Qualcomm Inc. concluded Friday's trading session with a 1.6% gain, closing at $140.70, as U.S. financial markets prepared for a closure on Monday in observance of Presidents Day. Trading activity for the chipmaker and broader markets is scheduled to resume on Tuesday, February 17, 2026.
Investors are entering the extended weekend focused on mounting evidence of a significant tightening in the memory chip market, a development that is beginning to ripple through consumer electronics supply chains. This issue carries particular weight for Qualcomm, as the San Diego-based semiconductor leader has already identified constrained memory availability as a factor limiting demand within the smartphone sector, where it supplies key processors and modem chips for premium Android devices and other hardware.
The concern stems from a dramatic spike in the cost of dynamic random-access memory (DRAM), a fundamental component in most smartphones and personal computers. Recent industry data indicates that prices for one category of DRAM skyrocketed by approximately 75% from December 2025 to January 2026. This rapid inflation is adding substantial cost pressure to device manufacturers, which may ultimately impact production volumes and component orders.
Qualcomm's management highlighted these challenges during its recent quarterly earnings presentation. The company issued a forecast for the current quarter that fell below Wall Street's revenue and adjusted profit expectations, explicitly pointing to memory supply constraints as a headwind depressing demand conditions in certain segments of the smartphone supply chain. On the accompanying conference call, Chief Executive Cristiano Amon noted that strength in flagship handset sales provided some offset, even as the company cautioned about the broader supply pinch affecting the industry.
This supply chain stress is not isolated to Qualcomm. Industry reports indicate that other major semiconductor design firms, including Arm Holdings, are also experiencing the effects of the memory shortage, with smartphone chip sales underperforming expectations as a result. The situation presents a complex dynamic for the market: while scarcity can drive up prices for memory producers, it simultaneously squeezes margins for device makers and can suppress end-demand. Conversely, if memory supply were to loosen more quickly than anticipated, or if smartphone manufacturers scale back production plans in response to a price-sensitive consumer market, the current urgency could dissipate. Chip suppliers like Qualcomm could then face a different challenge—slower orders—even as component shortages ease.
When markets reopen on Tuesday, traders will monitor whether Qualcomm's stock movement correlates with other companies heavily exposed to the memory market and handset suppliers. Analysts may also be compelled to reassess near-term shipment forecasts based on the latest pricing and supply data. The broader macroeconomic landscape adds another layer of context, with the Federal Reserve set to publish the minutes from its latest policy meeting on Wednesday, February 18. This event often influences interest rate expectations and, by extension, valuations for technology stocks.
Looking further ahead, the mobile industry's next major event is Mobile World Congress in Barcelona, scheduled for March 2–5. This gathering frequently sets the strategic tone for spring product launches and provides a platform for device makers and component suppliers to signal their outlooks for the coming quarters, offering further clues on how the memory crunch may evolve.
