Iridium Communications (NASDAQ:IRDM) Shares Gap Up Following Better-Than-Expected Earnings

Iridium Communications Inc. (NASDAQ:IRDM)’s stock price gapped up prior to trading on Thursday following a better than expected earnings announcement. The stock had previously closed at $24.71, but opened at $25.48. Iridium Communications shares last traded at $27.21, with a volume of 196,193 shares.

The technology company reported $0.16 EPS for the quarter, topping the consensus estimate of $0.15 by $0.01. Iridium Communications had a return on equity of 1.58% and a net margin of 1.95%. The business had revenue of $203.80 million during the quarter, compared to the consensus estimate of $193.84 million. During the same quarter last year, the company earned $0.08 EPS. The firm’s revenue was down .7% compared to the same quarter last year.

Iridium Communications Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 29th. Shareholders of record on Friday, March 15th were paid a $0.13 dividend. The ex-dividend date was Thursday, March 14th. This represents a $0.52 annualized dividend and a yield of 2.00%. Iridium Communications’s dividend payout ratio is currently 400.00%.

Analyst Upgrades and Downgrades

Several analysts have weighed in on IRDM shares. BWS Financial cut Iridium Communications from a “buy” rating to a “neutral” rating and set a $30.00 price target on the stock. in a report on Friday, February 16th. Raymond James lowered their price target on Iridium Communications from $53.00 to $48.00 and set a “strong-buy” rating on the stock in a report on Friday, February 16th. Barclays lowered their price target on Iridium Communications from $45.00 to $42.00 and set an “overweight” rating on the stock in a report on Friday, February 23rd. William Blair cut Iridium Communications from an “outperform” rating to a “market perform” rating in a report on Thursday, February 15th. Finally, TheStreet raised Iridium Communications from a “d+” rating to a “c-” rating in a report on Thursday, February 15th. Three investment analysts have rated the stock with a hold rating, three have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $49.80.

Institutional Trading of Iridium Communications

Hedge funds have recently bought and sold shares of the company. Northwest Financial Advisors bought a new stake in Iridium Communications in the 4th quarter worth approximately $26,000. ICA Group Wealth Management LLC bought a new stake in Iridium Communications in the 4th quarter worth approximately $36,000. Quarry LP bought a new stake in Iridium Communications in the 2nd quarter worth approximately $39,000. West Tower Group LLC bought a new stake in Iridium Communications in the 4th quarter worth approximately $27,000. Finally, Belpointe Asset Management LLC lifted its position in Iridium Communications by 78.7% in the 1st quarter. Belpointe Asset Management LLC now owns 990 shares of the technology company’s stock worth $61,000 after buying an additional 436 shares during the last quarter. Institutional investors own 84.36% of the company’s stock.

Iridium Communications Stock Up 5.5 %

The stock has a 50-day moving average of $27.81 and a two-hundred day moving average of $35.05. The company has a market cap of $3.19 billion, a P/E ratio of 200.46 and a beta of 0.85. The company has a debt-to-equity ratio of 1.65, a quick ratio of 1.37 and a current ratio of 2.06.

Iridium Communications Company Profile

Iridium Communications Inc provides mobile voice and data communications services and products to businesses, the United States and international governments, non-governmental organizations, and consumers worldwide. The company offers postpaid mobile voice and data satellite communications; prepaid mobile voice satellite communications; push-to-talk; broadband data; and Internet of Things (IoT) services.