Summary
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InterDigital (IDCC) has shown strong technical buy signals, gaining 47.52% since 9/19, and is above its 20, 50, and 100-day moving averages.
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The company specializes in wireless, AI, and related technologies, with a robust portfolio including 2G-6G, IoT, and video coding innovations.
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Fundamental factors are promising: Market Cap $5.14B, P/E 19.83, dividend yield 0.81%, with expected revenue and earnings growth of 56.47% and 64.10% respectively.
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Analysts’ opinions are mixed, with price targets ranging from $100 to $235. Investors should consider diversification and stop-loss strategies due to volatility.
The Chart of the Day belongs to the AI software company InterDigital IDCC . I found the stock by using Barchart’s powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 9/19 the stock gained 47.52%.
IDCC Price vs Daily Moving Averages:
InterDigital, Inc. operates as a global research and development company with focus primarily on wireless, visual, artificial intelligence (AI), and related technologies. The company engages in the design and development of technologies that enable connected in a range of communications and entertainment products and services, which are licensed to companies providing such products and services, including makers of wireless communications, consumer electronics, IoT devices, and cars and other motor vehicles, as well as providers of cloud-based services, such as video streaming. It designs and develops a range of innovations for use in digital cellular and wireless products and networks, including 2G, 3G, 4G, 5G, and IEEE 802-related products and networks. The company also develops cellular technologies, such as technologies related to CDMA, TDMA, OFDM/OFDMA, and MIMO for use in 2G, 3G, 4G, and 5G wireless networks, as well as mobile terminal devices; and 3GPP technology portfolio in 5G, 5G, advanced and 6G, as well as technologies for automobiles, wearables, smart homes, drones, and other connected consumer electronic products. In addition, it provides video coding and transmission technologies; and engages in the research and development of artificial intelligence and machine learning solutions. Further, the company’s patented technologies are used in various products that include smartphones, tablets, consumer electronics, and base stations; televisions, laptops, gaming consoles, set-top boxes, streaming devices, and connected automobiles. InterDigital, Inc. was incorporated in 1972 and is headquartered in Wilmington, Delaware.
Barchart’s Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 112.17+ Weighted Alpha
- 94.15% gain in the last year
- Trend Seeker buy signal
- 1.44 – 60 month Beta
- Above its 20, 50 and 100 day moving averages
- 1 new highs and up 1.62% in the last month
- Relative Strength Index 68.91%
- Technical support level at $197.91
- Recently traded at $203.33 with 50 day moving average of $183.73
Fundamental Factors:
- Market Cap $5.14 billion
- P/E 19.83
- Dividend yield .81%
- Revenue expected to grow 56.47% this year
- Earnings estimated to increase 64.10% this year
Analysts and Investor Sentiment — I don’t buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it’s hard to make money swimming against the tide:
- Wall street analysts issued 2 strong buy, 1 buy, 1 hold and 1 sell opinion on the stock
- Their price targets are between $100 and $235 – That’s pretty wide range
- Value Line rates the stock average with a price target of $208
- CFRA’s MarketScope has a hold based on quant factors
- MorningStar thinks the stock is 19% over valued
- 11,560 investors monitor the stock on Seeking Alpha
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policyhere.