Qualcomm (QCOM, news, chart) calls are busy Tuesday. The stock is up 95 cents to $46.31 and have been outperforming with a 2.8 percent gain so far this week. Yesterday, Credit Suisse analysts said that the firm believes QCOM continues to benefit from growth in the CDMA/WCDMA market and from share gains in key customers. While Qualcomm preannounced earnings on June 12, Credit Suisse expects revenues slightly above $2.7 billion and earnings of 54 to 55 cents a share. Earnings are due out on July 23. In the options market, trading is brisk today, with 44,000 QCOM calls traded, compared to 8,400 put options. Some traders seem to be positioning for further gains in the stock during the second half of 2008 with active trading seen in the January 50/55 and January 50/60 call spreads.
About the Author (Author Profile)
Frederic Ruffy is a well-known trader, writer, and strategist who has spent years educating investors and creating intelligent, insightful, unbiased market observations that are frequently cited by the Wall Street Journal and other financial publications. As senior analyst, Fred provides frequent and regular notes and daily updates for activity of interest.