UPDATE: Nomura Reiterates Buy Rating, Raises PT on Qualcomm on Substantial Opportunity with China Mobile

In a report published Thursday, Nomura analyst Romit Shah reiterated a Buy rating on Qualcomm QCOM, and raised the price target from $78.00 to $85.00. In the report, Nomura noted, “We think the upcoming TD-LTE device ramp at China Mobile will improve Qualcomm's share in China and boost its valuation. We believe TD-LTE in China is an important transition for Qualcomm and a deal between China Mobile and Apple seems imminent. Qualcomm should see a meaningful ramp from TD-LTE devices in the next 1-2 years, in our view. We conservatively estimate that roughly 50mn TD devices would translate into incremental revenues (chipset and royalties) of roughly $800mn-1,000mn and incremental EPS of $0.20-0.25.” Qualcomm closed on Wednesday at $73.01.