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InterDigital (IDCC) Stock Dips While Market Gains: Key Facts
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In the latest trading session, InterDigital (IDCC - Free Report) closed at $109.43, marking a -0.9% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.04%. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq lost 0.03%.
The wireless research and development company's shares have seen an increase of 9.42% over the last month, surpassing the Computer and Technology sector's gain of 4.9% and the S&P 500's gain of 5.28%.
The upcoming earnings release of InterDigital will be of great interest to investors. The company is forecasted to report an EPS of $1.21, showcasing a 12.04% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $104.01 million, showing a 11.15% drop compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $8.91 per share and revenue of $548.11 million. These totals would mark changes of +190.23% and +19.73%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for InterDigital. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, InterDigital possesses a Zacks Rank of #1 (Strong Buy).
Investors should also note InterDigital's current valuation metrics, including its Forward P/E ratio of 12.4. Its industry sports an average Forward P/E of 14.41, so one might conclude that InterDigital is trading at a discount comparatively.
One should further note that IDCC currently holds a PEG ratio of 0.71. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. IDCC's industry had an average PEG ratio of 1.29 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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InterDigital (IDCC) Stock Dips While Market Gains: Key Facts
In the latest trading session, InterDigital (IDCC - Free Report) closed at $109.43, marking a -0.9% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.04%. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq lost 0.03%.
The wireless research and development company's shares have seen an increase of 9.42% over the last month, surpassing the Computer and Technology sector's gain of 4.9% and the S&P 500's gain of 5.28%.
The upcoming earnings release of InterDigital will be of great interest to investors. The company is forecasted to report an EPS of $1.21, showcasing a 12.04% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $104.01 million, showing a 11.15% drop compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $8.91 per share and revenue of $548.11 million. These totals would mark changes of +190.23% and +19.73%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for InterDigital. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, InterDigital possesses a Zacks Rank of #1 (Strong Buy).
Investors should also note InterDigital's current valuation metrics, including its Forward P/E ratio of 12.4. Its industry sports an average Forward P/E of 14.41, so one might conclude that InterDigital is trading at a discount comparatively.
One should further note that IDCC currently holds a PEG ratio of 0.71. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. IDCC's industry had an average PEG ratio of 1.29 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.