Liquity Ratios Liquidity ratios measure the company's ability to pay off short-term debt obligations

1Current Ratio= Current asset/ Current liabilities The current ratio indicates the extent to which current liabilities can be coveredby current assets.

Debt RatiosDebt ratios measure the companys overall debt load and the mix of equityand debt.

2Debt to Equity Ratio= Total Debt /Total Equity The debt to equity measures how much of the company is financed by its debt holders compared with its owners and is another measure of financial health.

3Interest Coverage Ratio or Times Interest Earned TIE = EBIT/ Interest ExpensesThe interest coverage, also known as times interest earned (TIE), indicates the companys ability to pay interest on its outstanding debt and to what extent operating income can decline before the company is unable to meet its annual interest expenses.

Market Value Ratios Market value ratios measure how cheap or expensive the companys stock is based on some measure of profit or value.

4Price -Earnings Ratio P/E= Market Price per share / Earning per ShareThe price earnings ratio values the companys current share price compared to its per-share earnings. P/E ratios are one method for determining how expensive or cheap a stock is.

5Price to Book M/B= Current closing Market Price per Share / Latest Quarter's Book Value per ShareThe price to book ratio, also known as market to book ratio, measures the relative value of a company compared to its share price. It is a great tool to quickly determine whether a company isunder or overvalued.

6Earnings per Share EPS= ( Net Income-dividend on Preferred Stock)/ Average Outstanding sharesThe earnings per share ratio shows the portion of a companys profit allocated to each outstanding share of common stock. It serves as an indicator of a companys profitability.

Profitability Ratios Profitability ratios can be thought of as the combination of many of the other more specific ratios to show a more complete picture of a companys ability to generate profits

7Return on Equity ROE (%) = Net Income NI/ Average Total EquityThe return on equity is the amount of net income generated as a percentage of shareholders equity. It measures the companys profitability by how much profit is generated with the money shareholders have invested.

8Return on Asset ROA (%) = Net Income NI/ Average Total Assets TAThe return on assets shows how profitable a companys assets are in generating revenue, that is, a ratio of 25% means that for every $100 of investment in assets, net income of $25 is generated.

9Net Profit Margin NPM = NI/Sales Revenue Net Profit Margin is the percentage of sale revenues remaining after all operating expenses, interest, tax and preferred stocks dividend have been deducted from company total revenue. It is looks at how much of a companys revenues are kept as net incomeOn the trailing twelve months basisCompany's Revenue increased sequentially to26,964$ millions by1.8 %faster than Net Income increase of1.22 %, this led to contraction in Net Margin to29.89 %below company average.

WithinCommunications EquipmentindustryQUALCOMM Incorporated achieved highest Net Margin.

Performance RatiosPerformance ratios (also known as activity ratios) measure a companys ability to generate sales and derive profit from its resources.

10Average Collection Period The average collection period indicates the amount of time (in days) it takes a company to convert its receivables into cash.

11Inventory Turnover Rate The inventory turnover shows how many times a companys inventory is sold and replaced over a given period.

Stock Price Volatility Measurement of a company's commonstock price volatilityrelative to the market

12BetaBeta measures individual stock risk relative to the overall risk of thestock market. t's one of those at-a-glance measures that can provide serious stock analysts with insights into the movements of a particular stock relative to the overall market.

Growth Rates Year to Year Growth Rates

13Sales Growth Rate (%)Sales Growth Rate measures the rate of changes in the sales from period to period. Generally , sales growth should be considered within the context of industry conditionPositive : Comparing 7.2% year on year Revenue growth in the first quarter, Qualcomm Incorporated outperformed the 2.79% growth in Communications Equipment industry

14Earnings Growth Rate (%)Earnings Growth Rate is the measure of year on year earnings per share growth from the prior fiscal year, expressed as a %. Its a key indicator of a co.s success a driving force behind stock price increase Negative : Comparing 7.34% year on year bottom-line growth in the first quarter, Qualcomm Incorporated grew on the lower pace than the 22.94% improvement in Communications Equipment industry