Iridium Communications (NASDAQ:IRDM) Trading 6.4% Higher – Here’s What Happened

Iridium Communications Inc (NASDAQ:IRDM)’s share price shot up 6.4% during mid-day trading on Wednesday . The stock traded as high as $18.34 and last traded at $18.8920. 620,458 shares were traded during trading, a decline of 66% from the average session volume of 1,842,945 shares. The stock had previously closed at $17.75.

Wall Street Analyst Weigh In

IRDM has been the subject of a number of analyst reports. BWS Financial reissued a “sell” rating and issued a $16.00 price target on shares of Iridium Communications in a research report on Friday, October 24th. Raymond James Financial lowered shares of Iridium Communications from a “strong-buy” rating to an “outperform” rating and reduced their target price for the stock from $39.00 to $26.00 in a research note on Thursday, September 11th. Barclays dropped their price target on shares of Iridium Communications from $31.00 to $25.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 1st. Finally, Weiss Ratings cut shares of Iridium Communications from a “hold (c-)” rating to a “sell (d+)” rating in a report on Saturday, October 25th. Six investment analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $29.67.

Iridium Communications Stock Down 0.4%

The company has a market capitalization of $1.96 billion, a PE ratio of 16.58, a P/E/G ratio of 1.21 and a beta of 0.61. The stock’s fifty day moving average is $17.71 and its two-hundred day moving average is $22.81. The company has a current ratio of 2.67, a quick ratio of 1.93 and a debt-to-equity ratio of 4.02.

Iridium Communications (NASDAQ:IRDM) last announced its quarterly earnings data on Thursday, October 23rd. The technology company reported $0.35 EPS for the quarter, topping the consensus estimate of $0.26 by $0.09. The business had revenue of $226.94 million for the quarter, compared to analyst estimates of $222.13 million. Iridium Communications had a net margin of 14.44% and a return on equity of 24.93%. The company’s revenue for the quarter was up 6.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.21 earnings per share. As a group, analysts predict that Iridium Communications Inc will post 0.89 EPS for the current year.

Iridium Communications Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 31st. Investors of record on Monday, December 15th will be paid a $0.15 dividend. The ex-dividend date is Monday, December 15th. This represents a $0.60 annualized dividend and a yield of 3.2%. Iridium Communications’s dividend payout ratio is presently 53.10%.

Insider Buying and Selling at Iridium Communications

In other news, CEO Matthew J. Desch acquired 20,000 shares of Iridium Communications stock in a transaction on Thursday, October 30th. The stock was acquired at an average cost of $17.33 per share, with a total value of $346,600.00. Following the completion of the acquisition, the chief executive officer owned 1,127,019 shares in the company, valued at approximately $19,531,239.27. This trade represents a 1.81% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Robert H. Niehaus bought 30,000 shares of the firm’s stock in a transaction on Tuesday, October 28th. The stock was purchased at an average cost of $17.49 per share, with a total value of $524,700.00. Following the completion of the transaction, the director directly owned 297,363 shares of the company’s stock, valued at approximately $5,200,878.87. The trade was a 11.22% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last ninety days, insiders sold 30,967 shares of company stock valued at $557,406. Company insiders own 2.40% of the company’s stock.

Institutional Investors Weigh In On Iridium Communications

Several institutional investors have recently added to or reduced their stakes in the business. SVB Wealth LLC purchased a new position in shares of Iridium Communications in the first quarter worth about $30,000. Hantz Financial Services Inc. boosted its holdings in Iridium Communications by 184.7% in the 3rd quarter. Hantz Financial Services Inc. now owns 1,506 shares of the technology company’s stock worth $26,000 after buying an additional 977 shares during the period. Larson Financial Group LLC grew its stake in Iridium Communications by 392.8% in the 3rd quarter. Larson Financial Group LLC now owns 1,508 shares of the technology company’s stock valued at $26,000 after buying an additional 1,202 shares in the last quarter. CIBC Private Wealth Group LLC purchased a new position in Iridium Communications in the 3rd quarter valued at approximately $32,000. Finally, Johnson Financial Group Inc. bought a new stake in Iridium Communications during the 2nd quarter valued at $70,000. 84.36% of the stock is owned by hedge funds and other institutional investors.

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.