City Center Advisors LLC Acquires Shares of 932 InterDigital, Inc. $IDCC

Key Points

• City Center Advisors LLC invested $209,000 in InterDigital, acquiring 932 shares of the company during the second quarter.
• InterDigital reported quarterly earnings of $6.52 per share, significantly surpassing estimates and demonstrating a 34.5% year-over-year revenue increase.
• Analysts have increased their price target for InterDigital from $270 to $350, maintaining a "buy" rating for the stock.

City Center Advisors LLC purchased a new stake in InterDigital, Inc. (NASDAQ:IDCC - Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 932 shares of the Wireless communications provider's stock, valued at approximately $209,000.

Several other large investors have also recently added to or reduced their stakes in the company. Reinhart Partners LLC. increased its position in InterDigital by 13.9% during the 1st quarter. Reinhart Partners LLC. now owns 410,442 shares of the Wireless communications provider's stock worth $84,859,000 after buying an additional 50,204 shares during the period. Price T Rowe Associates Inc. MD grew its holdings in shares of InterDigital by 19.9% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 358,843 shares of the Wireless communications provider's stock worth $74,191,000 after purchasing an additional 59,517 shares in the last quarter. Invesco Ltd. grew its holdings in shares of InterDigital by 8.5% during the 1st quarter. Invesco Ltd. now owns 355,704 shares of the Wireless communications provider's stock worth $73,542,000 after purchasing an additional 27,853 shares in the last quarter. Congress Asset Management Co. grew its holdings in shares of InterDigital by 5.0% during the 1st quarter. Congress Asset Management Co. now owns 339,101 shares of the Wireless communications provider's stock worth $70,109,000 after purchasing an additional 16,040 shares in the last quarter. Finally, GAMMA Investing LLC grew its holdings in shares of InterDigital by 31,724.6% during the 1st quarter. GAMMA Investing LLC now owns 299,788 shares of the Wireless communications provider's stock worth $619,810,000 after purchasing an additional 298,846 shares in the last quarter. Institutional investors own 99.83% of the company's stock.

InterDigital Price Performance

InterDigital stock traded down $1.28 during midday trading on Friday, reaching $337.94. The company's stock had a trading volume of 77,035 shares, compared to its average volume of 324,019. InterDigital, Inc. has a 52 week low of $136.58 and a 52 week high of $341.47. The company has a current ratio of 1.96, a quick ratio of 1.96 and a debt-to-equity ratio of 0.02. The business has a 50-day moving average price of $266.57 and a 200-day moving average price of $231.58. The stock has a market cap of $8.72 billion, a PE ratio of 23.94, a price-to-earnings-growth ratio of 1.63 and a beta of 1.42.

InterDigital (NASDAQ:IDCC - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The Wireless communications provider reported $6.52 EPS for the quarter, beating analysts' consensus estimates of $2.77 by $3.75. InterDigital had a return on equity of 53.44% and a net margin of 51.92%.The firm had revenue of $300.60 million for the quarter, compared to analyst estimates of $167.93 million. During the same period last year, the firm posted $4.57 earnings per share. The business's revenue for the quarter was up 34.5% on a year-over-year basis. InterDigital has set its FY 2025 guidance at 14.170-14.770 EPS. Q3 2025 guidance at 1.520-1.720 EPS. On average, sell-side analysts predict that InterDigital, Inc. will post 9.21 EPS for the current year.

InterDigital Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 22nd. Shareholders of record on Wednesday, October 8th will be issued a $0.70 dividend. The ex-dividend date is Wednesday, October 8th. This is an increase from InterDigital's previous quarterly dividend of $0.60. This represents a $2.80 dividend on an annualized basis and a yield of 0.8%. InterDigital's dividend payout ratio is presently 17.11%.

Insider Buying and Selling

In other InterDigital news, insider Joshua D. Schmidt sold 466 shares of InterDigital stock in a transaction that occurred on Friday, August 29th. The stock was sold at an average price of $273.12, for a total value of $127,273.92. Following the completion of the sale, the insider directly owned 28,370 shares in the company, valued at approximately $7,748,414.40. The trade was a 1.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CTO Rajesh Pankaj sold 1,000 shares of InterDigital stock in a transaction that occurred on Friday, September 5th. The stock was sold at an average price of $289.78, for a total value of $289,780.00. Following the completion of the sale, the chief technology officer owned 66,122 shares of the company's stock, valued at approximately $19,160,833.16. The trade was a 1.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 3,932 shares of company stock valued at $1,010,930. 2.80% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

Separately, Roth Capital increased their target price on InterDigital from $270.00 to $350.00 and gave the stock a "buy" rating in a report on Friday, September 12th. One equities research analyst has rated the stock with a Buy rating, According to data from MarketBeat.com, InterDigital has an average rating of "Buy" and an average price target of $350.00.

About InterDigital

InterDigital, Inc operates as a global research and development company with focus primarily on wireless, visual, artificial intelligence (AI), and related technologies. The company engages in the design and development of technologies that enable connected in a range of communications and entertainment products and services, which are licensed to companies providing such products and services, including makers of wireless communications, consumer electronics, IoT devices, and cars and other motor vehicles, as well as providers of cloud-based services, such as video streaming.