InterDigital, Inc. (IDCC) Stock

InterDigital, Inc. (IDCC) is a Financials stock trading at $258.22 (as of 2026-07-24), with a market capitalization of $6.67B and a trailing P/E of 15.2. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

InterDigital designs and develops wireless communications technologies used in digital cellular and wireless products and networks, including 2G through 5G and IEEE 802-related systems. It supports cellular and 3GPP technology areas, including video coding and AI R&D, with applications ranging from mobile devices to wireless infrastructure equipment.

Understand InterDigital, Inc.: how it makes money

InterDigital designs and develops wireless communications technologies for digital cellular and wireless products and networks, and makes money by licensing and recognizing revenue tied to those technology portfolios and related agreements.

The profit model is driven by converting technology licensing into Annualized Recurring Revenue, with additional revenue swings from contract recognition and arbitration-related catch-up items (for example, Apple license agreement recognition and Samsung arbitration catch-up).

Business quality (Exceptional): Technology licensing focus is clear, and the operational KPIs highlight Annualized Recurring Revenue plus smartphone-related recurring revenue, but this view depends on agreement timing (for example, Apple contract recognition and Samsung arbitration catch-up), and the provided facts do not include a clean, official segment revenue breakdown.

Valuation: At 28× earnings, IDCC trades 16% below the Trading average (34×). Note: one-time items can distort reported P/E.

Bull case

Recurring revenue is explicitly tracked: Investors can monitor Annualized Recurring Revenue (USD_B 0.57) and Smartphone Annualized Recurring Revenue (USD_B 0.49), which suggests management frames performance around repeatable licensing economics.
Smartphone and major agreement items show up in the mix: The latest-quarter revenue picture references a Smartphone Program Revenue (USD_B 0.12) and Annual Contract Revenue Recognition from Apple License Agreement (USD_B 0.13), indicating meaningful exposure to large customer licensing arrangements.

Bear case

Revenue can be influenced by one-time or timing-related items: The provided breakdown includes Catch-Up Revenue (USD_B 0.06) and Catch-Up Revenue from Samsung Arbitration Award (USD_B 0.12), which can create quarter-to-quarter variability around licensing agreement milestones and dispute outcomes.
Total revenue is small relative to specific drivers: Total Revenue is shown as USD_B 0.2, while multiple specific licensing-related contributions are also highlighted (for example, Apple contract recognition, Samsung arbitration catch-up, and consumer electronics and IoT catch-up), raising the risk that changes in a few agreements can materially affect results.

Valuation — source: SEC EDGAR (first-party)
Price	$258.22
Market Cap	$6.67B
P/E Ratio	15.2
EV / EBITDA	10.3
Price / Book	6.04
Price / Sales	7.57
FCF Yield	7.7%
DCF Value (model)	$358.66
DCF Upside vs Price	38.9%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$834.01M
Net Margin	48.8%
Revenue Growth (YoY)	-4.0%
EPS Growth (YoY)	11.4%
FCF Growth (YoY)	98.9%

Financial Health — source: SEC EDGAR
Altman Z-Score	7.08 (safe)

Valuation vs Sector & Industry
Stock P/E	15.2
Sector P/E (Financials)	15.4
Industry P/E (Trading)	34.8
vs Sector	-1.2%
vs Industry	-56.3%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	BlackRock, Inc. ($1.09B)
Institutional Holders Tracked	10

Company
Sector	Financials
Industry	Trading
CEO	Lawrence Chen
Employees	430
Country	US
IPO Date	1981-11-12

Related Companies (Trading (FF48 industry); 8 closest by market cap; US-domiciled)

Data as of 2026-07-24.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.