363.54 USD
+18.49 (+5.36%)
Last: Feb 6, 2026, 11:01 AM
Taking everything into account, IDCC scores 6 out of 10 in our fundamental rating. IDCC was compared to 278 industry peers in the Software industry. IDCC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. IDCC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year IDCC was profitable.
- In the past year IDCC had a positive cash flow from operations.
- IDCC had positive earnings in 4 of the past 5 years.
- IDCC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 23.22%, IDCC belongs to the top of the industry, outperforming 97.12% of the companies in the same industry.
- With an excellent Return On Equity value of 45.16%, IDCC belongs to the best of the industry, outperforming 95.32% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 36.86%, IDCC belongs to the top of the industry, outperforming 98.20% of the companies in the same industry.
- IDCC had an Average Return On Invested Capital over the past 3 years of 21.38%. This is significantly above the industry average of 10.78%.
- The last Return On Invested Capital (36.86%) for IDCC is above the 3 year average (21.38%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.22% | ||
| ROE | 45.16% | ||
| ROIC | 36.86% |
ROA(3y)12.19%
ROA(5y)8.55%
ROE(3y)30.52%
ROE(5y)20.96%
ROIC(3y)21.38%
ROIC(5y)14.92%
1.3 Margins
- Looking at the Profit Margin, with a value of 53.50%, IDCC belongs to the top of the industry, outperforming 93.88% of the companies in the same industry.
- In the last couple of years the Profit Margin of IDCC has grown nicely.
- IDCC has a better Operating Margin (61.99%) than 97.48% of its industry peers.
- IDCC's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 61.99% | ||
| PM (TTM) | 53.5% | ||
| GM | N/A |
OM growth 3Y29.51%
OM growth 5Y33.68%
PM growth 3Y47%
PM growth 5Y44.5%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IDCC is creating value.
- IDCC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 8.21 indicates that IDCC is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 8.21, IDCC belongs to the top of the industry, outperforming 89.57% of the companies in the same industry.
- The Debt to FCF ratio of IDCC is 0.80, which is an excellent value as it means it would take IDCC, only 0.80 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of IDCC (0.80) is better than 76.62% of its industry peers.
- A Debt/Equity ratio of 0.02 indicates that IDCC is not too dependend on debt financing.
- The Debt to Equity ratio of IDCC (0.02) is better than 63.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | 8.21 |
ROIC/WACC3.35
WACC10.99%
2.3 Liquidity
- IDCC has a Current Ratio of 1.89. This is a normal value and indicates that IDCC is financially healthy and should not expect problems in meeting its short term obligations.
- IDCC has a Current ratio (1.89) which is comparable to the rest of the industry.
- A Quick Ratio of 1.89 indicates that IDCC should not have too much problems paying its short term obligations.
- IDCC's Quick ratio of 1.89 is in line compared to the rest of the industry. IDCC outperforms 57.19% of its industry peers.
- The current and quick ratio evaluation for IDCC is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.73% over the past year.
- The Earnings Per Share has been growing by 54.92% on average over the past years. This is a very strong growth
EPS 1Y (TTM)6.73%
EPS 3Y54.42%
EPS 5Y54.92%
EPS Q2Q%-48.17%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-37.41%
3.2 Future
- Based on estimates for the next years, IDCC will show a very negative growth in Earnings Per Share. The EPS will decrease by -17.89% on average per year.
- The Revenue is expected to decrease by -5.59% on average over the next years.
EPS Next Y-46.34%
EPS Next 2Y-17.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-16.14%
Revenue Next 2Y-5.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 28.29, IDCC can be considered very expensive at the moment.
- IDCC's Price/Earnings ratio is a bit cheaper when compared to the industry. IDCC is cheaper than 60.43% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.67. IDCC is around the same levels.
- Based on the Price/Forward Earnings ratio of 52.72, the valuation of IDCC can be described as expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as IDCC.
- The average S&P500 Price/Forward Earnings ratio is at 27.20. IDCC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.29 | ||
| Fwd PE | 52.72 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, IDCC is valued cheaper than 84.17% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, IDCC is valued cheaply inside the industry as 81.30% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.85 | ||
| EV/EBITDA | 11.78 |
4.3 Compensation for Growth
- IDCC has an outstanding profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as IDCC's earnings are expected to decrease with -17.89% in the coming years.
PEG (NY)N/A
PEG (5Y)0.52
EPS Next 2Y-17.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- IDCC has a yearly dividend return of 0.89%, which is pretty low.
- IDCC's Dividend Yield is rather good when compared to the industry average which is at 0.56. IDCC pays more dividend than 91.01% of the companies in the same industry.
- With a Dividend Yield of 0.89, IDCC pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
5.2 History
- The dividend of IDCC has a limited annual growth rate of 3.26%.
- IDCC has been paying a dividend for at least 10 years, so it has a reliable track record.
- IDCC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.26%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
- IDCC pays out 10.87% of its income as dividend. This is a sustainable payout ratio.
DP10.87%
EPS Next 2Y-17.89%
EPS Next 3YN/A
NASDAQ:IDCC (2/6/2026, 11:01:34 AM)
363.54
+18.49 (+5.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-05 2026-02-05/bmo
Earnings (Next)04-29 2026-04-29
Inst Owners105.44%
Inst Owner Change0.38%
Ins Owners1.26%
Ins Owner Change-5.4%
Market Cap9.36B
Revenue(TTM)N/A
Net Income(TTM)496.78M
Analysts83.33
Price Target411.95 (13.32%)
Short Float %12.44%
Short Ratio11.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
Yearly Dividend1.63
Dividend Growth(5Y)3.26%
DP10.87%
Div Incr Years2
Div Non Decr Years11
Ex-Date01-14 2026-01-14 (0.7)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)57.43%
Min EPS beat(2)23.67%
Max EPS beat(2)91.19%
EPS beat(4)3
Avg EPS beat(4)31.34%
Min EPS beat(4)-2.73%
Max EPS beat(4)91.19%
EPS beat(8)7
Avg EPS beat(8)202.96%
EPS beat(12)11
Avg EPS beat(12)192.03%
EPS beat(16)14
Avg EPS beat(16)158.4%
Revenue beat(2)2
Avg Revenue beat(2)39.3%
Min Revenue beat(2)5.28%
Max Revenue beat(2)73.32%
Revenue beat(4)4
Avg Revenue beat(4)20.16%
Min Revenue beat(4)0.55%
Max Revenue beat(4)73.32%
Revenue beat(8)7
Avg Revenue beat(8)29.25%
Revenue beat(12)10
Avg Revenue beat(12)30.94%
Revenue beat(16)14
Avg Revenue beat(16)24.02%
PT rev (1m)0%
PT rev (3m)13.49%
EPS NQ rev (1m)-11.6%
EPS NQ rev (3m)-32.66%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.25%
Revenue NQ rev (1m)-3.2%
Revenue NQ rev (3m)-7.74%
Revenue NY rev (1m)-0.6%
Revenue NY rev (3m)-0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.29 | ||
| Fwd PE | 52.72 | ||
| P/S | 10.08 | ||
| P/FCF | 15.85 | ||
| P/OCF | 13.9 | ||
| P/B | 8.51 | ||
| P/tB | 12.25 | ||
| EV/EBITDA | 11.78 |
EPS(TTM)12.85
EY3.53%
EPS(NY)6.9
Fwd EY1.9%
FCF(TTM)22.93
FCFY6.31%
OCF(TTM)26.15
OCFY7.19%
SpS36.08
BVpS42.73
TBVpS29.66
PEG (NY)N/A
PEG (5Y)0.52
Graham Number111.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.22% | ||
| ROE | 45.16% | ||
| ROCE | 42.5% | ||
| ROIC | 36.86% | ||
| ROICexc | 547.1% | ||
| ROICexgc | N/A | ||
| OM | 61.99% | ||
| PM (TTM) | 53.5% | ||
| GM | N/A | ||
| FCFM | 63.57% |
ROA(3y)12.19%
ROA(5y)8.55%
ROE(3y)30.52%
ROE(5y)20.96%
ROIC(3y)21.38%
ROIC(5y)14.92%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)24.65%
ROCE(5y)17.2%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y29.51%
OM growth 5Y33.68%
PM growth 3Y47%
PM growth 5Y44.5%
GM growth 3YN/A
GM growth 5YN/A
F-Score9
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.8 | ||
| Debt/EBITDA | 0.03 | ||
| Cap/Depr | 110.08% | ||
| Cap/Sales | 8.92% | ||
| Interest Coverage | 35.75 | ||
| Cash Conversion | 103.42% | ||
| Profit Quality | 118.82% | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 8.21 |
F-Score9
WACC10.99%
ROIC/WACC3.35
Cap/Depr(3y)67.3%
Cap/Depr(5y)60.65%
Cap/Sales(3y)8.24%
Cap/Sales(5y)9.11%
Profit Quality(3y)132.23%
Profit Quality(5y)166.71%
High Growth Momentum
Growth
EPS 1Y (TTM)6.73%
EPS 3Y54.42%
EPS 5Y54.92%
EPS Q2Q%-48.17%
EPS Next Y-46.34%
EPS Next 2Y-17.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-37.41%
Revenue Next Year-16.14%
Revenue Next 2Y-5.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y90.4%
EBIT growth 3Y64.3%
EBIT growth 5Y63.34%
EBIT Next Year30.45%
EBIT Next 3Y-0.09%
EBIT Next 5YN/A
FCF growth 1Y7.15%
FCF growth 3Y31.31%
FCF growth 5Y32.33%
OCF growth 1Y13.35%
OCF growth 3Y27.7%
OCF growth 5Y24.88%
INTERDIGITAL INC / IDCC FAQ
What is the fundamental rating for IDCC stock?
ChartMill assigns a fundamental rating of 7 / 10 to IDCC.
Can you provide the valuation status for INTERDIGITAL INC?
ChartMill assigns a valuation rating of 4 / 10 to INTERDIGITAL INC (IDCC). This can be considered as Fairly Valued.
What is the profitability of IDCC stock?
INTERDIGITAL INC (IDCC) has a profitability rating of 8 / 10.
How financially healthy is INTERDIGITAL INC?
The financial health rating of INTERDIGITAL INC (IDCC) is 8 / 10.
How sustainable is the dividend of INTERDIGITAL INC (IDCC) stock?
The dividend rating of INTERDIGITAL INC (IDCC) is 5 / 10 and the dividend payout ratio is 10.87%.