(IDCC) InterDigital - Ratings and Ratios
Cellular Patents, Wireless Standards, Video Compression, AI Tech
IDCC EPS (Earnings per Share)
IDCC Revenue
Description: IDCC InterDigital
InterDigital Inc (NASDAQ:IDCC) is a global research and development company that specializes in wireless, visual, artificial intelligence (AI), and related technologies. The company designs and develops technologies that enable connectivity in various communications and entertainment products and services, which are licensed to companies across multiple industries, including wireless communications, consumer electronics, IoT, automotive, and cloud-based services.
From a business perspective, InterDigitals focus on research and development has resulted in a robust portfolio of patented technologies used in a wide range of products, including smartphones, tablets, consumer electronics, base stations, televisions, laptops, gaming consoles, and connected automobiles. The companys technologies are integral to various wireless networks, including 2G, 3G, 4G, and 5G, as well as emerging technologies like 6G. Key performance indicators (KPIs) to watch include revenue growth, licensing revenue, and research and development expenses as a percentage of revenue.
In terms of financial health, InterDigitals market capitalization is approximately $5.8 billion, with a price-to-earnings (P/E) ratio of 17.82 and a forward P/E of 19.57. The companys return on equity (RoE) is 48.87%, indicating strong profitability. Other KPIs to monitor include the companys cash conversion cycle, debt-to-equity ratio, and dividend yield (if applicable).
To further analyze InterDigitals prospects, its essential to examine the companys competitive positioning, growth prospects, and industry trends. The demand for wireless and AI technologies is expected to continue growing, driven by the increasing adoption of 5G networks, IoT devices, and connected consumer electronics. InterDigitals ability to innovate and license its technologies will be critical to its future success. Key metrics to track include the companys patent portfolio, new licensing agreements, and revenue growth from emerging technologies.
IDCC Stock Overview
| Market Cap in USD | 7,160m |
| Sub-Industry | Communications Equipment |
| IPO / Inception | 1990-03-26 |
IDCC Stock Ratings
| Growth Rating | 92.1% |
| Fundamental | 90.4% |
| Dividend Rating | 54.1% |
| Return 12m vs S&P 500 | 82.2% |
| Analyst Rating | 4.0 of 5 |
IDCC Dividends
| Dividend Yield 12m | 0.86% |
| Yield on Cost 5y | 3.82% |
| Annual Growth 5y | 3.34% |
| Payout Consistency | 95.7% |
| Payout Ratio | 15.0% |
IDCC Growth Ratios
| Growth Correlation 3m | 80.5% |
| Growth Correlation 12m | 93.2% |
| Growth Correlation 5y | 84.7% |
| CAGR 5y | 39.47% |
| CAGR/Max DD 5y | 0.77 |
| Sharpe Ratio 12m | 1.56 |
| Alpha | 110.12 |
| Beta | 0.142 |
| Volatility | 34.40% |
| Current Volume | 364.4k |
| Average Volume 20d | 226k |
| Stop Loss | 279.1 (-3%) |
| Signal | -0.71 |
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (463.5m TTM) > 0 and > 6% of Revenue (6% = 53.6m TTM) |
| FCFTA 0.16 (>2.0%) and ΔFCFTA 0.82pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 75.91% (prev 48.83%; Δ 27.08pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.18 (>3.0%) and CFO 354.8m <= Net Income 463.5m (YES >=105%, WARN >=100%) |
| Net Debt (-30.3m) to EBITDA (623.4m) ratio: -0.05 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.96 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (33.5m) change vs 12m ago 20.05% (target <= -2.0% for YES) |
| Gross Margin 90.02% (prev 77.73%; Δ 12.29pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 49.30% (prev 44.78%; Δ 4.52pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 13.50 (EBITDA TTM 623.4m / Interest Expense TTM 41.4m) >= 6 (WARN >= 3) |
Altman Z'' 10.05
| (A) 0.34 = (Total Current Assets 1.39b - Total Current Liabilities 708.9m) / Total Assets 1.98b |
| (B) 1.03 = Retained Earnings (Balance) 2.04b / Total Assets 1.98b |
| warn (B) unusual magnitude: 1.03 — check mapping/units |
| (C) 0.31 = EBIT TTM 559.2m / Avg Total Assets 1.81b |
| (D) 2.27 = Book Value of Equity 2.04b / Total Liabilities 897.9m |
| Total Rating: 10.05 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 90.35
| 1. Piotroski 6.0pt = 1.0 |
| 2. FCF Yield 4.65% = 2.32 |
| 3. FCF Margin 34.87% = 7.50 |
| 4. Debt/Equity 0.43 = 2.41 |
| 5. Debt/Ebitda 0.76 = 2.07 |
| 6. ROIC - WACC 27.78% = 12.50 |
| 7. RoE 51.45% = 2.50 |
| 8. Rev. Trend 66.64% = 3.33 |
| 9. Rev. CAGR 41.93% = 2.50 |
| 10. EPS Trend 68.73% = 1.72 |
| 11. EPS CAGR 105.6% = 2.50 |
What is the price of IDCC shares?
Over the past week, the price has changed by +5.92%, over one month by +6.75%, over three months by +27.40% and over the past year by +117.19%.
Is InterDigital a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of IDCC is around 360.18 USD . This means that IDCC is currently undervalued and has a potential upside of +25.15% (Margin of Safety).
Is IDCC a buy, sell or hold?
- Strong Buy: 2
- Buy: 1
- Hold: 2
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the IDCC price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 266.5 | -7.4% |
| Analysts Target Price | 266.5 | -7.4% |
| ValueRay Target Price | 393.5 | 36.7% |
Last update: 2025-09-03 08:59
IDCC Fundamental Data Overview
CCE Cash And Equivalents = 937.0m USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 19.7221
P/E Forward = 27.7778
P/S = 8.0216
P/B = 6.5882
P/EG = 1.3155
Beta = 1.373
Revenue TTM = 892.6m USD
EBIT TTM = 559.2m USD
EBITDA TTM = 623.4m USD
Long Term Debt = 16.6m USD (from longTermDebt, last quarter)
Short Term Debt = 455.8m USD (from shortTermDebt, last quarter)
Debt = 472.3m USD (Calculated: Short Term 455.8m + Long Term 16.6m)
Net Debt = -30.3m USD (from netDebt column, last quarter)
Enterprise Value = 6.70b USD (7.16b + Debt 472.3m - CCE 937.0m)
Interest Coverage Ratio = 13.50 (Ebit TTM 559.2m / Interest Expense TTM 41.4m)
FCF Yield = 4.65% (FCF TTM 311.2m / Enterprise Value 6.70b)
FCF Margin = 34.87% (FCF TTM 311.2m / Revenue TTM 892.6m)
Net Margin = 51.92% (Net Income TTM 463.5m / Revenue TTM 892.6m)
Gross Margin = 90.02% ((Revenue TTM 892.6m - Cost of Revenue TTM 89.1m) / Revenue TTM)
Tobins Q-Ratio = 3.28 (Enterprise Value 6.70b / Book Value Of Equity 2.04b)
Interest Expense / Debt = 2.02% (Interest Expense 9.54m / Debt 472.3m)
Taxrate = 16.49% (70.8m / 429.4m)
NOPAT = 467.0m (EBIT 559.2m * (1 - 16.49%))
Current Ratio = 1.96 (Total Current Assets 1.39b / Total Current Liabilities 708.9m)
Debt / Equity = 0.43 (Debt 472.3m / last Quarter total Stockholder Equity 1.09b)
Debt / EBITDA = 0.76 (Net Debt -30.3m / EBITDA 623.4m)
Debt / FCF = 1.52 (Debt 472.3m / FCF TTM 311.2m)
Total Stockholder Equity = 900.9m (last 4 quarters mean)
RoA = 23.35% (Net Income 463.5m, Total Assets 1.98b )
RoE = 51.45% (Net Income TTM 463.5m / Total Stockholder Equity 900.9m)
RoCE = 60.95% (Ebit 559.2m / (Equity 900.9m + L.T.Debt 16.6m))
RoIC = 34.02% (NOPAT 467.0m / Invested Capital 1.37b)
WACC = 6.24% (E(7.16b)/V(7.63b) * Re(6.54%)) + (D(472.3m)/V(7.63b) * Rd(2.02%) * (1-Tc(0.16)))
Shares Correlation 5-Years: 60.0 | Cagr: 1.80%
Discount Rate = 6.54% (= CAPM, Blume Beta Adj.) -> floored to rf + ERP 8.05%
[DCF Debug] Terminal Value 79.18% ; FCFE base≈284.0m ; Y1≈302.4m ; Y5≈363.6m
Fair Price DCF = 246.5 (DCF Value 6.36b / Shares Outstanding 25.8m; 5y FCF grow 7.18% → 3.0% )
Revenue Correlation: 66.64 | Revenue CAGR: 41.93%
Rev Growth-of-Growth: 4.34
EPS Correlation: 68.73 | EPS CAGR: 105.6%
EPS Growth-of-Growth: -9.51
Additional Sources for IDCC Stock
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