* >$15B data-centre revenue

* >$18 non-GAAP EPS in FY2029

And this isn’t just a presentation anymore.

Last week Qualcomm announced a multi-generational AI data-centre collaboration with Amazon/AWS, involving customized silicon and optical connectivity.

That’s significant because it gives QCOM a potential path from:

mobile chip company → diversified edge/automotive/AI infrastructure company.

The valuation is where QCOM gets interesting

Approx. price $178 ~$560

Forward P/E ~18.7× Very high

TTM P/E ~21.6× ~144×

QCOM’s forward P/E around 19× is dramatically below AMD’s current multiple.

That means QCOM doesn’t need to grow nearly as explosively as AMD for the investment to work.

Where I would watch QCOM

For the stock itself, I would view the levels approximately like this:

$175–180 → reasonable initial-entry area

$165–170 → stronger accumulation area

$150–160 → potentially attractive valuation if fundamentals remain intact

>$200 → market beginning to price in successful AI/data-centre diversification

$230–250 → would require much more evidence that the new growth businesses are delivering

Interestingly, Wall Street is quite divided: current published targets range from roughly $160 to $270, with several analysts around $190–235.

So I wouldn’t consider QCOM a “failed” semiconductor stock that’s simply being left behind. It’s more of a transition story.

If you’re looking for maximum AI upside, AMD is the more direct exposure.

If you’re looking for a semiconductor stock that has been left behind but has a plausible 3–5 year catalyst for catching up, QCOM is quite interesting around the $175–180 area.

For your portfolio, I would be more comfortable starting a QCOM position around $175–180 and adding on weakness, rather than chasing AMD at $560.