Qualcomm Gains $2 Billion Boost From Samsung S25 Chipset Deal, Analyst Highlights Growth in Handsets and Beyond

Core Insights - Qualcomm Inc (QCOM) has received an Overweight rating from JP Morgan analyst Samik Chatterjee, highlighting its strong position in the mobile processor market [1] - The recent launch of Samsung's flagship smartphone S25, which utilizes Snapdragon chipsets across all variants, signifies a share gain for Qualcomm compared to the previous S24 model [1][4] Market Position and Revenue Impact - Qualcomm's regained share at Samsung emphasizes its technological leadership in mobile processors, with expansion into automotive and IoT markets [2] - Chatterjee estimates that the incremental revenue opportunity from the share gain amounts to $2 billion within the Handset Total Addressable Market (TAM), contributing approximately$0.63 to earnings per share (EPS), which is about 5% of the fiscal 2025E EPS consensus [2][4] Shipment Estimates - The incremental share gain with the S25 is estimated to be around 12 million units, with prior-generation S24 shipments projected at nearly 40 million units in 2024, including 20 million for high-end Ultra models [3][4] - Qualcomm's share in the previous flagship S24 was approximately 70%, which is expected to increase to 100% in the S25, leading to an estimated incremental revenue of $2 billion [4] Stock Performance and Investor Sentiment - Qualcomm has been placed on Positive Catalyst Watch for the upcoming earnings report, with expected share gains at Samsung as a key driver [5] - The stock has surged 13$173.64 at the last check [5]