InterDigital (NASDAQ:IDCC) Shares Cross Above Two Hundred Day Moving Average – What’s Next?

InterDigital, Inc. (NASDAQ:IDCC) passed above its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of $307.56 and traded as high as $333.82. InterDigital shares last traded at $327.14, with a volume of 113,013 shares changing hands.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on IDCC shares. Zacks Research upgraded shares of InterDigital from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 30th. Weiss Ratings upgraded InterDigital from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Friday, September 18th. One equities research analyst has rated the stock with a Strong Buy rating and three have issued a Buy rating to the company’s stock. Based on data from MarketBeat.com, InterDigital has a consensus rating of “Buy” and a consensus price target of $450.00.

InterDigital Trading Up 1.2%

The company has a market capitalization of $8.47 billion, a PE ratio of 37.90 and a beta of 1.43. The company has a fifty day simple moving average of $325.04 and a 200-day simple moving average of $307.25. The company has a current ratio of 1.74, a quick ratio of 1.74 and a debt-to-equity ratio of 0.01.

InterDigital (NASDAQ:IDCC) last posted its quarterly earnings results on Thursday, July 30th. The Wireless communications provider reported $4.62 EPS for the quarter, topping the consensus estimate of $0.90 by $3.72. The business had revenue of $260.17 million for the quarter, compared to analyst estimates of $143.10 million. InterDigital had a return on equity of 28.17% and a net margin of 38.32%.The company’s quarterly revenue was down 13.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $6.52 EPS. InterDigital has set its FY 2026 guidance at 10.850-12.810 EPS and its Q3 2026 guidance at 1.940-2.130 EPS. Analysts predict that InterDigital, Inc. will post 9.52 EPS for the current year.

InterDigital Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 28th. Shareholders of record on Wednesday, October 14th will be given a $0.75 dividend. The ex-dividend date of this dividend is Wednesday, October 14th. This represents a $3.00 annualized dividend and a yield of 0.9%. This is an increase from InterDigital’s previous quarterly dividend of $0.70. InterDigital’s dividend payout ratio is presently 34.60%.

Insider Buying and Selling

In other InterDigital news, Director Joan H. Gillman sold 300 shares of InterDigital stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $331.06, for a total transaction of $99,318.00. Following the completion of the sale, the director directly owned 22,736 shares of the company’s stock, valued at $7,526,980.16. The trade was a 1.30% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Rajesh Pankaj sold 1,500 shares of the stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $338.00, for a total transaction of $507,000.00. Following the completion of the transaction, the chief technology officer directly owned 65,016 shares in the company, valued at $21,975,408. This trade represents a 2.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 4,800 shares of company stock worth $1,522,638. 3.50% of the stock is owned by company insiders.

Institutional Trading of InterDigital

A number of hedge funds have recently added to or reduced their stakes in IDCC. Geode Capital Management LLC boosted its holdings in InterDigital by 18.6% in the 4th quarter. Geode Capital Management LLC now owns 787,546 shares of the Wireless communications provider’s stock valued at $251,250,000 after purchasing an additional 123,686 shares in the last quarter. Reinhart Partners LLC. boosted its stake in shares of InterDigital by 9.0% in the second quarter. Reinhart Partners LLC. now owns 460,404 shares of the Wireless communications provider’s stock valued at $130,359,000 after buying an additional 38,115 shares in the last quarter. Norges Bank acquired a new position in InterDigital during the fourth quarter worth $128,918,000. Bank of America Corp DE grew its holdings in InterDigital by 31.3% during the first quarter. Bank of America Corp DE now owns 266,724 shares of the Wireless communications provider’s stock worth $80,551,000 after acquiring an additional 63,524 shares during the period. Finally, Arrowstreet Capital Limited Partnership raised its position in InterDigital by 135.7% in the first quarter. Arrowstreet Capital Limited Partnership now owns 219,388 shares of the Wireless communications provider’s stock worth $66,255,000 after acquiring an additional 126,328 shares in the last quarter. 99.83% of the stock is owned by institutional investors and hedge funds.

About InterDigital

InterDigital, Inc is a research and development company that designs and develops advanced wireless, video and related technologies. Its work supports cellular communications, including 2G, 3G, 4G and 5G networks, as well as Wi-Fi, video coding, artificial intelligence and other connected-device applications. The company’s technologies are incorporated into mobile phones, network equipment, consumer electronics and other wireless products.

InterDigital primarily commercializes its innovations through a patent-licensing business.