QCOM vs. ARM

Last updated Jun 23, 2026

QCOM (QUALCOMM Incorporated) and ARM (Arm Holdings plc American Depositary Shares) are both stocks. Both operate in the Semiconductors industry within the Technology sector. Over the past year, QCOM returned 49.73% vs 181.11% for ARM. A 0.59 correlation means they provide meaningful diversification when combined.

Performance

QCOM vs. ARM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in QUALCOMM Incorporated (QCOM) and Arm Holdings plc American Depositary Shares (ARM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QCOM achieves a 31.04% return, which is significantly lower than ARM's 272.99% return.

QCOM

• 1D: -1.86%
• 1M: -6.48%
• YTD: 31.04%
• 6M: 28.66%
• 1Y: 49.73%
• 3Y*: 27.81%
• 5Y*: 12.77%
• 10Y*: 18.79%

ARM

• 1D: -7.22%
• 1M: 33.02%
• YTD: 272.99%
• 6M: 259.89%
• 1Y: 181.11%
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

QCOM vs. ARM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
QCOM QUALCOMM Incorporated	31.04%	13.84%	8.31%	29.22%
ARM Arm Holdings plc American Depositary Shares	272.99%	-11.39%	64.16%	33.95%

Correlation

The correlation between QCOM and ARM is 0.50, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.50
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.59

The correlation between QCOM and ARM has been stable across timeframes, ranging from 0.50 to 0.59 - a consistent structural relationship.

Fundamentals

Market Cap QCOM : $237.88B ARM : $435.44B
EPS QCOM : $9.11 ARM : $0.85
PE Ratio QCOM : 24.35 ARM : 481.57
PS Ratio QCOM : 5.43 ARM : 88.48
PB Ratio QCOM : 8.72 ARM : 52.55
Total Revenue (TTM) QCOM : $44.49B ARM : $4.92B
Gross Profit (TTM) QCOM : $24.38B ARM : $4.66B
EBITDA (TTM) QCOM : $12.92B ARM : $1.37B

Return for Risk

QCOM vs. ARM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

QCOM

QCOM Risk / Return Rank: 71
QCOM Sharpe Ratio Rank: 72
QCOM Sortino Ratio Rank: 70
QCOM Omega Ratio Rank: 73
QCOM Calmar Ratio Rank: 70
QCOM Martin Ratio Rank: 69

ARM

ARM Risk / Return Rank: 90
ARM Sharpe Ratio Rank: 93
ARM Sortino Ratio Rank: 91
ARM Omega Ratio Rank: 89
ARM Calmar Ratio Rank: 90
ARM Martin Ratio Rank: 86

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

QCOM vs. ARM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for QUALCOMM Incorporated (QCOM) and Arm Holdings plc American Depositary Shares (ARM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	QCOM	ARM	Difference
Sharpe ratio: Return per unit of total volatility	1.02	2.60	-1.58
Sortino ratio: Return per unit of downside risk	1.66	3.18	-1.51
Omega ratio: Gain probability vs. loss probability	1.24	1.40	-0.16
Calmar ratio: Return relative to maximum drawdown	1.51	4.40	-2.89
Martin ratio: Return relative to average drawdown	3.33	8.63	-5.30

QCOM vs. ARM - Sharpe Ratio Comparison

The current QCOM Sharpe Ratio is 1.02, which is lower than the ARM Sharpe Ratio of 2.60. The chart below compares the historical Sharpe Ratios of QCOM and ARM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

QCOM vs. ARM - Drawdown Comparison

The maximum QCOM drawdown since its inception was -86.75%, which is greater than ARM's maximum drawdown of -53.97%. Use the drawdown chart below to compare losses from any high point for QCOM and ARM.

Drawdown Indicators

	QCOM	ARM	Difference
Max Drawdown Largest peak-to-trough decline	-86.75%	-53.97%	-32.78%
Max Drawdown (1Y) Largest decline over 1 year	-33.13%	-41.47%	+8.34%
Max Drawdown (3Y) Largest decline over 3 years	-44.23%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-44.29%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-44.29%	—	—
Current Drawdown Current decline from peak	-11.27%	-7.22%	-4.05%
Average Drawdown Average peak-to-trough decline	-32.86%	-21.19%	-11.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	14.99%	21.08%	-6.09%

Volatility

QCOM vs. ARM - Volatility Comparison

The current volatility for QUALCOMM Incorporated (QCOM) is 27.18%, while Arm Holdings plc American Depositary Shares (ARM) has a volatility of 36.10%. This indicates that QCOM experiences smaller price fluctuations and is considered to be less risky than ARM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QCOM	ARM	Difference
Volatility (1M) Calculated over the trailing 1-month period	27.18%	36.10%	-8.92%
Volatility (6M) Calculated over the trailing 6-month period	42.81%	58.43%	-15.62%
Volatility (1Y) Calculated over the trailing 1-year period	49.16%	70.18%	-21.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	41.35%	76.75%	-35.40%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	39.38%	76.75%	-37.37%

Dividends

QCOM vs. ARM - Dividend Comparison

QCOM's dividend yield for the trailing twelve months is around 1.62%, while ARM has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ARM Arm Holdings plc American Depositary Shares	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
QCOM QUALCOMM Incorporated	1.62%	2.06%	2.18%	2.18%	2.67%	1.47%	1.69%	2.81%	4.27%	3.50%	3.17%	3.72%

Financials

QCOM vs. ARM - Profitability Comparison

The chart below illustrates the profitability comparison between QUALCOMM Incorporated and Arm Holdings plc American Depositary Shares over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

QCOM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, QUALCOMM Incorporated reported a gross profit of 5.70B and revenue of 10.60B. Therefore, the gross margin over that period was 53.8%.

ARM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Arm Holdings plc American Depositary Shares reported a gross profit of 1.39B and revenue of 1.49B. Therefore, the gross margin over that period was 93.1%.

QCOM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, QUALCOMM Incorporated reported an operating income of 2.31B and revenue of 10.60B, resulting in an operating margin of 21.8%.

ARM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Arm Holdings plc American Depositary Shares reported an operating income of 440.00M and revenue of 1.49B, resulting in an operating margin of 29.5%.

QCOM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, QUALCOMM Incorporated reported a net income of 7.37B and revenue of 10.60B, resulting in a net margin of 69.5%.

ARM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Arm Holdings plc American Depositary Shares reported a net income of 313.00M and revenue of 1.49B, resulting in a net margin of 21.0%.

Frequently Asked Questions

Can I hold both QCOM and ARM in my portfolio?

QCOM and ARM have a correlation of 0.50, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QCOM or ARM?

ARM has higher volatility (36.10%) compared to QCOM (27.18%). In terms of maximum drawdown, QCOM dropped -86.75% vs ARM's -53.97%.

Which has better risk-adjusted returns?

ARM currently has the higher Sharpe Ratio (2.60 vs 1.02), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.