InterDigital, Inc. CEO Sells Over $1 Million in Stock

InterDigital, Inc. (NASDAQ:IDCC) recently experienced noteworthy activity as its CEO, Lawrence Liren Chen, sold 5,891 shares of the company's stock in a transaction that took place on Wednesday, December 18th. The sale was executed at an average price of $195.34 per share, resulting in a total transaction value of $1,150,747.94.

After completing this sale, CEO Chen now holds 164,543 shares of InterDigital, which are valued at approximately $32,141,829.62. This transaction represents a 3.46% decrease in his ownership of the company’s stock. The details of the sale were disclosed in a legal filing with the Securities and Exchange Commission (SEC), which is publicly accessible.

InterDigital's Stock Performance

On the following Friday, shares of InterDigital opened at $189.43. The company shows a current ratio of 1.62 and a quick ratio of 1.62, along with a low debt-to-equity ratio of 0.03. Over recent trading periods, InterDigital's 50-day moving average stood at $177.46, while its 200-day moving average was $145.93. The stock has fluctuated in the past year, reaching a low of $95.33 and a high of $203.90. As of now, the market capitalization of InterDigital is approximately $4.80 billion, with a price-to-earnings (P/E) ratio of 20.24 and a P/E to growth (P/E/G) ratio of 0.81. The stock's beta stands at 1.44, indicating its volatility compared to the market.

Dividend Announcement

In addition to the stock sale, InterDigital recently announced a quarterly dividend set to be paid on Wednesday, January 22nd. Shareholders who are recorded by January 8th will receive a dividend of $0.45 per share, translating to an annualized dividend of $1.80. This results in a yield of about 0.95%. The ex-dividend date is also noted as January 8th, and the company's current payout ratio is 19.23%.

Analyst Ratings

Analysts have been assessing InterDigital's stock performance and adjusting ratings accordingly. On November 4th, StockNews.com downgraded InterDigital from a "buy" to a "hold" rating. Conversely, Roth Mkm adjusted its price target for the shares from $146.00 to $160.00, maintaining a "buy" recommendation as of September 11th.

Institutional Investors' Activities

Several institutional investors have made adjustments to their positions in InterDigital recently. Transcendent Capital Group LLC, for instance, acquired a new position valued at about $25,000 in the third quarter. Similarly, V Square Quantitative Management LLC purchased a new stake worth approximately $26,000 during the same period. Other investors like 1620 Investment Advisors Inc. and Nisa Investment Advisors LLC also increased their stakes in this quarter. Notably, Nisa Investment Advisors has raised its holdings by 38.0%, owning 396 shares now, while GAMMA Investing LLC increased its holdings by 81.3%, totaling 667 shares. Currently, hedge funds and institutional investors own about 99.83% of InterDigital's stock.

Company Overview

InterDigital, Inc. is recognized as a global research and development firm specializing in advanced technologies linked to wireless communications, visual applications, artificial intelligence (AI), and other related fields. The company focuses on designing and developing technologies that enable connectivity across various communications and entertainment sectors. These technologies are licensed to companies that produce a wide range of electronic products and services, including wireless communication devices, consumer electronics, IoT apparatus, vehicles, as well as cloud-based services like video streaming.

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