Iridium Communications (NASDAQ:IRDM) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Iridium Communications (NASDAQ:IRDM) released its quarterly earnings results on Thursday. The technology company reported $0.24 earnings per share for the quarter, beating the consensus estimate of $0.23 by $0.01, Briefing.com reports. The company had revenue of $212.94 million for the quarter, compared to analyst estimates of $219.14 million. Iridium Communications had a return on equity of 24.93% and a net margin of 14.44%.Iridium Communications’s quarterly revenue was up .0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.32 EPS.

Here are the key takeaways from Iridium Communications’ conference call:

• Iridium met its 2025 guidance with service revenue on target, OIBDA up 5% for the year and pro forma free cash flow of about $296M, supporting a growing dividend and continued cash returns to shareholders.
• For 2026 management guides service revenue flat to +2% and lowered OIBDA to $480–$490M after a one-year shift to paying annual incentive compensation fully in cash (a $17M OIBDA headwind), while broadband ARPU pressure from primary-to-companion migrations will depress growth.
• Iridium plans to roll out several new products—Iridium NTN Direct, a new PNT ASIC, Certus GMDSS companion terminals, and a new IoT device—which management says represent more than $200M of revenue opportunity by the end of the decade.
• Iridium is pushing its assured PNT business (Satelles acquisition) as a differentiated growth engine—claiming a PNT signal 1,000x stronger than GPS, an ASIC that gives ~5-year technological lead, and a target of at least $100M annual PNT revenue by 2030 plus potential identity/cybersecurity services.
• Management highlighted the increasing market value of L-/S?band spectrum

Iridium Communications Stock Up 21.3%

Shares of NASDAQ IRDM opened at $22.39 on Friday. Iridium Communications has a 52-week low of $15.65 and a 52-week high of $34.45. The firm has a market capitalization of $2.35 billion, a price-to-earnings ratio of 19.81, a PEG ratio of 1.12 and a beta of 0.61. The stock has a 50 day moving average price of $18.88 and a 200 day moving average price of $19.60. The company has a debt-to-equity ratio of 4.02, a quick ratio of 1.93 and a current ratio of 2.67.

Iridium Communications Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Monday, December 15th were paid a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend was Monday, December 15th. Iridium Communications’s payout ratio is currently 53.10%.

Analysts Set New Price Targets

A number of research firms have weighed in on IRDM. Morgan Stanley reiterated an “equal weight” rating and set a $24.00 price objective (down previously from $37.00) on shares of Iridium Communications in a research report on Friday, January 16th. BWS Financial reiterated a “sell” rating and set a $16.00 price target on shares of Iridium Communications in a report on Friday, October 24th. Finally, Weiss Ratings reissued a “sell (d+)” rating on shares of Iridium Communications in a research report on Thursday, January 22nd. Four research analysts have rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $25.00.

Institutional Investors Weigh In On Iridium Communications

Several hedge funds have recently made changes to their positions in the company. Quantinno Capital Management LP grew its holdings in Iridium Communications by 3.1% during the 2nd quarter. Quantinno Capital Management LP now owns 15,199 shares of the technology company’s stock worth $459,000 after acquiring an additional 461 shares in the last quarter. Bank of Montreal Can lifted its position in shares of Iridium Communications by 8.1% during the 4th quarter. Bank of Montreal Can now owns 15,674 shares of the technology company’s stock worth $272,000 after purchasing an additional 1,170 shares during the last quarter. Steward Partners Investment Advisory LLC grew its stake in shares of Iridium Communications by 62.4% during the fourth quarter. Steward Partners Investment Advisory LLC now owns 3,052 shares of the technology company’s stock worth $53,000 after purchasing an additional 1,173 shares in the last quarter. Larson Financial Group LLC increased its holdings in Iridium Communications by 392.8% in the third quarter. Larson Financial Group LLC now owns 1,508 shares of the technology company’s stock valued at $26,000 after buying an additional 1,202 shares during the last quarter. Finally, Cetera Investment Advisers raised its stake in Iridium Communications by 16.0% in the second quarter. Cetera Investment Advisers now owns 10,106 shares of the technology company’s stock valued at $305,000 after buying an additional 1,392 shares in the last quarter. 84.36% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Iridium Communications

Here are the key news stories impacting Iridium Communications this week:

• Positive Sentiment: Management emphasized a strong cash position and balance-sheet resilience on the call, which investors often view as support for capital allocation, buybacks or dividends. Iridium Communications Balances Cash Strength With Slower 2026
• Positive Sentiment: Q4 EPS of $0.24 came in roughly in line with (or a hair above) consensus, which removed downside surprise risk and gave the stock a lift. Iridium Communications (IRDM) Surpasses Q4 Earnings Estimates
• Positive Sentiment: Analysts/coverage note Iridium’s attractive valuation metrics (low-mid teens P/E, decent ROE), framing the name as a value play that can attract buyers after a cautious guidance release. Here’s Why Iridium Communications (IRDM) is a Strong Value Stock
• Neutral Sentiment: The company published its formal Q4 and full-year 2025 results and provided its 2026 outlook in a press release; the release is the primary source for guidance and financial detail. Iridium Announces 2025 Results; Issues 2026 Outlook
• Neutral Sentiment: Market recaps and the conference-call transcript are available for investors who want line-by-line detail on KPIs and management commentary. Listen to Conference Call
• Neutral Sentiment: Reported short-interest data in the newsfeed appears to show no meaningful short position (0 shares) and is likely a reporting artifact; it shouldn’t be treated as a driver of the move. (No external link — data feed item)
• Negative Sentiment: Management signaled a slower 2026 outlook (growth moderation), which is a headwind for future revenue/earnings momentum and likely weighed on near-term sentiment before buyers stepped in. Iridium Communications Balances Cash Strength With Slower 2026
• Negative Sentiment: Revenue was essentially flat year-over-year and EPS declined versus the prior year, signaling slower operating momentum that could cap multiple expansion absent better forward guidance. Iridium (IRDM) Reports Q4 Earnings: What Key Metrics Have to Say

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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