Is InterDigital Stock a Good Investment?
InterDigital Investment Advice | IDCC |
- Examine InterDigital's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research InterDigital's leadership team and their track record. Good management can help InterDigital navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Communications Equipment space and any emerging trends that could impact InterDigital's business and its evolving consumer preferences.
- Compare InterDigital's performance and market position to its competitors. Analyze how InterDigital is positioned in terms of product offerings, innovation, and market share.
- Check if InterDigital pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about InterDigital's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in InterDigital stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if InterDigital is a good investment.
Sell | Buy |
Hold
Market Performance | Insignificant | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Not Available | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine InterDigital Stock
Researching InterDigital's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.34. InterDigital recorded earning per share (EPS) of 12.64. The entity last dividend was issued on the 9th of April 2025.
To determine if InterDigital is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding InterDigital's research are outlined below:
Over 99.0% of the company shares are owned by institutional investors | |
On 23rd of April 2025 InterDigital paid $ 0.6 per share dividend to its current shareholders |
InterDigital uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in InterDigital. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to InterDigital's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
15th of February 2024 Upcoming Quarterly Report | View | |
2nd of May 2024 Next Financial Report | View | |
31st of December 2023 Next Fiscal Quarter End | View | |
15th of February 2024 Next Fiscal Year End | View | |
30th of September 2023 Last Quarter Report | View | |
31st of December 2022 Last Financial Announcement | View |
InterDigital's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 5.52 B.InterDigital's profitablity analysis
The company has Profit Margin (PM) of 0.48 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.63 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.63.Determining InterDigital's profitability involves analyzing its financial statements and using various financial metrics to determine if InterDigital is a good buy. For example, gross profit margin measures InterDigital's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of InterDigital's profitability and make more informed investment decisions.
Please note, the presentation of InterDigital's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, InterDigital's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of InterDigital's management manipulating its earnings.
Basic technical analysis of InterDigital Stock
As of the 8th of May, InterDigital retains the Downside Deviation of 2.17, market risk adjusted performance of 0.0352, and Risk Adjusted Performance of 0.0288. InterDigital technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices.InterDigital's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific InterDigital insiders, such as employees or executives, is commonly permitted as long as it does not rely on InterDigital's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases InterDigital insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
InterDigital's Outstanding Corporate Bonds
InterDigital issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. InterDigital uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most InterDigital bonds can be classified according to their maturity, which is the date when InterDigital has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAH73 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAK03 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAJ30 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAL85 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAN42 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAD69 | View | |
INTERCONTINENTAL EXCHANGE INC Corp BondUS45866FAF18 | View | |
US458665AS53 Corp BondUS458665AS53 | View |
Understand InterDigital's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing InterDigital's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
Risk Adjusted Performance | 0.0288 | |||
Market Risk Adjusted Performance | 0.0352 | |||
Mean Deviation | 1.68 | |||
Semi Deviation | 2.12 | |||
Downside Deviation | 2.17 | |||
Coefficient Of Variation | 6358.41 | |||
Standard Deviation | 2.28 | |||
Variance | 5.21 | |||
Information Ratio | 0.0612 | |||
Jensen Alpha | 0.1428 | |||
Total Risk Alpha | 0.1828 | |||
Sortino Ratio | 0.0644 | |||
Treynor Ratio | 0.0252 | |||
Maximum Drawdown | 12.62 | |||
Value At Risk | (3.41) | |||
Potential Upside | 3.07 | |||
Downside Variance | 4.7 | |||
Semi Variance | 4.52 | |||
Expected Short fall | (1.74) | |||
Skewness | 0.6731 | |||
Kurtosis | 2.31 |
Risk Adjusted Performance | 0.0288 | |||
Market Risk Adjusted Performance | 0.0352 | |||
Mean Deviation | 1.68 | |||
Semi Deviation | 2.12 | |||
Downside Deviation | 2.17 | |||
Coefficient Of Variation | 6358.41 | |||
Standard Deviation | 2.28 | |||
Variance | 5.21 | |||
Information Ratio | 0.0612 | |||
Jensen Alpha | 0.1428 | |||
Total Risk Alpha | 0.1828 | |||
Sortino Ratio | 0.0644 | |||
Treynor Ratio | 0.0252 | |||
Maximum Drawdown | 12.62 | |||
Value At Risk | (3.41) | |||
Potential Upside | 3.07 | |||
Downside Variance | 4.7 | |||
Semi Variance | 4.52 | |||
Expected Short fall | (1.74) | |||
Skewness | 0.6731 | |||
Kurtosis | 2.31 |
Consider InterDigital's intraday indicators
InterDigital intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of InterDigital stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Accumulation Distribution | 10224.79 | |||
Daily Balance Of Power | (0.26) | |||
Rate Of Daily Change | 0.99 | |||
Day Median Price | 213.97 | |||
Day Typical Price | 213.49 | |||
Price Action Indicator | (2.34) | |||
Period Momentum Indicator | (1.80) |
InterDigital Stock media impact
There is far too much social signal, news, headlines, and media speculation about InterDigital that are available to investors today. This information is accessible both publicly - through InterDigital's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of InterDigital-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.
A primary focus of InterDigital news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of InterDigital relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to InterDigital's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive InterDigital alpha.
InterDigital Corporate Management
James Nolan | Executive VP of Interdigital Solutions | Profile | |
Eeva Hakoranta | Executive Officer | Profile | |
Joshua Schmidt | Chief VP | Profile | |
Eric Cohen | Chief Development Officer | Profile | |
Ken Kaskoun | Executive Officer | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in InterDigital. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators. For information on how to trade InterDigital Stock refer to our How to Trade InterDigital Stock guide.You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Is Communications Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of InterDigital. If investors know InterDigital will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about InterDigital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of InterDigital is measured differently than its book value, which is the value of InterDigital that is recorded on the company's balance sheet. Investors also form their own opinion of InterDigital's value that differs from its market value or its book value, called intrinsic value, which is InterDigital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because InterDigital's market value can be influenced by many factors that don't directly affect InterDigital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between InterDigital's value and its price, as these two are different measures arrived at by various means. Investors typically determine if InterDigital is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, InterDigital's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.