InterDigital, Inc. CEO Sells Shares Worth Over $1.15 Million

InterDigital, Inc. (NASDAQ:IDCC) has made headlines as its CEO, Lawrence Liren Chen, sold 5,891 shares of the company’s stock on December 18th. The shares were sold at an average price of $195.34 each, culminating in a total transaction valued at $1,150,747.94. Following this transaction, Chen's direct ownership of InterDigital shares has decreased to 164,543. These remaining shares hold an approximate value of $32,141,829.62. This recent sale reflects a 3.46% reduction in Chen's total stake in the company. The transaction was filed with the Securities and Exchange Commission (SEC) and is available for public viewing.

InterDigital Stock Performance

On Friday, shares of InterDigital opened at $189.43. The company's financial indicators show a current ratio of 1.62 and a quick ratio of 1.62, with a very low debt-to-equity ratio of 0.03. Over the last fifty days, the stock's moving average has been noted at $177.46, while the two-hundred day moving average sits at $145.93. InterDigital's stock has experienced a twelve-month low of $95.33 and a high of $203.90. Its current market capitalization stands at $4.80 billion, with a price-to-earnings (PE) ratio of 20.24 and a P/E/G ratio of 0.81. Furthermore, the stock has a beta of 1.44, indicating its volatility compared to the market.

Dividend Announcement

In addition to the recent sale of stock, InterDigital has declared a quarterly dividend. The payment is scheduled for January 22nd, with shareholders of record as of January 8th eligible to receive a dividend of $0.45. This amounts to an annualized dividend of $1.80, reflecting a yield of 0.95%. The ex-dividend date aligns with the record date set for January 8th. With a payout ratio of 19.23%, the company maintains a focus on returning value to its shareholders.

Analyst Insights on InterDigital

Recently, several analysts have shared their perspectives on IDCC shares. StockNews.com notably downgraded the company's rating from 'buy' to 'hold' on November 4th. In contrast, Roth MKM raised its price target on InterDigital shares from $146.00 to $160.00, reaffirming a 'buy' rating on September 11th. Such changes in analyst sentiment indicate the evolving outlook on the company's stock.

Institutional Ownership Activities

InterDigital has seen considerable activity from institutional investors recently. In the third quarter, Transcendent Capital Group LLC made a new purchase valued at approximately $25,000. Similarly, V Square Quantitative Management LLC acquired a stake around $26,000 during the same quarter. Additionally, 1620 Investment Advisors Inc. secured a new position valued at about $29,000 in the second quarter. Nisa Investment Advisors LLC has also increased its stake by 38.0%, now holding 396 shares valued at $46,000 after adding 109 more shares. GAMMA Investing LLC also raised its holdings by 81.3% in the third quarter. Collectively, hedge funds and institutional investors currently own about 99.83% of InterDigital’s stock.

Company Overview

InterDigital, Inc. operates as a global research and development firm with a focus on wireless technology, visual technology, artificial intelligence (AI), and related fields. The company is involved in designing and developing technologies that connect various communications and entertainment products. Its innovations are licensed to numerous companies, including those in wireless communication, consumer electronics, Internet of Things (IoT) devices, automotive manufacturing, and cloud-based service providers like video streaming platforms.

CEO, Shares, Transaction