InterDigital, Inc. CEO Executes Significant Stock Sale

Lawrence Liren Chen, the CEO of InterDigital, Inc. (NASDAQ:IDCC), recently sold 5,891 shares of the company’s stock in a transaction that took place on Wednesday, December 18th. The shares were sold at an average price of $195.34, resulting in a total sale value of $1,150,747.94. After this sale, Chen holds 164,543 shares of InterDigital, which are currently valued at approximately $32,141,829.62. This transaction marks a 3.46% reduction in his overall ownership of the company's stock. Details of this trade have been officially disclosed in a filing with the SEC, which can be accessed for public viewing.

InterDigital's Stock Performance

On the trading day following the CEO's sale, InterDigital's shares opened at $189.43. The company has a current ratio of 1.62 and a quick ratio of 1.62, indicating healthy liquidity. Additionally, the debt-to-equity ratio stands at a low 0.03, reflecting minimal debt burden. The stock has performed well, with its 50-day moving average at $177.46 and a two-hundred day moving average at $145.93. Over the past year, InterDigital shares reached a low of $95.33 and a high of $203.90, suggesting substantial volatility. The firm maintains a market capitalization of $4.80 billion and has a price-to-earnings (P/E) ratio of 20.24.

Dividend Announcement

InterDigital also announced a quarterly dividend of $0.45 per share, which will be distributed to shareholders of record on Wednesday, January 8th. This dividend translates to an annualized payment of $1.80 and represents a yield of 0.95%. The ex-dividend date is set for January 8th, and the company maintains a payout ratio of 19.23%, indicating a prudent approach to sharing profits with shareholders.

Analyst Ratings Update

Recently, analysts have also weighed in on InterDigital's stock performance. StockNews.com adjusted its rating, downgrading InterDigital from a "buy" to a "hold" on November 4th. Conversely, Roth MKM raised its price target for InterDigital shares from $146.00 to $160.00, reaffirming its "buy" rating.

Changes in Institutional Ownership

Various institutional investors have made adjustments to their investments in InterDigital. Notably, Transcendent Capital Group LLC acquired shares worth about $25,000 during the third quarter. Other firms such as V Square Quantitative Management LLC and 1620 Investment Advisors Inc. have also increased their positions in the company. Currently, hedge funds and institutional investors retain ownership of 99.83% of InterDigital's stock.

Company Overview

InterDigital, Inc. operates globally, focusing on research and development primarily in the fields of wireless technology, visual technology, artificial intelligence (AI), and related areas. The company specializes in designing and developing technologies that facilitate connectivity across a broad spectrum of communication and entertainment products. Its innovations are licensed to various industries, including wireless communications, consumer electronics, Internet of Things (IoT) devices, automotive manufacturers, and providers of cloud-based services.

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