Qualcomm shares jumped as much as 9.2 percent Thursday, a day after the designer of mobile-phone chips estimated next year's revenue could reach as high as $19 billion.
The forecast appeared to indicate the mobile phone sector is essentially immune to downturns besetting the world economy.
Qualcomm shares closed at $56.11, up 7.5 percent, Earlier shares of the San Diego-based developer rose more than they had since 2009, reaching $56.96.
After the Wednesday close, Qualcomm said fourth-quarter net income jumped 22 percent to $1.06 billion, or 62 cents a share, as revenue leaped nearly 40 percent to $4.12 billion. For the year, Qualcomm reported revenue rose 36 percent to a record $14.96 billion, with net income of $4.26 billion, or $2.52 a share.
Qualcomm chips are deployed on many of the world's most popular mobiles and smartphones from makers including Apple, Samsung Electronics, Motorola Mobility and others. The majority of Qualcomm chips run on code division multiplex access (CDMA) technology, which is used throughout U.S. networks operated by AT&T, Verizon Wireless and Sprint-Nextel.
But the company is also gambling on the growing tablet market with the new Snapdragon family of semiconductors for the tablet sector, where they operate on Google's Android OS. More recently, Qualcomm CEO Paul Jacobs said they will also run on Microsoft's Windows 8 OS due for mass shipment next year.
Like most technology leaders, Qualcomm also reported holding a huge pile of cash and investments. They reached $20.9 billion in September, up $700 million from the third quarter and $2.5 billion from 2010.
Besides paying a quarterly dividend of 21.5 cents a share, Qualcomm said it will continue a modest buyback campaign. Last quarter, the company bought back shares valued at $142 million.
Qualcomm's market capitalization is $94.15 billion. Its enterprise value is $78.2 billion.
Contact David Zielenziger at firstname.lastname@example.org