Vanguard Group Inc. Sells 160,840 Shares of InterDigital, Inc. $IDCC

Key Points

• Vanguard trimmed its position in InterDigital by 4.8% (sold 160,840 shares) in Q4 but still holds 3,165,273 shares — about 12.29% of the company worth roughly $1.01 billion.
• InterDigital beat Q1 estimates with $2.57 EPS and $205.4M revenue, but revenue was down 2.4% year‑over‑year and management guided Q2 EPS well below consensus (1.41–1.60), sparking near‑term concern.
• Licensing wins with major customers (Xiaomi, Disney, Tencent) and management’s emphasis on growing ARR bolster long‑term royalty visibility, while analysts hold a consensus Moderate Buy with an average price target of $416.67.

Vanguard Group Inc. trimmed its position in InterDigital, Inc. (NASDAQ:IDCC - Free Report) by 4.8% during the fourth quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 3,165,273 shares of the Wireless communications provider's stock after selling 160,840 shares during the quarter. Vanguard Group Inc. owned approximately 12.29% of InterDigital worth $1,007,760,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently modified their holdings of IDCC. M&T Bank Corp raised its holdings in shares of InterDigital by 14,563.6% in the 4th quarter. M&T Bank Corp now owns 109,244 shares of the Wireless communications provider's stock valued at $34,781,000 after purchasing an additional 108,499 shares during the period. Ameriprise Financial Inc. raised its holdings in shares of InterDigital by 36.8% in the 2nd quarter. Ameriprise Financial Inc. now owns 309,663 shares of the Wireless communications provider's stock valued at $69,433,000 after purchasing an additional 83,221 shares during the period. 1900 Wealth Management LLC bought a new stake in shares of InterDigital in the 4th quarter valued at about $14,339,000. TD Asset Management Inc bought a new stake in shares of InterDigital in the 3rd quarter valued at about $14,625,000. Finally, Invesco Ltd. grew its stake in InterDigital by 12.6% in the 3rd quarter. Invesco Ltd. now owns 361,216 shares of the Wireless communications provider's stock valued at $124,703,000 after buying an additional 40,335 shares during the last quarter. 99.83% of the stock is owned by institutional investors.

InterDigital Stock Down 2.0%

Shares of IDCC opened at $290.50 on Friday. InterDigital, Inc. has a 52 week low of $202.82 and a 52 week high of $412.60. The firm has a market cap of $7.51 billion, a P/E ratio of 24.35 and a beta of 1.50. The firm's 50-day simple moving average is $347.23 and its 200 day simple moving average is $346.72. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.84 and a current ratio of 1.88.

InterDigital (NASDAQ:IDCC - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The Wireless communications provider reported $2.57 EPS for the quarter, beating analysts' consensus estimates of $2.54 by $0.03. The business had revenue of $205.42 million for the quarter, compared to analyst estimates of $196.85 million. InterDigital had a net margin of 44.20% and a return on equity of 35.25%. InterDigital's quarterly revenue was down 2.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $3.45 EPS. InterDigital has set its Q2 2026 guidance at 1.410-1.600 EPS and its FY 2026 guidance at 8.740-11.840 EPS. On average, analysts forecast that InterDigital, Inc. will post 7.71 earnings per share for the current year.

InterDigital Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 22nd. Shareholders of record on Wednesday, April 8th were issued a $0.70 dividend. The ex-dividend date of this dividend was Wednesday, April 8th. This represents a $2.80 dividend on an annualized basis and a yield of 1.0%. InterDigital's payout ratio is currently 23.47%.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on the stock. Wall Street Zen upgraded shares of InterDigital from a "sell" rating to a "hold" rating in a research note on Saturday, March 7th. Roth Mkm reiterated a "buy" rating on shares of InterDigital in a research note on Tuesday, January 20th. Finally, Jefferies Financial Group reiterated a "buy" rating on shares of InterDigital in a research note on Wednesday, March 18th. Four analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $416.67.

Insider Transactions at InterDigital

In other InterDigital news, Director John D. Jr. Markley sold 700 shares of the business's stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $374.95, for a total value of $262,465.00. Following the completion of the sale, the director owned 11,223 shares of the company's stock, valued at $4,208,063.85. The trade was a 5.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Joshua D. Schmidt sold 6,000 shares of the business's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $348.21, for a total transaction of $2,089,260.00. Following the completion of the sale, the insider directly owned 25,889 shares of the company's stock, valued at $9,014,808.69. This represents a 18.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 18,997 shares of company stock worth $6,672,454. Company insiders own 2.80% of the company's stock.

InterDigital News Roundup

Here are the key news stories impacting InterDigital this week:

• Positive Sentiment: Licensing wins with major customers (Xiaomi, Disney, Tencent) should broaden and stabilize royalty cash flows — improves visibility for future licensing revenue. InterDigital Licensing Wins With Xiaomi Disney And Tencent Reshape Cash Flows
• Positive Sentiment: Management highlighted IP strength and growing ARR (annualized recurring revenue) on the earnings call, supporting long‑term monetization and margin potential. InterDigital Earnings Call Highlights IP Strength, ARR Growth
• Positive Sentiment: Company press release reported revenue, adjusted EBITDA and EPS at or above guidance ranges for Q1 and said Smartphone ARR reached a record level—reinforces that licensing engine is intact. InterDigital Announces Financial Results for First Quarter 2026
• Neutral Sentiment: Analyst write‑ups and feature pieces judge InterDigital as a compelling IP/royalty play, but they note valuation and cyclicality risks — useful context but not immediate catalysts. InterDigital: A Strong Contender in the Tech Stock Arena
• Negative Sentiment: Second‑quarter guidance was well below consensus (Q2 EPS guided to $1.41–1.60 vs. ~ $2.03 expected; revenue guided below estimates), sparking near‑term concern about growth momentum. (Company guidance update entry)
• Negative Sentiment: Earnings/metrics messaging was mixed across outlets: some reports flagged an EPS miss versus some expectations and others small beats — the inconsistent communication increases uncertainty and likely amplified the sell‑off. InterDigital, Inc. NASDAQ: IDCC Q1 2026 Earnings Call Transcript
• Negative Sentiment: Operational headwinds cited by analysts — weaker smartphone revenues, lower catch‑up sales in the quarter and rising costs — could pressure near‑term margins and cash flow despite licensing gains. InterDigital Q1 Earnings Surpass Estimates Despite Lower Y/Y Revenues

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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