Qualcomm Stock Rises 3.9% as AWS Deal Boosts Data Center Ambitions

Qualcomm's stock rose 3.9% in trading after StoneX reiterated its Buy rating and $270 price target, highlighting the chipmaker's expanding data center ambitions.

The investment case comes as Qualcomm seeks to diversify beyond its core handset business, where demand remains uneven.

Analysts pointed to the company's agreement with Amazon Web Services (AWS) as a key development supporting its longer-term data center strategy.

Qualcomm announced its collaboration with AWS on September 8, under which the chipmaker will supply custom silicon and advanced optical connectivity solutions.

The agreement could generate up to $60 billion in payments over multiple generations and the next decade, including 25 million warrants issued to Amazon at an exercise price of $161.26.