InterDigital, Inc. (NASDAQ:IDCC) Receives $416.67 Consensus Target Price from Brokerages

Shares of InterDigital, Inc. (NASDAQ:IDCC) have been given an average rating of “Moderate Buy” by the five analysts that are currently covering the company, MarketBeat reports. One analyst has rated the stock with a hold rating and four have assigned a buy rating to the company. The average 12-month price objective among analysts that have covered the stock in the last year is $416.6667.

IDCC has been the topic of a number of recent analyst reports. Zacks Research cut InterDigital from a “strong-buy” rating to a “hold” rating in a report on Friday, November 21st. UBS Group set a $425.00 target price on InterDigital in a research note on Monday, December 1st. Weiss Ratings downgraded InterDigital from a “buy (a-)” rating to a “buy (b+)” rating in a research note on Monday, December 29th. Wall Street Zen cut shares of InterDigital from a “hold” rating to a “sell” rating in a research report on Saturday, February 21st. Finally, Roth Mkm reissued a “buy” rating on shares of InterDigital in a report on Tuesday, January 20th.

InterDigital Price Performance

Shares of NASDAQ:IDCC opened at $366.53 on Friday. 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 1-year low of $180.60 and a 1-year high of $412.60. The company has a market capitalization of $9.42 billion, a P/E ratio of 30.72 and a beta of 1.58. The firm’s 50 day simple moving average is $336.52 and its two-hundred day simple moving average is $335.45.

InterDigital (NASDAQ:IDCC) last announced 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. The company’s revenue for the quarter was down 37.4% compared to the same quarter last year. InterDigital has set its Q1 2026 guidance at 2.390-2.680 EPS. Research analysts expect that InterDigital will post 9.21 EPS for the current fiscal year.

InterDigital Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, January 28th. Stockholders of record on Wednesday, January 14th were issued 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 payout ratio is 23.47%.

Insider Buying and Selling at InterDigital

In related news, CEO Lawrence Liren Chen sold 5,958 shares of the company’s stock in a transaction 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 sale, the chief executive officer owned 153,077 shares of the company’s stock, valued at $50,151,086.74. This represents a 3.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director John A. Kritzmacher sold 1,250 shares of the company’s stock in a transaction dated Tuesday, December 23rd. The shares were sold at an average price of $331.00, for a total transaction of $413,750.00. Following the sale, the director owned 15,815 shares in the company, valued at $5,234,765. This represents a 7.32% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 43,837 shares of company stock worth $14,595,823 in the last quarter. 2.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On InterDigital

Institutional investors and hedge funds have recently modified their holdings of the stock. Pacer Advisors Inc. raised its holdings in InterDigital by 2,700.1% during the 4th quarter. Pacer Advisors Inc. now owns 68,659 shares of the Wireless communications provider’s stock valued at $21,860,000 after buying an additional 66,207 shares during the period. Invesco Ltd. increased its position in InterDigital by 24.8% during the fourth 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 last quarter. Mercer Global Advisors Inc. ADV increased its position in InterDigital by 10.0% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 3,483 shares of the Wireless communications provider’s stock valued at $1,109,000 after acquiring an additional 316 shares during the last quarter. First Citizens Bank & Trust Co. purchased a new stake in shares of InterDigital in the fourth quarter valued at $940,000. Finally, EP Wealth Advisors LLC bought a new stake in shares of InterDigital in the 4th quarter worth about $318,000. Hedge funds and other institutional investors own 99.83% of the company’s stock.

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.