Cullen Capital Management, LLC, of Schafer Cullen Capital Management, Inc. (SCCM), operating under the name, published a fourth quarter investor letter “SCCM Enhanced Equity Income Fund.” A copy of the letter can be downloaded here. In the fourth quarter, the US stock market continued to fall, fueled largely by enthusiasm for artificial intelligence. The leveraged income strategy returned 2.0% (net) for the fourth quarter and 7.5% (net) for the year, compared to 6.5% and 8.9% for its primary benchmark, the S&P 500 Buy/Write Index, and 1.4% and 8.7% for its second benchmark, YDRsBD. ETF (JNK), respectively. The overall return of the strategy has been affected by investors’ disregard for high dividend and low volatility factors, as well as an equity market that has failed to expand across sectors. The strategy predicts a positive economic outlook for 2026, driven by Federal Reserve interest rate cuts, tax cuts, capital expenditure bonus depreciation (OBBBA), and potentially lower tariffs, all supporting growth. In addition, please see the top five retention strategies to identify the best of these in 2025.
In a 2025 Q4 investor letter, SCCM Enhanced Equity Income Fund highlighted QUALCOMM Incorporated (NASDAQ: QCOM ). QUALCOMM Incorporated (NASDAQ: QCOM ) is a multinational company focused on developing and commercializing foundational technologies for the wireless industry. On February 27, 2026, QUALCOMM Incorporated (NASDAQ:QCOM) stock closed at $142.36 per share. QUALCOMM Incorporated (NASDAQ:QCOM)’s one-month return was -6.72%, and its shares lost 7.33% over the past 52 weeks. QUALCOMM Incorporated (NASDAQ:QCOM) has a market capitalization of $151.9 billion.
SCCM Enhanced Equity Income Fund stated the following about QUALCOMM Incorporated (NASDAQ:QCOM) in its Q4 2025 investor letter:
shares QUALCOMM is included (NASDAQ: QCOM ) was purchased during the quarter in Strategy. Qualcomm is a leading global semiconductor and wireless technology company with a strong competitive position in premium smartphones and an increasingly diverse portfolio in automotive, IoT and AI-enabled computing. While near-term uncertainty surrounding handset demand, competitive dynamics in China, and gradual decline in Apple modem volumes weigh on sentiment, we view these factors as broadly manageable, improving the long-term growth profile. Qualcomm continues to benefit from a mix shift toward high-end Android devices, where the content and pricing power of each handset is structurally higher, supporting flexibility even in a flat unit environment. Beyond handsets, Qualcomm’s automotive business now represents about 10% of QCT’s revenue and together reinforces the company’s ongoing revenue diversification with its broad presence in AI and AI-enabled PCs. As its non-handset business scales and Apple-related headwinds decline, we believe Qualcomm’s earnings profile should be more sustainable over time. Qualcomm trades at an attractive valuation of 14.0x 2026 EPS with a dividend yield of 2.1%.”
