Iridium Communications (NASDAQ:IRDM) Shares Up 4.1% on Earnings Beat

Iridium Communications Inc. (NASDAQ:IRDM)’s share price shot up 4.1% on Friday following a better than expected earnings announcement. The company traded as high as $27.16 and last traded at $27.14. 82,071 shares changed hands during mid-day trading, a decline of 92% from the average session volume of 1,091,494 shares. The stock had previously closed at $26.06.

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

Iridium Communications Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 29th. Shareholders of record on Friday, March 15th were issued a dividend of $0.13 per share. This represents a $0.52 dividend on an annualized basis and a yield of 1.94%. The ex-dividend date of this dividend was Thursday, March 14th. Iridium Communications’s dividend payout ratio is presently 400.00%.

Analyst Upgrades and Downgrades

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

Institutional Investors Weigh In On Iridium Communications

Several institutional investors have recently added to or reduced their stakes in IRDM. Northwest Financial Advisors bought a new stake in Iridium Communications during the 4th quarter worth about $26,000. West Tower Group LLC acquired a new stake in Iridium Communications in the 4th quarter valued at about $27,000. ICA Group Wealth Management LLC acquired a new stake in Iridium Communications in the 4th quarter valued at about $36,000. Quarry LP acquired a new stake in Iridium Communications in the 2nd quarter valued at about $39,000. Finally, Allspring Global Investments Holdings LLC acquired a new stake in Iridium Communications in the 4th quarter valued at about $41,000. 84.36% of the stock is owned by institutional investors.

Iridium Communications Price Performance

The firm has a market capitalization of $3.29 billion, a price-to-earnings ratio of 200.46 and a beta of 0.85. The company has a current ratio of 2.06, a quick ratio of 1.37 and a debt-to-equity ratio of 1.65. The company’s 50 day moving average is $27.81 and its 200-day moving average is $35.05.

About Iridium Communications

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.