InterDigital, Inc. (NASDAQ:IDCC) Receives Consensus Recommendation of “Buy” from Brokerages

InterDigital, Inc. (NASDAQ:IDCC) has been assigned an average rating of “Buy” from the five ratings firms that are presently covering the stock, Marketbeat reports. One analyst has rated the stock with a hold rating, three have given a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $416.6667.

IDCC has been the subject of a number of analyst reports. Zacks Research raised shares of InterDigital from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 30th. Weiss Ratings downgraded InterDigital from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, August 11th.

InterDigital Stock Up 2.7%

NASDAQ:IDCC opened at $344.86 on Friday. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.74 and a quick ratio of 1.74. The firm’s 50-day moving average price is $291.53 and its 200-day moving average price is $312.33. The company has a market capitalization of $8.90 billion, a PE ratio of 39.78 and a beta of 1.43. InterDigital has a 1-year low of $249.14 and a 1-year high of $412.60.

InterDigital (NASDAQ:IDCC) last issued its quarterly earnings results on Thursday, July 30th. The Wireless communications provider reported $4.62 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.90 by $3.72. InterDigital had a net margin of 38.32% and a return on equity of 28.17%. The company had revenue of $260.17 million during the quarter, compared to analysts’ expectations of $143.10 million. During the same period last year, the company posted $6.52 EPS. InterDigital’s revenue was down 13.4% on a year-over-year basis. InterDigital has set its FY 2026 guidance at 10.850-12.810 EPS and its Q3 2026 guidance at 1.940-2.130 EPS. On average, equities analysts predict that InterDigital will post 7.41 EPS for the current fiscal year.

InterDigital Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 22nd. Shareholders of record on Wednesday, July 8th were paid a dividend of $0.70 per share. The ex-dividend date was Wednesday, July 8th. This represents a $2.80 dividend on an annualized basis and a yield of 0.8%. InterDigital’s payout ratio is presently 32.30%.

Insiders Place Their Bets

In other news, Director John D. Jr. Markley sold 400 shares of InterDigital stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $300.00, for a total value of $120,000.00. Following the completion of the transaction, the director owned 11,735 shares of the company’s stock, valued at $3,520,500. The trade was a 3.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Rajesh Pankaj sold 1,500 shares of the company’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $324.88, for a total transaction of $487,320.00. Following the completion of the transaction, the chief technology officer owned 66,516 shares in the company, valued at approximately $21,609,718.08. The trade was a 2.21% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 7,672 shares of company stock valued at $2,240,797. Company insiders own 3.50% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Price T Rowe Associates Inc. MD lifted its position in InterDigital by 62.5% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,222,111 shares of the Wireless communications provider’s stock valued at $707,477,000 after acquiring an additional 854,845 shares in the last quarter. Geode Capital Management LLC boosted its position in InterDigital by 18.6% in the fourth quarter. Geode Capital Management LLC now owns 787,546 shares of the Wireless communications provider’s stock worth $251,250,000 after purchasing an additional 123,686 shares during the last quarter. Reinhart Partners LLC. grew its position in InterDigital by 9.0% during the second quarter. Reinhart Partners LLC. now owns 460,404 shares of the Wireless communications provider’s stock valued at $130,359,000 after buying an additional 38,115 shares during the period. Invesco Ltd. grew its position in shares of InterDigital by 24.8% during the 4th quarter. Invesco Ltd. now owns 450,863 shares of the Wireless communications provider’s stock valued at $143,546,000 after acquiring an additional 89,647 shares during the period. Finally, Norges Bank bought a new position in InterDigital in the 4th quarter worth $128,918,000. 99.83% of the stock is owned by hedge funds and other institutional investors.

InterDigital Company Profile

InterDigital, Inc is a mobile and video technology research and development company that designs and licenses wireless communications and video compression innovations. Its patent portfolio encompasses key standards across 3G, 4G LTE and 5G wireless networks, as well as video and multimedia technologies. By focusing on fundamental technology creation rather than device manufacturing, InterDigital delivers core intellectual property to smartphone manufacturers, chipset vendors and telecommunications operators worldwide.

The company’s principal services include patent licensing, technology evaluation and consulting.