Business

Qualcomm CEO says company is focusing on dividends to bring shareholders value

Qualcomm is currently focusing on using dividends to bring shareholders value rather than buying back its stock, chief executive Cristiano Amon told CNBC’s Jim Cramer on Monday.

“We had increased our dividend. We talked about annualized dividend targets, high single digits, low double digit growth rates, and we are going to continue to look for opportunistic buy back,” Amon said in an interview on “Mad Money.”

Qualcomm announced on March 9 that it approved a 10% quarterly cash dividend increase, raising the dividend from 68 cents to 75 cents per share of common stock and boosting the annualized dividend payment to $3 per share of common stock. 

“We want to maintain strategic flexibility, also for M&A, because we see diversification working for the company. … We want it to grow faster,” Amon said.

The CEO’s comments come after Cramer questioned why Qualcomm isn’t purchasing its stock back. The chip stock fell last Friday after JPMorgan removed Qualcomm from its April Analyst Focus list but rose 4.64% on Monday, which saw a larger rally in tech stocks.

The company announced Monday that it completed its acquisition of Arriver from SSW Partners in a move to improve its Advanced Driver Assistance System software.

Disclosure: Cramer’s Charitable Trust owns shares of Qualcomm.

Sign up now for the CNBC Investing Club to follow Jim Cramer’s every move in the market.

Disclaimer

Questions for Cramer?
Call Cramer: 1-800-743-CNBC

Want to take a deep dive into Cramer’s world? Hit him up!
Mad Money TwitterJim Cramer TwitterFacebookInstagram

Questions, comments, suggestions for the “Mad Money” website? madcap@cnbc.com

Products You May Like

Articles You May Like

Americans are suffering from ‘recession fatigue,’ report finds
Arizona attorney general calls student loan forgiveness ‘unconstitutional’ in legal challenge to Biden’s plan
GM adds former Lyft and Tesla executive Jon McNeill as board member
American homebuyers are finding UK bargains, discounted by a weaker pound
Unions could face a big obstacle in 2023 if the economy falls into a recession

Leave a Reply

Your email address will not be published.