InterDigital, Inc. (IDCC) Stock Analysis
Recovery setup
Technology · Software - Application
Sell if holding. Engine flags exit at $289.91. Weak growth.
InterDigital is a pure-play R&D and patent licensing company with 38,000+ patents in wireless (3G/4G/5G/Wi-Fi), video coding, and AI technologies. Revenue of $834M in 2025 comes primarily from fixed-fee and variable royalty patent licenses to smartphone, consumer electronics,... Read more
Sell if holding. Engine flags exit at $289.91. Weak growth. Chart setup: Death cross but MACD improving, RSI 68. Score 5.3/10, moderate confidence.
Passes 8/8 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 45d clear, semi cycle peak clear, materials cycle peak clear). Suitability: aggressive.
About InterDigital, Inc.
About InterDigital, Inc.
Samsung, Apple, and vivo each comprised 10% or more of InterDigital's $834.0 million in 2025 consolidated revenue — the company's three largest licensees disclosed in descending order. InterDigital holds more than 38,000 patents spanning 3G through 5G cellular, Wi-Fi, HEVC, and VVC video standards. A July 2025 International Chamber of Commerce arbitration panel set Samsung's royalties at $1.05 billion for the eight-year patent license running January 1, 2023 through December 31, 2030, generating approximately $131 million of recurring annual revenue.
InterDigital earns revenue primarily from fixed-fee patent license agreements, with a smaller portion from variable royalty and hybrid arrangements that include catch-up payments for prior unlicensed periods when new agreements execute. The company covers roughly 85% of the global smartphone market under license and approximately 60% of the tablets and personal computers market. License agreements are in place with Apple (through September 30, 2029), vivo (through June 30, 2028), and other major manufacturers including Samsung, Google, Honor, and Lenovo. A joint licensing program with Sony — the Madison Arrangement — combines their respective digital television and computer display monitor patents for joint licensing; the Samsung TV agreement under that arrangement expired December 31, 2025 and is being actively renewed. InterDigital also pursues video services licensing targeting SVOD and AVOD markets; in 2025 the company initiated patent infringement actions against Disney and Amazon, and courts in Brazil and Germany awarded injunctions against Disney video streaming services.
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InterDigital's revenue is subject to renewal risk across its concentrated licensee base. The Samsung TV agreement expiration on December 31, 2025 creates a gap period in which TV-related Samsung revenue cannot be recognized until renewal is completed. The Apple agreement expires September 30, 2029 and will require renegotiation before that date. The 10-K notes that in 2025, Samsung, Apple, and Xiaomi collectively accounted for over 50% of worldwide smartphone shipments, meaning that the commercial health of these three device makers directly shapes the royalty base. If any court or arbitration tribunal sets a worldwide royalty rate unfavorable to InterDigital, the standard-essential patent portfolio could be significantly devalued relative to FRAND royalty benchmarks.
See also: Technology · Software - Application
From InterDigital, Inc.'s most recent 10-K filing, extracted June 10, 2026.
Recent developments
updated 2026-06-15Recent Developments — InterDigital, Inc.
Latest news
- NEWS O Shaughnessy Asset Management LLC Sells 4,579 Shares of InterDigital, Inc. $IDCC - MarketBeat — MarketBeat neutral
- NEWS InterDigital (NASDAQ:IDCC) Stock Price Down 7% - Time to Sell? - MarketBeat — MarketBeat negative
- NEWS InterDigital (NASDAQ:IDCC) Updates FY 2026 Earnings Guidance - MarketBeat — MarketBeat positive
- NEWS InterDigital (NASDAQ:IDCC) Releases Q2 2026 Earnings Guidance - MarketBeat — MarketBeat neutral
- NEWS InterDigital (IDCC) Beats Q1 Earnings and Revenue Estimates - Yahoo Finance — Yahoo Finance positive
Generated 2026-06-17T09:02:27Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomerSamsung10-K Item 1: 'revenue (in descending order) from Samsung, Apple, and vivo each comprised 10% or more of our consolidated revenue'
- MEDIUMCustomerApple10-K Item 1: 'revenue (in descending order) from Samsung, Apple, and vivo each comprised 10% or more of our consolidated revenue'
- MEDIUMCustomervivo10-K Item 1: 'revenue (in descending order) from Samsung, Apple, and vivo each comprised 10% or more of our consolidated revenue'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
3 floor-breakers·1 ceiling hit
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Revenue shrinking — -2.4% YoY. Growth thesis broken unless recovery story develops.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Analyst Consensus
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine flags exit at $289.91. Weak growth. Chart setup: Death cross but MACD improving, RSI 68. Prior stop was $269.76. Score 5.3/10, moderate confidence.
Take-profit target: $393.27 (+35.6% upside). Prior stop was $269.76. Stop-loss: $269.76.
Weak growth.
InterDigital, Inc. trades at a P/E of 27.0 (forward 25.2). TrendMatrix value score: 5.2/10. Verdict: Sell.
10 analysts cover IDCC with a consensus score of 4.4/5. Average price target: $463.
What does InterDigital, Inc. do?InterDigital is a pure-play R&D and patent licensing company with 38,000+ patents in wireless (3G/4G/5G/Wi-Fi), video...
InterDigital is a pure-play R&D and patent licensing company with 38,000+ patents in wireless (3G/4G/5G/Wi-Fi), video coding, and AI technologies. Revenue of $834M in 2025 comes primarily from fixed-fee and variable royalty patent licenses to smartphone, consumer electronics, and IoT device manufacturers, with Samsung, Apple, and vivo each exceeding 10% of 2025 revenue.