Iridium Communications (NASDAQ:IRDM) Shares Down 4.1% – Here’s Why

Shares of Iridium Communications Inc. (NASDAQ:IRDM) dropped 4.1% during mid-day trading on Wednesday . The company traded as low as $28.66 and last traded at $28.85. Approximately 258,505 shares changed hands during mid-day trading, a decline of 69% from the average daily volume of 830,007 shares. The stock had previously closed at $30.10.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on IRDM. BWS Financial reissued a “neutral” rating and set a $30.00 price target on shares of Iridium Communications in a research report on Monday, October 21st. Cantor Fitzgerald assumed coverage on Iridium Communications in a research note on Friday, January 24th. They set an “overweight” rating and a $40.00 price objective on the stock. Two equities research analysts have rated the stock with a hold rating, two have assigned a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $40.75.

Iridium Communications Price Performance

The company has a market capitalization of $3.27 billion, a price-to-earnings ratio of 30.59 and a beta of 0.65. The company has a fifty day simple moving average of $29.40 and a two-hundred day simple moving average of $28.70. The company has a debt-to-equity ratio of 2.68, a quick ratio of 2.01 and a current ratio of 2.62.

Iridium Communications Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, December 31st. Investors of record on Monday, December 16th were paid a $0.14 dividend. The ex-dividend date was Monday, December 16th. This represents a $0.56 annualized dividend and a yield of 1.95%. Iridium Communications’s payout ratio is currently 59.58%.

Insider Activity at Iridium Communications

In related news, insider Suzanne E. Mcbride sold 4,420 shares of the stock in a transaction on Monday, November 4th. The stock was sold at an average price of $29.48, for a total value of $130,301.60. Following the transaction, the insider now directly owns 182,797 shares of the company’s stock, valued at approximately $5,388,855.56. This trade represents a 2.36 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Thomas Fitzpatrick sold 12,500 shares of Iridium Communications stock in a transaction on Friday, January 10th. The shares were sold at an average price of $28.53, for a total value of $356,625.00. Following the completion of the transaction, the director now owns 241,030 shares in the company, valued at $6,876,585.90. The trade was a 4.93 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 16,977 shares of company stock worth $488,593. 2.00% of the stock is currently owned by insiders.

Institutional Trading of Iridium Communications

A number of institutional investors and hedge funds have recently bought and sold shares of IRDM. Capital Performance Advisors LLP purchased a new stake in Iridium Communications during the third quarter worth approximately $57,000. Fifth Third Bancorp boosted its position in Iridium Communications by 19.8% during the 4th quarter. Fifth Third Bancorp now owns 2,162 shares of the technology company’s stock worth $63,000 after purchasing an additional 357 shares during the period. GAMMA Investing LLC increased its holdings in Iridium Communications by 25.2% in the 3rd quarter. GAMMA Investing LLC now owns 2,399 shares of the technology company’s stock valued at $73,000 after purchasing an additional 483 shares in the last quarter. KBC Group NV raised its position in Iridium Communications by 25.9% in the third quarter. KBC Group NV now owns 3,796 shares of the technology company’s stock valued at $116,000 after purchasing an additional 781 shares during the period. Finally, Allworth Financial LP lifted its stake in shares of Iridium Communications by 491.9% during the fourth quarter. Allworth Financial LP now owns 5,747 shares of the technology company’s stock worth $167,000 after purchasing an additional 4,776 shares in the last quarter. Institutional investors and hedge funds own 84.36% of the company’s stock.

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.