Qualcomm (QCOM) investors are about to get a reality check on April 29 when it reports its second quarter of fiscal 2026 earnings. It is not because the company is weak, but because it must prove that its strong momentum over the past few years can withstand a slowing smartphone cycle and increasingly cautious analyst forecasts.

Valued at $144.6 billion, Qualcomm is a semiconductor and tech company that designs chips and software powering smartphones, cars, computers, and connected devices. Qualcomm entered fiscal 2026 with solid momentum, with revenue rising 5% year-over-year (YoY) to $12.2 billion and earnings increasing by 3% to $3.5 per share. Its semiconductor division, QCT, generated $10.6 billion in revenue, an increase of 5% YoY. Handset chip sales alone accounted for 73% of overall QCT revenue but only increased 3% YoY.

While declining handset sales are a concern, automotive sales stood out, reaching $1.1 billion, up 15% YoY. The company has secured significant partnerships, including a long-term supply agreement with Volkswagen Group (VWAGY) and collaborations with major automakers such as Audi and Porsche (POAHY). In IoT, revenues reached $1.7 billion, growing 9% YoY, owing to strong demand in industrial, networking, and consumer applications. Qualcomm is rapidly pushing into industrial computers, smart cameras, drones, and edge AI systems with its Dragonwing platform. The company also reported $1.6 billion in revenue for the QLT segment, its licensing business, fueled by strong global handset demand, particularly in premium and high-tier devices.

Furthermore, Qualcomm’s strategic acquisitions are strengthening its long-term positioning in the semiconductor space. It completed the acquisition of Alphawave Semi to enhance high-speed connectivity capabilities and acquired Ventana Micro Systems to expand its RISC-V CPU development for data centers.

Qualcomm is still heavily dependent on smartphones, and that segment is entering a weak phase. Rising AI data center demand is causing a global memory crunch, putting pressure on smartphone production. OEMs are reducing inventory and scaling back production, particularly in China. The company is actively trying to reduce its dependence on smartphones and expand its automotive and IoT segments, but diversification is going slower than expected, hampering earnings.

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JPMorgan agrees that the company’s diversification is going slow and there are no near-term catalysts to support its growth. The firm believes Qualcomm’s QCT Handsets revenue could decline by 22% in 2026. The firm downgraded QCOM stock to “Neutral” from “Overweight” while reducing its price target to $140 from $185. This is probably why, despite strong Q1 results, Qualcomm has issued weak guidance and analysts have a cautious outlook for fiscal 2026.

For the second quarter, Qualcomm expects revenues between $10.2 billion and $11 billion, compared to $11.6 billion in Q1 2025. Adjusted EPS could fall to a range of $2.45 to $2.65, compared to $3.41 in the year-ago quarter. Management expects handset sales to decline to around $6 billion due to memory constraints, while IoT is expected to grow at a low-teens rate. Meanwhile, automotive revenues could accelerate by more than 35% YoY. This outlook reflects a transition phase where traditional smartphone growth faces headwinds, but newer segments are beginning to take the lead.

In fiscal 2026, analysts predict a 1.2% drop in revenue to $43.6 billion, followed by a 7.8% drop in earnings to $11 per share. Revenue and earnings are expected to remain largely flat into 2027.

In the Q2 report, investors should watch out for clarity on memory constraints, signs of stabilization in handset demand, and continued momentum in automotive, IoT, and AI-driven businesses, as well as management’s guidance for the full year. This will allow them to assess whether Qualcomm can navigate short-term supply disruptions while maintaining its long-term growth trajectory and whether the stock is worth holding on to.

While Wall Street rates the stock as an overall “Hold,” analysts believe the stock has more room to run in the coming months. QCOM stock is down 20% year-to-date (YTD), compared to the broader market gain of 4.4%, and has fallen 33% from its 52-week high of $205.95. Based on its mean target price of $157.23, the stock could surge 15% from current levels. Plus, its high target price of $360 implies an upside potential of 51% over the next year.

Of the 33 analysts covering the stock, nine rate it a “Strong Buy,” one says it is a “Moderate Buy,” 19 recommend holding it, while two say it is a “Moderate Sell,” and two rate it a “Strong Sell.”

On the date of publication, Sushree Mohanty did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com

Country music star Blake Shelton is reportedly determined to avoid a third divorce despite facing significant marital strain with his wife, Gwen Stefani. Sources indicate that the couple has drifted apart due to demanding professional schedules as they approach their fifth wedding anniversary this July.

Shelton remains committed to the relationship following the end of his previous marriages to Kaynette Williams and Miranda Lambert. The singer reportedly views his current union as a priority he is unwilling to abandon regardless of present difficulties.

“Blake went through so much turmoil when he and Miranda split; it was probably the lowest time in his life, and something he’d do anything to avoid experiencing ever again,” an insider shared about the singer, per Star Magazine.

According to reports from the outlet, the musician is making it clear that ending the marriage is not a consideration for him at this time.

“He adores Gwen and is adamant that divorce is never going to be an option for them, even if they have to endure some tough times,” the source added.

The primary source of tension stems from the couple’s inability to reconcile their individual career paths with their shared domestic life. Insiders claim that even digital communication has become difficult amidst their various professional obligations.

“Their careers are still pulling them in different directions,” the source said. “When they’re apart, they try to FaceTime, send photos, and text each other during odd moments. But it’s hard when they’re both busy and distracted.”

Scheduled appearances in Las Vegas are unlikely to provide relief for the pair, as both remain occupied with separate business agendas. Observers suggest that the lack of quality time remains a persistent hurdle for the couple.

“There’s no way they’ll get much, if any, quality time together,” added the source. “Both of them will be so busy with totally separate agendas.”

Shelton reportedly experiences feelings of jealousy when Stefani is away, particularly during her intense rehearsals for an upcoming residency project. While he understands the necessity of her work, the distance reportedly takes a toll on his emotional well-being.

“But he misses Gwen terribly when she’s not around and can get quite jealous at the thought of her spending her time with other people while he’s thousands of miles away all by himself,” the insider noted.

Conflicts also arise regarding how to address these marital issues, as Stefani has reportedly proposed seeking professional counseling. Shelton has rejected the idea of therapy, preferring to handle their disputes without external intervention.

“The last thing Gwen wants is for Blake to feel hurt or underappreciated, which is why she’s suggested they work things out in therapy,” revealed the insider. “Blake appreciated the sentiment, but it really isn’t his style. He believes in solving problems the old-fashioned way, by communicating with each other, and didn’t want to involve a third party. So, they’ve struggled on, hoping the situation would resolve organically.”

In a separate conversation with Jeff Cavins on the Hallow YouTube channel, Stefani recently shared positive reflections on her relationship. She described her connection with Shelton as her first experience with a specific type of emotional devotion.

“I also experienced active love, I think, for the first time when I met my husband because I had never really received active love,” Stefani claimed.

She further explained that learning to accept such a dynamic was a significant personal adjustment for her.

“And I don’t think I knew how to even receive it. Like, it was just like I would be so uncomfortable when someone was sacrificing or actively trying to love me through their actions by maybe sacrificing something,” Stefani added.

Knicks wing OG Anunoby (left ankle sprain) is probable to play in Game 2 against the Hawks on Monday, New York Post’s Stefan Bondy reports (via Twitter). According to head coach Mike Brown, the two-way wing went through practice on Sunday.

Anunoby left Game 1 in the second half after aggravating a preexisting ankle injury but was able to return to play. He finished the game with 18 points and eight rebounds while playing 38 minutes in the win.

“He came over to the bench and asked me if I could do (the spiritual healing) for his ankle; then he sat over there for a second, came back in the game and finished the game,” said teammate Jordan Clarkson, according to SNY’s Ian Begley. “Like I said, we need him on the floor so whatever I gotta do to keep it going… sprinkle a little magic on him.”

Anunoby has proven himself worthy of the Knicks’ investment in him, and nights like Saturday illustrate why, according to Begley (Twitter video link).

We have more from the Knicks:

• Hawks head coach Quin Snyder called Karl-Anthony Towns a mismatch for his team’s big man rotation, Kristian Winfield writes for the New York Daily News. “It’s a little bit of pick your poison, you know,” Snyder said. “How do you handle him on the post with a mismatch? Do you just guard him? How do you handle pick and roll? How do you handle him and Brunson on pick a roll? I think for us to be prepared for all those situations, you can adjust every time down the court.” Onyeka Okongwu did a solid job of guarding Towns in the first half, despite giving up a good amount of size, but Towns eventually overwhelmed the team, which is thin at center after the loss of Jock Landale, finishing the game with 25 points, eight rebounds, and three blocks. Mike Vaccaro of the New York Post called it “the full KAT experience.”
• While Snyder struggled to figure out how to contain Towns, his approach to containing Mitchell Robinson by resorting to Hack-A-Mitch limited the crucial reserve to just 15 minutes, Peter Sblendorio writes for the Daily News. Robinson went 1-for-4 from the free throw line, and, crucially, didn’t record an offensive rebound. Robinson played 60 games this season and failed to get on the offensive glass just twice.
• Despite heavily investing in defensive-minded wings, the Knicks relied on 6’4″ Josh Hart to take the primary defensive assignment on Hawks star Jalen Johnson in Game 1. Hart limited Johnson as effectively in Saturday’s win as he did during their final regular season matchup, Steve Popper writes for Newsday (subscriber link). “One of the things Jalen is really good at is the pick-and-roll game and he does a great job rejecting screens and making it hard to anybody playing the pick-and-roll game,” Brown said. “So we just wanted to see if we can cause a little confusion. Just as much as putting Josh on Jalen, it’s OG on Okongwu … You’re not gonna stop those two guys, they’re gonna do what they do, but you hope to temper them a little bit or at least have a chance to control it a little bit.”