Zacks Research Has Optimistic Outlook of IRDM Q2 Earnings

Key Points

• Zacks Research raised its Q2 2026 EPS estimate for Iridium to $0.21 (from $0.19) and provided multi-quarter projections, forecasting FY2026 $0.90, FY2027 $1.08 and FY2028 $1.52 per share.
• In the most recent quarter (April 23) Iridium reported EPS of $0.20, missing the consensus $0.27 by $0.07 while revenue of $219.06M slightly topped estimates; the company posted a 12.05% net margin and a 22.76% return on equity.
• Broker views are mixed—Barclays raised its price target to $36 with an "overweight" rating, but the MarketBeat consensus remains "Hold" with an average target of $26; the stock trades near $40 with a market cap of $4.25B and a 1.5% dividend yield.

Iridium Communications Inc (NASDAQ:IRDM - Free Report) - Stock analysts at Zacks Research lifted their Q2 2026 EPS estimates for Iridium Communications in a report released on Thursday, May 7th. Zacks Research analyst Team now forecasts that the technology company will post earnings per share of $0.21 for the quarter, up from their previous estimate of $0.19. The consensus estimate for Iridium Communications' current full-year earnings is $1.06 per share. Zacks Research also issued estimates for Iridium Communications' Q3 2026 earnings at $0.24 EPS, Q4 2026 earnings at $0.24 EPS, FY2026 earnings at $0.90 EPS, Q1 2027 earnings at $0.26 EPS, Q2 2027 earnings at $0.25 EPS, Q3 2027 earnings at $0.28 EPS, Q4 2027 earnings at $0.29 EPS, FY2027 earnings at $1.08 EPS, Q1 2028 earnings at $0.36 EPS and FY2028 earnings at $1.52 EPS.

Iridium Communications (NASDAQ:IRDM - Get Free Report) last released its quarterly earnings results on Thursday, April 23rd. The technology company reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.27 by ($0.07). Iridium Communications had a return on equity of 22.76% and a net margin of 12.05%.The business had revenue of $219.06 million during the quarter, compared to the consensus estimate of $218.39 million. During the same quarter in the previous year, the business posted $0.27 earnings per share. The firm's revenue was up 2.0% on a year-over-year basis.

IRDM has been the topic of several other reports. Barclays increased their price target on shares of Iridium Communications from $25.00 to $36.00 and gave the stock an "overweight" rating in a research report on Thursday, April 9th. Morgan Stanley increased their price target on shares of Iridium Communications from $24.00 to $26.00 and gave the stock an "equal weight" rating in a research report on Wednesday, February 18th. BWS Financial reiterated a "sell" rating and issued a $16.00 price target on shares of Iridium Communications in a research report on Monday, April 27th. Weiss Ratings upgraded shares of Iridium Communications from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Tuesday, March 10th. Finally, Raymond James Financial reiterated a "market perform" rating on shares of Iridium Communications in a research report on Friday, April 24th. One research analyst has rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $26.00.

Iridium Communications Stock Down 1.0%

IRDM opened at $40.19 on Friday. The company has a current ratio of 2.85, a quick ratio of 2.21 and a debt-to-equity ratio of 3.74. Iridium Communications has a 1-year low of $15.65 and a 1-year high of $44.36. The company has a market capitalization of $4.25 billion, a PE ratio of 40.60, a PEG ratio of 2.73 and a beta of 0.79. The firm's 50 day simple moving average is $31.41 and its two-hundred day simple moving average is $23.13.

Iridium Communications Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Monday, March 16th were paid a $0.15 dividend. The ex-dividend date of this dividend was Monday, March 16th. This represents a $0.60 dividend on an annualized basis and a dividend yield of 1.5%. Iridium Communications's dividend payout ratio is 60.61%.

Insider Activity

In other news, CAO Timothy Kapalka sold 2,043 shares of the stock in a transaction on Monday, April 6th. The shares were sold at an average price of $33.00, for a total value of $67,419.00. Following the completion of the sale, the chief accounting officer directly owned 45,721 shares of the company's stock, valued at $1,508,793. This represents a 4.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.70% of the stock is currently owned by company insiders.

Institutional Trading of Iridium Communications

A number of hedge funds and other institutional investors have recently modified their holdings of IRDM. Quadrant Capital Group LLC increased its stake in shares of Iridium Communications by 107.5% in the fourth quarter. Quadrant Capital Group LLC now owns 1,430 shares of the technology company's stock worth $25,000 after purchasing an additional 741 shares in the last quarter. Hantz Financial Services Inc. grew its stake in Iridium Communications by 184.7% during the third quarter. Hantz Financial Services Inc. now owns 1,506 shares of the technology company's stock valued at $26,000 after acquiring an additional 977 shares in the last quarter. Larson Financial Group LLC grew its stake in Iridium Communications by 392.8% during the third quarter. Larson Financial Group LLC now owns 1,508 shares of the technology company's stock valued at $26,000 after acquiring an additional 1,202 shares in the last quarter. Kestra Advisory Services LLC purchased a new position in Iridium Communications during the fourth quarter valued at $27,000. Finally, CIBC Private Wealth Group LLC purchased a new position in Iridium Communications during the third quarter valued at $32,000. 84.36% of the stock is owned by hedge funds and other institutional investors.

About Iridium Communications

Iridium Communications Inc operates a global satellite communications network that delivers voice and data services across land, sea and air. The company's unique architecture relies on a constellation of 66 low-Earth orbit satellites, enabling real-time connectivity in regions beyond the reach of terrestrial wireless networks. Iridium's core offerings include satellite voice and messaging services, broadband data terminals, push-to-talk (PTT) interoperability and machine-to-machine (M2M) solutions for the Internet of Things (IoT).

Iridium serves a diverse range of markets, including maritime shipping, aviation, government and defense, energy, and enterprise.

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