We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
InterDigital (IDCC) Stock Sinks As Market Gains: What You Should Know
Read MoreHide Full Article
InterDigital (IDCC - Free Report) closed the latest trading day at $102.48, indicating a -0.5% change from the previous session's end. This change lagged the S&P 500's 0.82% gain on the day. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq increased by 0.95%.
The wireless research and development company's shares have seen a decrease of 1.79% over the last month, not keeping up with the Computer and Technology sector's gain of 10.9% and the S&P 500's gain of 5.59%.
The investment community will be paying close attention to the earnings performance of InterDigital in its upcoming release. The company is slated to reveal its earnings on February 15, 2024. 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. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $104.31 million, down 10.89% from the year-ago period.
Investors might also notice recent changes to analyst estimates for InterDigital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. At present, InterDigital boasts a Zacks Rank of #2 (Buy).
In terms of valuation, InterDigital is currently trading at a Forward P/E ratio of 16.04. This indicates a premium in contrast to its industry's Forward P/E of 13.98.
It's also important to note that IDCC currently trades at a PEG ratio of 0.92. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Wireless Equipment industry currently had an average PEG ratio of 1.3 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 103, finds itself in the top 41% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
InterDigital (IDCC) Stock Sinks As Market Gains: What You Should Know
InterDigital (IDCC - Free Report) closed the latest trading day at $102.48, indicating a -0.5% change from the previous session's end. This change lagged the S&P 500's 0.82% gain on the day. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq increased by 0.95%.
The wireless research and development company's shares have seen a decrease of 1.79% over the last month, not keeping up with the Computer and Technology sector's gain of 10.9% and the S&P 500's gain of 5.59%.
The investment community will be paying close attention to the earnings performance of InterDigital in its upcoming release. The company is slated to reveal its earnings on February 15, 2024. 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. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $104.31 million, down 10.89% from the year-ago period.
Investors might also notice recent changes to analyst estimates for InterDigital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. At present, InterDigital boasts a Zacks Rank of #2 (Buy).
In terms of valuation, InterDigital is currently trading at a Forward P/E ratio of 16.04. This indicates a premium in contrast to its industry's Forward P/E of 13.98.
It's also important to note that IDCC currently trades at a PEG ratio of 0.92. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Wireless Equipment industry currently had an average PEG ratio of 1.3 as of yesterday's close.
The Wireless Equipment industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 103, finds itself in the top 41% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.