ScoreWhy is InterDigital, Inc. ?
1
Low Debt Company with Strong Long Term Fundamental Strength
- The company is Net-Debt Free
- The company has been able to generate a Return on Capital Employed (avg) of 64.40% signifying high profitability per unit of total capital (equity and debt)
2
The company has declared Negative results for the last 3 consecutive quarters
- NET SALES(9M) At USD 623.82 MM has Grown at -18.34%
- NET PROFIT(HY) At USD 191.7 MM has Grown at -35.27%
- ROCE(HY) Lowest at 26.4%
3
With ROE of 36.93%, it has a fair valuation with a 18.22 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 21.52%, its profits have risen by 13.5% ; the PEG ratio of the company is 4.2
4
High Institutional Holdings at 100%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Consistent Returns over the last 3 years
- Along with generating 21.52% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to InterDigital, Inc. should be less than 10%
- Overall Portfolio exposure to Software Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is InterDigital, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
InterDigital, Inc.
21.52%
3.67
49.92%
S&P 500
21.51%
1.63
13.19%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.36%
EBIT Growth (5y)
51.59%
EBIT to Interest (avg)
5.45
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.45
Sales to Capital Employed (avg)
0.56
Tax Ratio
14.77%
Dividend Payout Ratio
22.04%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
64.40%
ROE (avg)
23.80%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
49
Industry P/E
Price to Book Value
18.22
EV to EBIT
41.85
EV to EBITDA
35.87
EV to Capital Employed
60.01
EV to Sales
23.13
PEG Ratio
4.20
Dividend Yield
0.33%
ROCE (Latest)
143.38%
ROE (Latest)
36.93%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 557.94 MM
CASH AND EQV(HY)
Highest at USD 2,213.05 MM
DIVIDEND PER SHARE(HY)
Highest at USD 2.39
NET SALES(Q)
At USD 260.17 MM has Grown at 25.55%
-13What is not working for the Company
NET SALES(9M)
At USD 623.82 MM has Grown at -18.34%
NET PROFIT(HY)
At USD 191.7 MM has Grown at -35.27%
ROCE(HY)
Lowest at 26.4%
RAW MATERIAL COST(Y)
Grown by 14.16% (YoY
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.39 times
Here's what is working for InterDigital, Inc.
Operating Cash Flow
Highest at USD 557.94 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
At USD 260.17 MM has Grown at 25.55%
over average net sales of the previous four periods of USD 207.23 MMMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Cash and Eqv
Highest at USD 2,213.05 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Dividend per share
Highest at USD 2.39
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Here's what is not working for InterDigital, Inc.
Net Profit
At USD 191.7 MM has Grown at -35.27%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is negative
Net Profit (USD MM)
Debtors Turnover Ratio
Lowest at 2.39 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 14.16% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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