InterDigital CEO Lawrence Liren Chen Sells Shares

On December 18th, Lawrence Liren Chen, the CEO of InterDigital, Inc. (NASDAQ:IDCC), sold a total of 5,891 shares of the company’s stock. This transaction took place at an average price of $195.34 per share, which amounted to a total sale value of $1,150,747.94. After this sale, Chen now holds 164,543 shares in InterDigital, which are valued at approximately $32,141,829.62. This sale marks a 3.46% decrease in his ownership stake within the company. Details of this transaction have been disclosed in a filing with the Securities and Exchange Commission (SEC), which can be accessed online.

InterDigital's Stock Performance

On Friday, IDCC shares traded down by $1.25, reaching a mid-day price of $187.72. The trading volume for the day was 532,196 shares, surpassing the average volume of 445,629 shares. Over the past year, InterDigital’s stock has experienced a 52-week low of $95.33 and a high of $203.90. Currently, the company holds a market capitalization of $4.76 billion, with a price-to-earnings (P/E) ratio of 20.06. Additionally, the company's fifty-day moving average price stands at $177.46, while the two-hundred day moving average is at $145.93. Financially, InterDigital has a current ratio of 1.62, a quick ratio of 1.62, and a notably low debt-to-equity ratio of 0.03.

Upcoming Dividend Announcement

Recently, InterDigital announced a quarterly dividend which is set to be paid on January 22nd. Shareholders who are on record as of January 8th will receive a dividend of $0.45 per share. The ex-dividend date for this payment is also January 8th. This dividend translates to an annualized payout of $1.80, offering a yield of 0.96%. Currently, the company maintains a dividend payout ratio of 19.23%.

Analyst Ratings and Company Developments

The stock has been the subject of attention in various research reports lately. Roth Mkm raised their price target on InterDigital shares from $146.00 to $160.00, and assigned a “buy” rating in a report dated September 11th. Conversely, StockNews.com downgraded InterDigital from a “buy” rating to a “hold” rating in a note published on November 4th.

Institutional Holdings and Investor Activity

Recently, hedge funds have adjusted their positions in InterDigital. Natixis Advisors LLC acquired a new stake worth approximately $1,427,000 in the third quarter. Additionally, other investment firms such as Kovitz Investment Group Partners LLC and Ritholtz Wealth Management have purchased new positions as well. As a result, hedge funds and institutional investors collectively own around 99.83% of the company's stock.

Company Overview

InterDigital, Inc. operates as an innovative research and development organization with a focus primarily on wireless technologies, visual applications, artificial intelligence (AI), and related technology realms. The firm specializes in the design and development of technologies that enable connectivity across various communication and entertainment products. These technologies are licensed to companies in multiple sectors such as wireless communications, consumer electronics, Internet of Things (IoT) devices, and cloud-based services, including video streaming providers.

CEO, Shares, Transaction