InterDigital, Inc. (NASDAQ:IDCC) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Analysts rate InterDigital a "Moderate Buy" — consensus from five firms (four buy, one hold) with a 12‑month average price target of $416.67.
• InterDigital beat Q4 expectations (EPS $2.12 vs. $1.65; revenue $158.2M vs. $155.6M) and set Q1 2026 guidance of $2.390–$2.680 EPS, with analysts projecting about 9.21 EPS for the fiscal year.
• The company declared a quarterly dividend of $0.70 (annualized $2.80, ~0.8% yield) while insiders have sold roughly 30,905 shares (~$10.45M) in the last three months, leaving insiders owning 2.8% of the stock.

Shares of InterDigital, Inc. (NASDAQ:IDCC - Get Free Report) have earned an average rating of "Moderate Buy" from the five research firms that are currently covering the stock, MarketBeat reports. One investment analyst has rated the stock with a hold rating and four have issued a buy rating on the company. The average 12-month price target among brokers that have issued a report on the stock in the last year is $416.6667.

A number of analysts recently issued reports on the company. Wall Street Zen raised InterDigital from a "sell" rating to a "hold" rating in a report on Saturday, March 7th. Weiss Ratings lowered InterDigital from a "buy (a-)" rating to a "buy (b+)" rating in a research note on Monday, December 29th. Roth Mkm restated a "buy" rating on shares of InterDigital in a research note on Tuesday, January 20th. Finally, Jefferies Financial Group restated a "buy" rating on shares of InterDigital in a research note on Wednesday, March 18th.

Key Headlines Impacting InterDigital

Here are the key news stories impacting InterDigital this week:

• Positive Sentiment: Zacks Research raised several forward EPS forecasts (including FY2027 to $7.47 from $7.39 and small upward revisions for Q3/Q4 2027 and Q1 2028), signaling slightly stronger expected profitability ahead and supporting valuation. Q4 EPS Estimates for InterDigital Boosted by Zacks Research
• Neutral Sentiment: A short-interest report for April shows an apparent large increase in short interest but the underlying figures read as 0 shares (and NaN change), with a days-to-cover of 0.0 — this looks like bad/empty data, so it shouldn’t be interpreted as meaningful bearish pressure right now.
• Negative Sentiment: Zacks trimmed near-term quarterly estimates modestly (Q2 2026 to $1.66 from $1.67 and Q3 2026 to $1.89 from $1.91), which marginally offsets the positive revisions but represents only small downgrades. Q2 EPS Estimates for InterDigital Lowered by Zacks Research

InterDigital Stock Performance

Shares of IDCC opened at $352.27 on Friday. The stock's 50-day simple moving average is $345.78 and its 200 day simple moving average is $345.32. The stock has a market capitalization of $9.05 billion, a price-to-earnings ratio of 29.53 and a beta of 1.66. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.84 and a current ratio of 1.84. InterDigital has a 52-week low of $181.05 and a 52-week high of $412.60.

InterDigital (NASDAQ:IDCC - Get Free Report) last issued 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. The business had revenue of $158.23 million for the quarter, compared to analysts' expectations of $155.57 million. InterDigital had a return on equity of 41.09% and a net margin of 48.76%.The firm's quarterly revenue was down 37.4% on a year-over-year basis. During the same quarter in the prior year, the firm posted $5.15 EPS. InterDigital has set its Q1 2026 guidance at 2.390-2.680 EPS. Research analysts forecast that InterDigital will post 9.21 EPS for the current fiscal year.

InterDigital Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 22nd. Investors of record on Wednesday, April 8th will be paid a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Wednesday, April 8th. InterDigital's dividend payout ratio (DPR) is currently 23.47%.

Insiders Place Their Bets

In related news, CFO Richard Brezski sold 2,000 shares of the firm's stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $352.24, for a total value of $704,480.00. Following the sale, the chief financial officer directly owned 70,404 shares of the company's stock, valued at $24,799,104.96. This trade represents a 2.76% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Joan H. Gillman sold 325 shares of the firm's stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $352.24, for a total transaction of $114,478.00. Following the completion of the sale, the director directly owned 22,036 shares in the company, valued at $7,761,960.64. This represents a 1.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 30,905 shares of company stock valued at $10,452,819 over the last three months. Corporate insiders own 2.80% of the company's stock.

Institutional Investors Weigh In On InterDigital

A number of institutional investors and hedge funds have recently bought and sold shares of IDCC. Kemnay Advisory Services Inc. purchased a new stake in InterDigital in the fourth quarter valued at approximately $26,000. Root Financial Partners LLC bought a new position in shares of InterDigital during the 3rd quarter valued at about $30,000. Leonteq Securities AG bought a new position in shares of InterDigital during the 4th quarter valued at about $35,000. Aster Capital Management DIFC Ltd increased its position in shares of InterDigital by 186.8% during the 3rd quarter. Aster Capital Management DIFC Ltd now owns 109 shares of the Wireless communications provider's stock valued at $38,000 after purchasing an additional 71 shares during the last quarter. Finally, Financial Consulate Inc. bought a new position in shares of InterDigital during the 4th quarter valued at about $41,000. 99.83% of the stock is owned by hedge funds and other institutional investors.

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.

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