Analysts Set Expectations for InterDigital FY2026 Earnings

InterDigital, Inc. (NASDAQ:IDCC - Free Report) - Equities research analysts at Zacks Research raised their FY2026 EPS estimates for InterDigital in a research note issued on Thursday, August 20th. Zacks Research analyst Team now anticipates that the Wireless communications provider will post earnings of $10.13 per share for the year, up from their previous forecast of $7.41. Zacks Research has a "Strong-Buy" rating on the stock. The consensus estimate for InterDigital's current full-year earnings is $10.22 per share. Zacks Research also issued estimates for InterDigital's Q1 2027 earnings at $1.93 EPS, Q2 2027 earnings at $1.91 EPS, Q3 2027 earnings at $2.29 EPS, Q4 2027 earnings at $2.34 EPS, FY2027 earnings at $8.49 EPS, Q1 2028 earnings at $2.39 EPS, Q2 2028 earnings at $2.68 EPS and FY2028 earnings at $10.83 EPS.

Separately, Weiss Ratings lowered InterDigital from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Tuesday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat.com, InterDigital has a consensus rating of "Buy" and an average price target of $416.67.

InterDigital Trading Down 0.4%

Shares of InterDigital stock opened at $344.32 on Thursday. InterDigital has a fifty-two week low of $249.14 and a fifty-two week high of $412.60. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.74 and a current ratio of 1.74. The company has a market capitalization of $8.89 billion, a P/E ratio of 39.71 and a beta of 1.43. The company has a fifty day moving average of $297.39 and a 200 day moving average of $312.87.

InterDigital (NASDAQ:IDCC - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The Wireless communications provider reported $4.62 earnings per share for the quarter, topping 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 business had revenue of $260.17 million during the quarter, compared to analyst estimates of $143.10 million. During the same period in the prior year, the business posted $6.52 earnings per share. The company'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.

Institutional Investors Weigh In On InterDigital

Several large investors have recently bought and sold shares of the business. Keating Financial Advisory Services Inc. purchased a new position in shares of InterDigital in the 2nd quarter worth $25,000. Kemnay Advisory Services Inc. purchased a new stake in shares of InterDigital during the 4th quarter valued at about $26,000. Anchor Investment Management LLC purchased a new stake in shares of InterDigital during the 1st quarter valued at about $30,000. Leonteq Securities AG bought a new position in shares of InterDigital in the 4th quarter valued at about $35,000. Finally, Hantz Financial Services Inc. grew its position in InterDigital by 219.0% in the fourth quarter. Hantz Financial Services Inc. now owns 134 shares of the Wireless communications provider's stock worth $43,000 after acquiring an additional 92 shares in the last quarter. Institutional investors own 99.83% of the company's stock.

Insider Buying and Selling

In related news, Director Samir Armaly sold 470 shares of the stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $276.64, for a total transaction of $130,020.80. Following the completion of the transaction, the director directly owned 4,608 shares of the company's stock, valued at approximately $1,274,757.12. This represents a 9.26% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Derek K. Aberle sold 522 shares of InterDigital stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $276.64, for a total value of $144,406.08. Following the completion of the sale, the director directly owned 7,620 shares in the company, valued at approximately $2,107,996.80. The trade was a 6.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 7,672 shares of company stock worth $2,240,797 in the last 90 days. 3.50% of the stock is owned by company insiders.

InterDigital Dividend Announcement

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

Key Stories Impacting InterDigital

Here are the key news stories impacting InterDigital this week:

• Positive Sentiment: Zacks raised its FY2026 EPS forecast to $10.13 from $7.41, FY2027 EPS to $8.49 from $7.82, and FY2028 EPS to $10.83 from $8.88. The firm also increased estimates for multiple quarters, including Q1 2027 to $1.93, Q3 2027 to $2.29, Q4 2027 to $2.34, Q1 2028 to $2.39 and Q2 2028 to $2.68. These revisions suggest stronger expected licensing revenue or profitability and provide a bullish catalyst for IDCC. Zacks Research estimates for InterDigital
• Positive Sentiment: Zacks’ FY2026 forecast of $10.13 EPS is broadly consistent with the current consensus estimate of $10.22, reducing the risk that the upgrade is materially out of line with broader expectations. The firm’s “Strong-Buy” rating may further reinforce bullish sentiment.
• Neutral Sentiment: Reported short interest was zero shares as of August 25, unchanged from August 10, with a zero-day days-to-cover ratio. This indicates little evidence of either meaningful bearish positioning or a potential short-squeeze catalyst.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source