Algert Global LLC Increases Stock Holdings in InterDigital, Inc. $IDCC

Key Points

• Algert Global more than doubled its InterDigital stake in the second quarter, raising holdings 112.2% to 19,310 shares valued at approximately $5.47 million. Institutional investors collectively own 99.83% of the company.
• Analyst sentiment remains generally positive, with InterDigital carrying an average “Buy” rating and a consensus price target of $416.67. Zacks upgraded the stock to “Strong Buy” and raised several earnings estimates, though another ratings firm downgraded it to “Hold.”
• InterDigital significantly exceeded quarterly earnings expectations, reporting $4.62 in EPS versus $0.90 expected and $260.17 million in revenue versus $143.10 million forecast. However, revenue declined 13.4% year over year, insiders sold shares worth about $2.24 million over the past 90 days, and the stock trades at a relatively high P/E ratio of 38.60.

Algert Global LLC grew its stake in InterDigital, Inc. (NASDAQ:IDCC - Free Report) by 112.2% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 19,310 shares of the Wireless communications provider's stock after purchasing an additional 10,210 shares during the period. Algert Global LLC owned approximately 0.07% of InterDigital worth $5,467,000 at the end of the most recent reporting period.

Several other large investors have also modified their holdings of the stock. Keating Financial Advisory Services Inc. purchased a new position in InterDigital in the 2nd quarter valued at $25,000. Kemnay Advisory Services Inc. acquired a new position in InterDigital in the 4th quarter valued at $26,000. Anchor Investment Management LLC purchased a new position in InterDigital during the 1st quarter worth $30,000. Leonteq Securities AG purchased a new position in InterDigital during the 4th quarter worth $35,000. Finally, Hantz Financial Services Inc. lifted its stake in shares of InterDigital by 219.0% in the 4th 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 during the period. Hedge funds and other institutional investors own 99.83% of the company's stock.

Insider Activity at InterDigital

In related news, Director Derek K. Aberle sold 522 shares of the firm's 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 transaction, the director directly owned 7,620 shares of the company's stock, valued at $2,107,996.80. This trade represents a 6.41% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Samir Armaly sold 470 shares of InterDigital stock in a transaction on Friday, June 12th. The stock was sold at an average price of $276.64, for a total value of $130,020.80. Following 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 SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 7,672 shares of company stock worth $2,240,797. 3.50% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several analysts have recently weighed in on the stock. Zacks Research raised shares of InterDigital from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 30th. Weiss Ratings cut shares of InterDigital from a "buy (b-)" rating to a "hold (c+)" rating in a report on Tuesday, August 11th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, InterDigital presently has an average rating of "Buy" and an average target price of $416.67.

Key Headlines Impacting InterDigital

Here are the key news stories impacting InterDigital this week:

• Positive Sentiment: Broad upward revisions to earnings estimates: Zacks Research 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. It also increased estimates for multiple quarterly periods through 2028 and maintained a “Strong-Buy” rating. The revisions suggest stronger expected licensing revenue or profitability than previously anticipated. MarketBeat analyst estimate revisions
• Positive Sentiment: Analysts see additional upside: A Zacks report said the consensus price target implies approximately 26.2% potential upside for InterDigital (IDCC). The report noted that improving earnings-estimate revisions are generally a more useful near-term signal than the price target alone. Zacks consensus price target article
• Neutral Sentiment: Strong recent results provide support, but comparisons are mixed: InterDigital recently reported quarterly EPS of $4.62 versus a $0.90 consensus estimate and revenue of $260.17 million versus expectations of $143.10 million. However, revenue declined 13.4% year over year, and the shares trade at a relatively elevated earnings multiple, which could encourage profit-taking or temper further gains.
• Negative Sentiment: Price-target risks remain: Zacks cautioned that consensus price targets have historically been an unreliable standalone indicator. With the stock well above its 200-day moving average and near the upper portion of its 52-week range, investors may remain cautious even as earnings forecasts improve.

InterDigital Stock Performance

NASDAQ:IDCC opened at $334.65 on Friday. The company has a quick ratio of 1.74, a current ratio of 1.74 and a debt-to-equity ratio of 0.01. InterDigital, Inc. has a fifty-two week low of $249.14 and a fifty-two week high of $412.60. The stock has a market cap of $8.64 billion, a PE ratio of 38.60 and a beta of 1.43. The firm's fifty day simple moving average is $298.16 and its 200-day simple moving average is $312.61.

InterDigital (NASDAQ:IDCC - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The Wireless communications provider reported $4.62 EPS for the quarter, beating the consensus estimate of $0.90 by $3.72. The firm had revenue of $260.17 million during the quarter, compared to analysts' expectations of $143.10 million. InterDigital had a net margin of 38.32% and a return on equity of 28.17%. The business's revenue for the quarter was down 13.4% compared to the same quarter last year. During the same quarter last year, the business earned $6.52 earnings per share. InterDigital has set its FY 2026 guidance at 10.850-12.810 EPS and its Q3 2026 guidance at 1.940-2.130 EPS. Analysts expect that InterDigital, Inc. will post 9.76 earnings per share for the current fiscal year.

InterDigital Announces Dividend

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

InterDigital 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.

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