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IDCC

InterDigital, Inc.
$326.78
+1.36% 2026-10-20
Information TechnologyS&P 400
-32%-20%-7%+5%+17%Oct 2025Apr 2026Oct 2026
IDCCSPY
1W
-1.6%
1M
+1.4%
3M
+23.9%
6M
-12.5%
YTD
+3.6%
1Y
-11.1%

Live chart

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What they do

InterDigital, Inc. operates as a global research and development company focuses 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. It designs and develops a range of innovations for use in digital cellular and wireless products and networks.

Technology · Software - Application

Grades vs sector

Momentum
31st pct in sector
D+
12-1 return: -9.3%
Percentile within its GICS sector across the S&P 1500.
Growth
3rd pct in sector
F
Revenue growth (YoY): -13.4%
Percentile within its GICS sector across the S&P 1500.
Value
38th pct in sector
C-
Forward E/P: 3.5% · EBITDA/EV: 5.6%
Percentile within its GICS sector across the S&P 1500.
Profitability
84th pct in sector
A-
Profit margin: +38.3% · Return on equity: +26.4%
Percentile within its GICS sector across the S&P 1500.
Revisions
Not enough data yet
–
EPS estimate change, 30 days (current FY): –
30-day change in analysts' current-year EPS estimate; graded across covered stocks.

Our models

Not held by any of our 5 live models right now.

Quality Growth
not ranked (outside this model's universe or screens)
Momentum Top 15
not ranked (outside this model's universe or screens)
Momentum Blend
not in the current book
New Highs Growth
not ranked (outside this model's universe or screens)
Conviction 20
not in the current book

News

More news
Can Slightly Higher Consulting Revenues Aid IBM's Q3 Earnings?
Zacks · Oct 16
Can Healthy Increase in Software Revenues Benefit IBM's Q3 Earnings?
Zacks · Oct 16
InterDigital Announces Date for Third Quarter 2026 Financial Results
GlobeNewswire · Oct 13
New Research Reveals HDR is Foundational to Premium Video
GlobeNewswire · Oct 13
Interdigital Insider Sold Shares Worth $501,480, According to a Recent SEC Filing
MT Newswires · Oct 06

Key stats

Market cap$8.4B
P/E (trailing)38.2
P/E (forward)29.0
52-week range249.14 – 412.60
Revenue growth (YoY, latest qtr)-13.4%
Dividend yield0.93%
Analyst consensusStrong Buy (3)
Mean price target$462.67 (+42%)
Valuation and fundamentals

Valuation & fundamentals

Bottom line
Roughly fairly valued
Model read-out from the numbers below, not advice. Score +0 (DCF counts double).
•DCF (base case)below the price by 8%
▼Forward P/E vs sector29.0x vs median 16.9x
•Piotroski F-score6/9
▲Altman Z7.8 (safe)
▲Net debt / EBITDA-1.6x
▲Analyst target+42% (3 analysts)

Discounted cash flow

Bear
$211
-35%
growth -1% · disc. 12.3% · term. 2.0%
Base
$301
-8%
growth 4% · disc. 11.3% · term. 2.5%
Bull
$410
+25%
growth 7% · disc. 10.3% · term. 3.0%

A DCF starts from trailing free cash flow, so it can overstate value if the last 12 months were unusually strong (or weak). Use the bear case or edit the starting cash flow if so.

Reverse DCFfor context, not a signal
Today's price assumes free cash flow grows about 5% a year for 10 years.
Implied
+5%/yr
FCF, last 3 yrs
+23%/yr
FCF, last 5 yrs
+28%/yr
Revenue, last 3 yrs
+22%/yr
Revenue, last 5 yrs
+18%/yr
Same inputs as the DCF above: trailing free cash flow 0.6B, 11.3% discount rate, 2.5% growth after year 10, net cash and today's share count. Actual growth rates are compound annual rates from SEC annual filings through FY2025; "n/a" means too little history or a negative starting year.
Edit assumptions · recalculates instantly
Your value per share–

Free cash flow = operating cash flow − capital spending, trailing 12 months (TTM to 2026-06-30). Growth default: average of 3-year revenue CAGR and latest revenue growth, capped at 30%. Years 6–10 fade linearly to terminal growth. Discount rate = 4.25% risk-free assumption + beta 1.42 × 5% equity premium, kept within 7–13%. Bear: lower growth, +1 pt discount, 2% terminal. Bull: higher growth, −1 pt, 3%.

Multiples vs Information Technology

P/E (trailing)
sector median 35.9× · 52nd pct
38.2×
pricier
Forward P/E
sector median 16.9× · 84th pct
29.0×
pricier
EV / EBITDA
sector median 20.8× · 45th pct
18.3×
cheaper
Price / sales
sector median 4.6× · 80th pct
10.7×
pricier
Price / book
sector median 5.1× · 66th pct
7.0×
pricier
FCF yield
sector median 3.5% · 78th pct
6.6%
cheaper

Forward EPS $11.27 vs trailing $8.56 (+32% expected growth). Forward P/E uses analysts' next-12-month estimate.

Backlog (remaining performance obligations)

RPO
$2.1B
as of 2026-06-30
vs a year ago
+10%
YoY
× TTM revenue
2.68×
coverage
24-09
24-12
25-03
25-06
25-09
25-12
26-03
26-06

Contracted revenue not yet recognized, from SEC filings (XBRL tag RevenueRemainingPerformanceObligation).

Quality & financial health

Gross margin
–
Operating margin
43.8%
FCF margin
70.3%
Net margin
38.3%
Return on equity
25.1%
Return on invested capital
56.3%
Net debt / EBITDA
-1.6×
Current ratio
1.7×
Interest cover
9.0×
Cash conversion (OCF/NI)
1.8×
Piotroski F-score 6/9 · last two fiscal years
✓ Positive net income✓ Positive operating cash flow✓ Return on assets improved✓ Cash flow above net income✓ Long-term debt / assets fell✓ Current ratio improved✗ No share dilution✗ Gross margin improved✗ Asset turnover improved

Altman Z-score 7.8 (safe zone; above 3.0 = safe, below 1.8 = distress). Not meaningful for banks and insurers.

Analysts

Mean target
$463
+42%
Analysts
3
Strong Buy
Range
$425–$488
low – high
● price · ◆ mean target

Annual history

FYRevenueNet incomeFree cash flow
2025$834.0M$406.6M$528.6M
2024$868.5M$358.6M$265.7M
2023$549.6M$214.1M$209.5M
2022$457.8M$93.7M$282.9M
2021$425.4M$55.3M$127.9M
2020$359.0M$44.8M$151.7M

From the company's 10-K filings via SEC XBRL. 3-year revenue CAGR +22.1%.

Earnings

Next report: 2026-10-29 · before open · EPS est 2.00
24-1025-0225-0525-0725-1026-0226-0426-070.006.52
EstimateActual (beat)Actual (miss)
ReportEPS estActualSurprise
2026-07-301.534.62+203.0%
2026-04-302.522.57+2.2%
2026-02-051.782.12+19.3%
2025-10-302.052.55+24.2%
2025-07-313.386.52+93.0%
2025-05-013.794.21+11.1%
2025-02-065.365.15-4.0%
2024-10-310.771.63+111.7%

Quarterly revenue

QuarterRevenueYoY
2026-06-30$260.2M-13.4%
2026-03-31$205.4M–
2025-12-31$158.2M–
2025-09-30$164.7M–
2025-06-30$300.6M–
Analyst actions
Jefferies
2025-10-30 · main
Buy → Buy
PT $475
Jefferies
2025-10-27 · up
Hold → Buy
PT $450
Roth Capital
2025-09-12 · main
Buy → Buy
PT $350
Roth MKM
2024-09-11 · main
Buy → Buy
PT $160
Jefferies
2024-05-13 · down
Buy → Hold
PT $100
B of A Securities
2024-04-01 · down
Buy → Underperform
PT $100

Recent dividends

2026-10-14: $0.750 · 2026-07-08: $0.700 · 2026-04-08: $0.700 · 2026-01-14: $0.700 · 2025-10-08: $0.700 · 2025-07-09: $0.600 · 2025-04-09: $0.600 · 2025-01-08: $0.450
Insider trades
Pankaj Rajesh
Chief Technology Officer · 2026-10-05
SELL
$501.5K
Pankaj Rajesh
Chief Technology Officer · 2026-09-08
SELL
$507.0K
Gillman Joan H
Director · 2026-08-07
SELL
$99.3K
Pankaj Rajesh
Chief Technology Officer · 2026-08-05
SELL
$487.3K
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Stats refreshed 2026-10-20 18:02:46 ET from Yahoo Finance (yfinance). "–" means the data isn't available. Refresh now

coteau

Coteau Systematic Strategies publishes stock research and model portfolios. It doesn't manage money or give investment advice. Results are hypothetical unless marked Live. Data: Yahoo Finance (delayed) and SEC EDGAR.