Qualcomm Stock Falls 4% As Analysts React To Apple, FTC Fights

Shares of Qualcomm Inc. plunged 4% in premarket trade Thursday after analysts reacted to the chipmaker's weak quarterly outlook provided late Wednesday, in which it blamed legal costs associated with anti-monopoly lawsuits filed against it by Apple Inc. and the U.S. FTC. Nomura cut its 12-month stock target on Qualcomm t $65 from $70 and reiterated a neutral rating, saying earnings estimates are at risk despite management denying wrongdoing related to Apple, whose mobile devices comprise roughly 20% of Qualcomm's revenue. SIG Susquehanna lowered its price target to $70 from $82. The average rating on the stock is the equivalent to buy, while the average price target is $71.19. Its shares have declined by 16.5% in the past three months, versus a 7.5% improvement for the S&P 500 .