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Benzinga
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Qualcomm Faces Long-Term Squeeze From Apple, Samsung Despite iPhone 17 Share, Meta Partnership: Analysts

1. Qualcomm's revenue rose 10%, surpassing Wall Street estimates. 2. Analysts expect Qualcomm's handset growth to face long-term risks. 3. Apple's contract with Qualcomm is expiring within a year. 4. Qualcomm diversifies into automotive and AI, mitigates risks. 5. Analysts maintain Buy ratings for Qualcomm with raised price targets.

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FAQ

Why Bearish?

Qualcomm's dependence on Apple poses risks due to an expiring contract. Historical trends show similar risks, impacting supplier stocks when major contracts expire.

How important is it?

The article highlights key supplier risks that may directly impact AAPL’s performance. With Apple relying heavily on Qualcomm for modem technology, any issues could affect investor confidence in AAPL.

Why Short Term?

The imminent expiration of Apple’s contract could lead to immediate revenue uncertainty. Similar past events have resulted in short-term market reactions.

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