Iridium Communications (NASDAQ:IRDM) Announces Earnings Results

Iridium Communications (NASDAQ:IRDM) announced its quarterly earnings results on Thursday. The technology company reported $0.24 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.24, Briefing.com reports. Iridium Communications had a return on equity of 24.93% and a net margin of 14.44%.During the same quarter in the prior year, the business posted $0.32 earnings per share. Iridium Communications’s revenue for the quarter was up .0% compared to the same quarter last year.

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 Performance

NASDAQ:IRDM traded up $3.34 during midday trading on Thursday, reaching $21.80. The stock had a trading volume of 4,188,750 shares, compared to its average volume of 2,308,570. The company has a quick ratio of 1.93, a current ratio of 2.67 and a debt-to-equity ratio of 4.02. The stock has a market cap of $2.28 billion, a P/E ratio of 19.27, a P/E/G ratio of 1.23 and a beta of 0.61. The firm has a fifty day simple moving average of $18.79 and a two-hundred day simple moving average of $19.58. Iridium Communications has a 12-month low of $15.65 and a 12-month high of $34.45.

Iridium Communications Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Investors of record on Monday, December 15th were issued a dividend of $0.15 per share. The ex-dividend date of this dividend was Monday, December 15th. This represents a $0.60 annualized dividend and a dividend yield of 2.8%. Iridium Communications’s dividend payout ratio (DPR) is currently 53.10%.

Analyst Ratings Changes

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

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in IRDM. Larson Financial Group LLC boosted its holdings in Iridium Communications by 392.8% in the 3rd quarter. Larson Financial Group LLC now owns 1,508 shares of the technology company’s stock valued at $26,000 after purchasing an additional 1,202 shares in the last quarter. CIBC Private Wealth Group LLC purchased a new position in shares of Iridium Communications during the 3rd quarter worth approximately $32,000. Advisory Services Network LLC acquired a new stake in shares of Iridium Communications in the 3rd quarter valued at approximately $48,000. Steward Partners Investment Advisory LLC boosted its stake in shares of Iridium Communications by 62.4% in the fourth quarter. Steward Partners Investment Advisory LLC now owns 3,052 shares of the technology company’s stock valued at $53,000 after buying an additional 1,173 shares in the last quarter. Finally, PNC Financial Services Group Inc. boosted its stake in shares of Iridium Communications by 64.3% in the fourth quarter. PNC Financial Services Group Inc. now owns 4,568 shares of the technology company’s stock valued at $79,000 after buying an additional 1,787 shares in the last quarter. 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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