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

InterDigital, Inc. (NASDAQ:IDCC) has been assigned a consensus rating of “Moderate Buy” from the five brokerages that are currently covering the firm, MarketBeat reports. One investment analyst has rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average 12 month price target among analysts that have issued ratings on the stock in the last year is $416.6667.

Several research firms have recently weighed in on IDCC. Roth Mkm reiterated a “buy” rating on shares of InterDigital in a research note on Tuesday, January 20th. Zacks Research lowered InterDigital from a “strong-buy” rating to a “hold” rating in a research note on Friday, November 21st. Wall Street Zen cut InterDigital from a “hold” rating to a “sell” rating in a report on Saturday. UBS Group set a $425.00 target price on shares of InterDigital in a report on Monday, December 1st. Finally, Weiss Ratings cut shares of InterDigital from a “buy (a-)” rating to a “buy (b+)” rating in a research report on Monday, December 29th.

InterDigital Stock Performance

Shares of IDCC stock opened at $358.50 on Friday. The firm has a market cap of $9.21 billion, a P/E ratio of 30.05 and a beta of 1.58. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.84 and a quick ratio of 1.84. InterDigital has a fifty-two week low of $180.60 and a fifty-two week high of $412.60. The stock’s 50-day moving average is $333.45 and its two-hundred day moving average is $331.99.

InterDigital (NASDAQ:IDCC) last issued its quarterly earnings data on Thursday, February 5th. The Wireless communications provider reported $2.12 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.65 by $0.47. InterDigital had a net margin of 48.76% and a return on equity of 41.09%. The firm had revenue of $158.23 million during the quarter, compared to analysts’ expectations of $155.57 million. During the same period in the prior year, the company posted $5.15 earnings per share. InterDigital’s revenue for the quarter was down 37.4% on a year-over-year basis. InterDigital has set its Q1 2026 guidance at 2.390-2.680 EPS. Analysts predict that InterDigital will post 9.21 earnings per share for the current fiscal year.

InterDigital Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, January 28th. Stockholders of record on Wednesday, January 14th were paid a $0.70 dividend. This represents a $2.80 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend was Wednesday, January 14th. InterDigital’s dividend payout ratio (DPR) is 23.47%.

Insider Buying and Selling at InterDigital

In other news, CFO Richard Brezski sold 6,981 shares of the firm’s stock in a transaction on Monday, January 5th. The stock was sold at an average price of $330.49, for a total value of $2,307,150.69. Following the transaction, the chief financial officer directly owned 83,374 shares in the company, valued at $27,554,273.26. This trade represents a 7.73% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Lawrence Liren Chen sold 5,958 shares of the company’s stock in a transaction that occurred on Tuesday, January 27th. The shares were sold at an average price of $327.62, for a total transaction of $1,951,959.96. Following the completion of the transaction, the chief executive officer owned 153,077 shares of the company’s stock, valued at $50,151,086.74. This trade represents a 3.75% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 45,087 shares of company stock valued at $15,029,098. 2.80% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of IDCC. Kemnay Advisory Services Inc. bought a new stake in shares of InterDigital in the 4th quarter valued at about $26,000. Twin Peaks Wealth Advisors LLC acquired a new position in InterDigital during the second quarter worth approximately $28,000. Root Financial Partners LLC bought a new stake in InterDigital in the third quarter valued at approximately $30,000. Leonteq Securities AG acquired a new stake in shares of InterDigital in the fourth quarter valued at approximately $35,000. Finally, Aster Capital Management DIFC Ltd boosted its stake in shares of InterDigital by 186.8% during the 3rd quarter. Aster Capital Management DIFC Ltd now owns 109 shares of the Wireless communications provider’s stock worth $38,000 after acquiring an additional 71 shares during the period. 99.83% of the stock is owned by institutional investors and hedge funds.

About InterDigital

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.