Zacks Research Cuts Earnings Estimates for InterDigital

Key Points

• Zacks Research cut its Q2 2027 earnings estimates for InterDigital from $2.04 to $1.99 per share, while the consensus estimate for the company's current full-year earnings stands at $9.21 per share.
• The company's recent quarterly earnings report showed earnings per share (EPS) of $6.52, exceeding the expected $2.77, with a notable revenue increase of 34.5% year over year.
• Roth Capital has raised its target price for InterDigital from $270 to $350, reflecting a positive outlook with a current consensus "Buy" rating from analysts.

InterDigital, Inc. (NASDAQ:IDCC - Free Report) - Equities researchers at Zacks Research cut their Q2 2027 earnings estimates for InterDigital in a report issued on Friday, September 12th. Zacks Research analyst Team now forecasts that the Wireless communications provider will earn $1.99 per share for the quarter, down from their previous estimate of $2.04. The consensus estimate for InterDigital's current full-year earnings is $9.21 per share.

InterDigital (NASDAQ:IDCC - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The Wireless communications provider reported $6.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.77 by $3.75. The company had revenue of $300.60 million during the quarter, compared to the consensus estimate of $167.93 million. InterDigital had a net margin of 51.92% and a return on equity of 53.44%. The company's revenue for the quarter was up 34.5% compared to the same quarter last year. During the same period in the prior year, the business earned $4.57 earnings per share. InterDigital has set its FY 2025 guidance at 14.170-14.770 EPS. Q3 2025 guidance at 1.520-1.720 EPS.

Separately, Roth Capital raised their target price on InterDigital from $270.00 to $350.00 and gave the stock a "buy" rating in a research report on Friday. One analyst has rated the stock with a Buy rating, According to MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of $350.00.

InterDigital Stock Down 0.6%

Shares of NASDAQ:IDCC opened at $322.87 on Monday. The company has a market capitalization of $8.33 billion, a PE ratio of 23.01, a price-to-earnings-growth ratio of 1.61 and a beta of 1.42. 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 has a 52-week low of $132.98 and a 52-week high of $327.49. The company has a fifty day moving average of $258.33 and a 200-day moving average of $228.55.

Insider Activity

In other news, CTO Rajesh Pankaj sold 1,000 shares of the firm's stock in a transaction dated 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 directly owned 66,122 shares in the company, valued at $19,160,833.16. This trade represents a 1.49% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider Joshua D. Schmidt sold 466 shares of the firm's stock in a transaction dated Friday, August 29th. The shares were sold at an average price of $273.12, for a total value of $127,273.92. Following the completion of the sale, the insider owned 28,370 shares of the company's stock, valued at approximately $7,748,414.40. This represents a 1.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 3,932 shares of company stock valued at $1,010,930. 2.80% of the stock is currently owned by company insiders.

Institutional Trading of InterDigital

Several large investors have recently made changes to their positions in IDCC. Norges Bank acquired a new stake in shares of InterDigital in the 2nd quarter valued at about $71,200,000. GAMMA Investing LLC lifted its position in InterDigital by 31,724.6% in the 1st quarter. GAMMA Investing LLC now owns 299,788 shares of the Wireless communications provider's stock valued at $619,810,000 after acquiring an additional 298,846 shares in the last quarter. New Vernon Capital Holdings II LLC lifted its position in InterDigital by 25,257.5% in the 1st quarter. New Vernon Capital Holdings II LLC now owns 204,889 shares of the Wireless communications provider's stock valued at $42,361,000 after acquiring an additional 204,081 shares in the last quarter. Millennium Management LLC lifted its position in InterDigital by 3,962.5% in the 4th quarter. Millennium Management LLC now owns 128,780 shares of the Wireless communications provider's stock valued at $24,947,000 after acquiring an additional 125,610 shares in the last quarter. Finally, Bessemer Group Inc. lifted its position in InterDigital by 152,729.3% in the 1st quarter. Bessemer Group Inc. now owns 114,622 shares of the Wireless communications provider's stock valued at $23,700,000 after acquiring an additional 114,547 shares in the last quarter. 99.83% of the stock is currently owned by institutional investors and hedge funds.

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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