InterDigital (NASDAQ:IDCC) Upgraded to Buy (A) at Weiss Ratings

Key Points

• InterDigital has been upgraded by Weiss Ratings from a "buy (B+)" to a "buy (A)" rating, signaling improved confidence from analysts.
• Shares of InterDigital currently trade at $355.93, with a strong market performance including a net margin of 51.92% and a return on equity of 53.44% based on their latest quarterly earnings report.
• Institutional investors own a substantial 99.83% of InterDigital's stock, indicating strong investor interest and confidence in the company's long-term growth prospects.

InterDigital (NASDAQ:IDCC - Get Free Report) was upgraded by stock analysts at Weiss Ratings from a "buy (b+)" rating to a "buy (a)" rating in a research note issued on Tuesday,Weiss Ratings reports.

Other research analysts have also issued research reports about the stock. Jefferies Financial Group reiterated a "hold" rating and set a $340.00 price objective on shares of InterDigital in a research note on Monday, September 29th. Roth Capital raised their price objective on shares of InterDigital from $270.00 to $350.00 and gave the company a "buy" rating in a research note on Friday, September 12th. Finally, William Blair restated an "outperform" rating on shares of InterDigital in a research report on Monday, September 22nd. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Buy" and a consensus price target of $345.00.

InterDigital Stock Performance

Shares of NASDAQ:IDCC traded down $0.79 during trading hours on Tuesday, hitting $355.93. The stock had a trading volume of 77,713 shares, compared to its average volume of 339,419. The stock's fifty day simple moving average is $304.77 and its 200 day simple moving average is $247.31. InterDigital has a 1-year low of $144.46 and a 1-year high of $361.56. The firm has a market capitalization of $9.18 billion, a price-to-earnings ratio of 25.37, a PEG ratio of 1.67 and a beta of 1.44. The company has a debt-to-equity ratio of 0.02, a quick ratio of 1.96 and a current ratio of 1.96.

InterDigital (NASDAQ:IDCC - Get Free Report) last posted its quarterly earnings data 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 net margin of 51.92% and a return on equity of 53.44%. The business had revenue of $300.60 million for the quarter, compared to analyst estimates of $167.93 million. During the same quarter last year, the business earned $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. Sell-side analysts anticipate that InterDigital will post 9.21 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CTO Rajesh Pankaj sold 1,000 shares of the firm's stock in a transaction that occurred on Wednesday, August 20th. The shares were sold at an average price of $261.03, for a total value of $261,030.00. Following the completion of the transaction, the chief technology officer owned 67,122 shares of the company's stock, valued at approximately $17,520,855.66. This trade represents a 1.47% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Joshua D. Schmidt sold 466 shares of the firm's stock in a transaction that occurred on Friday, August 29th. The stock was sold at an average price of $273.12, for a total transaction of $127,273.92. Following the completion of the transaction, the insider directly owned 28,370 shares of the company's stock, valued at $7,748,414.40. This represents a 1.62% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 3,466 shares of company stock valued at $1,016,164 in the last ninety days. Company insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On InterDigital

Institutional investors have recently modified their holdings of the stock. Wealth Enhancement Advisory Services LLC boosted its stake in shares of InterDigital by 7.6% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 4,489 shares of the Wireless communications provider's stock valued at $928,000 after buying an additional 316 shares during the period. Inspire Investing LLC boosted its stake in shares of InterDigital by 37.9% during the 1st quarter. Inspire Investing LLC now owns 15,227 shares of the Wireless communications provider's stock valued at $3,148,000 after buying an additional 4,188 shares during the period. Cerity Partners LLC boosted its stake in shares of InterDigital by 91.2% during the 1st quarter. Cerity Partners LLC now owns 2,576 shares of the Wireless communications provider's stock valued at $533,000 after buying an additional 1,229 shares during the period. Harbor Capital Advisors Inc. boosted its stake in shares of InterDigital by 3.6% during the 2nd quarter. Harbor Capital Advisors Inc. now owns 43,660 shares of the Wireless communications provider's stock valued at $9,790,000 after buying an additional 1,502 shares during the period. Finally, EP Wealth Advisors LLC acquired a new stake in shares of InterDigital during the 1st quarter valued at $214,000. Institutional investors and hedge funds own 99.83% of the company's stock.

InterDigital Company Profile

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.

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