Qualcomm Inc. (QCOM) shares plummeted 8.35% in Thursday's trading session following the company's disappointing third-quarter revenue forecast and growing concerns about the global trade landscape. The chipmaker's cautious outlook has sparked a sell-off, overshadowing its strong second-quarter results.

In its earnings call, Qualcomm projected third-quarter revenues between $9.9 billion and $10.7 billion, with the midpoint falling below analysts' consensus estimate of $10.35 billion. This tepid forecast comes despite the company reporting better-than-expected second-quarter earnings of $2.85 per share, surpassing estimates of $2.82.

Akash Palkhiwala, Qualcomm's CFO, addressed the uncertainty surrounding trade issues during the conference call, stating, "There's uncertainty around the impact of the global trade landscape on demand across our businesses." While the company does not anticipate any material direct impact from tariffs, it acknowledged potential indirect effects and minor changes in demand.

The market's negative reaction was further compounded by several analysts lowering their price targets for Qualcomm stock. Notable adjustments include cuts from HSBC (to $170 from $180), Deutsche Bank (to $160 from $165), and Susquehanna (to $190 from $210). These revisions reflect growing concerns about Qualcomm's market position and the potential impact of economic headwinds on the smartphone industry.

Despite the current challenges, Qualcomm remains optimistic about its long-term prospects, particularly in areas such as AI-enabled devices, automotive, and IoT. The company emphasized its strong product pipeline and technological leadership in 5G and AI as key drivers for future growth. However, investors appear to be taking a cautious stance in light of the near-term uncertainties facing the semiconductor industry.