Qualcomm (QCOM) approved a $20B stock repurchase plan, raising its quarterly dividend to $0.92.
March 20, 2026 – Qualcomm’s board approved a $20 billion stock repurchase authorization and increased its quarterly dividend to $0.92 per share from $0.89, according to the company’s official statement. The dividend increase takes effect for payments made after March 26, 2026, bringing the annual payout to $3.68 per share.
Buyback size and structure
The $20 billion warrant has no fixed expiration date and can be made through open market purchases, privately negotiated transactions, or accelerated share repurchase (ASR) programs. Qualcomm also disclosed $2.1 billion remaining under its 2024 share repurchase program, bringing the authorized volume to approximately $22.1 billion.
At Qualcomm’s market capitalization of approximately $140 billion on the day of the announcement, the new $20 billion plan represents approximately 14% of the company’s equity value, a large commitment by large standards.
| Repurchase the program | The size | The situation |
|---|---|---|
| New approval (2026) | $20.0B | Approved March 17, 2026 |
| Previous edition remaining (2024) | $2.1B | Still available |
| Total capacity | $22.1B |
The program has no set timeline. Earnings per share depend on when Qualcomm buys, at what price, and free cash flow trends over the performance period.
Increase in dividends
Qualcomm increased its quarterly earnings to $0.92 per shareup from $0.89effective for benefits payable after March 26, 2026. The annual premium increases to $3.68 per share.
|
Classification metric |
Price |
|---|---|
| New quarterly budget | $0.92/share |
| Previous quarterly allocations | $0.89/share |
| Done every year (new) | $3.68/share |
| First date | Dividends payable after March 26, 2026 |
Financial strength
Qualcomm’s Q1 FY2026 (period ending December 28, 2025) balance sheet shows the subsidiary $7.2 billion in cash and cash equivalents and $4.6 billion in short-term investments, for a total of $11.8 billion. Total debt stands at $14.8 billion, resulting in a net debt position of approx $3.0 billion.
|
Balance sheet metric (Dec 28, 2025) |
Price |
|---|---|
| Cash and cash equivalents | $7.2B |
| Short-term investment | $4.6B |
| Cash and short-term investments | $11.8B |
| Total credit | $14.8B |
| Total debt | ~$3.0B |
Historical context
The 2026 authorization follows the 2024 plan which had $2.1 billion left at the time of the announcement. Qualcomm has been returning capital through both acquisitions and dividends, although the $20 billion figure represents its largest single authorization.
|
The program |
A year | The size |
|---|---|---|
| Current authorization | 2026 | $20.0B |
| Prior approval | 2024 | $10.0B (approx.) |
What it means for investors
The key question is the speed of implementation. The approval is not a commitment to purchase at any specific price, Qualcomm will have time to purchase based on value, cash flow, and capital requirements. With $22.1 billion in total repurchases compared to a market cap of ~$140 billion, even doing a fraction would provide meaningful EPS support.
Investors should monitor:
– The speed of buying back in the upcoming quarterly earnings reports.
– Free cash flow trends, whether cash generation supports simultaneous acquisitions, dividends, and R&D investments.
– Application of ASR – accelerated share repurchases can quickly pull the stock down if management views the stock as undervalued.
