Adeia (NASDAQ:ADEA) Trading Down 14.9% After Earnings Miss

Adeia Inc. (NASDAQ:ADEA) shares fell 14.9% on Tuesday following a weaker than expected earnings announcement. The company traded as low as $12.10 and last traded at $12.1750. 309,220 shares traded hands during trading, a decline of 47% from the average session volume of 580,247 shares. The stock had previously closed at $14.30.

The company reported $0.28 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.36 by ($0.08). The business had revenue of $87.34 million during the quarter, compared to the consensus estimate of $99.24 million. Adeia had a net margin of 22.15% and a return on equity of 30.31%. Adeia has set its FY 2025 guidance at EPS.

Adeia Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, December 15th. Stockholders of record on Monday, November 24th will be issued a dividend of $0.05 per share. The ex-dividend date of this dividend is Monday, November 24th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 1.4%. Adeia’s dividend payout ratio (DPR) is currently 30.77%.

Analyst Ratings Changes

ADEA has been the topic of several analyst reports. Zacks Research cut Adeia from a “strong-buy” rating to a “hold” rating in a report on Monday, October 6th. Weiss Ratings restated a “hold (c)” rating on shares of Adeia in a research note on Wednesday, October 8th. Rosenblatt Securities restated a “buy” rating and issued a $17.00 target price on shares of Adeia in a research report on Tuesday. Wall Street Zen cut shares of Adeia from a “buy” rating to a “hold” rating in a report on Saturday, August 9th. Finally, Roth Capital reissued a “buy” rating on shares of Adeia in a research report on Monday. Four analysts have rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat, Adeia has an average rating of “Moderate Buy” and a consensus target price of $19.50.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Public Sector Pension Investment Board lifted its stake in shares of Adeia by 15.4% in the 3rd quarter. Public Sector Pension Investment Board now owns 515,753 shares of the company’s stock valued at $8,665,000 after acquiring an additional 68,745 shares during the last quarter. Illinois Municipal Retirement Fund increased its holdings in Adeia by 3.4% during the 3rd quarter. Illinois Municipal Retirement Fund now owns 56,356 shares of the company’s stock valued at $947,000 after purchasing an additional 1,877 shares during the period. Skylands Capital LLC lifted its holdings in shares of Adeia by 17.5% during the third quarter. Skylands Capital LLC now owns 497,300 shares of the company’s stock valued at $8,355,000 after purchasing an additional 74,076 shares during the last quarter. Castlekeep Investment Advisors LLC grew its position in Adeia by 10.2% in the 3rd quarter. Castlekeep Investment Advisors LLC now owns 124,053 shares of the company’s stock worth $2,084,000 after purchasing an additional 11,525 shares during the period. Finally, Envestnet Asset Management Inc. grew its position in shares of Adeia by 9.2% during the 3rd quarter. Envestnet Asset Management Inc. now owns 41,495 shares of the company’s stock valued at $697,000 after acquiring an additional 3,480 shares during the period. Institutional investors and hedge funds own 97.36% of the company’s stock.

Adeia Price Performance

The firm’s fifty day simple moving average is $16.21 and its 200 day simple moving average is $14.54. The company has a debt-to-equity ratio of 1.06, a quick ratio of 3.09 and a current ratio of 3.09. The firm has a market cap of $1.53 billion, a P/E ratio of 18.92 and a beta of 1.78.

Adeia Company Profile

Adeia Inc, together with its subsidiaries, operates as a media and semiconductor intellectual property licensing company in the United States, Canada, Asia, Europe, the Middle East, and internationally. The company licenses its patent portfolios across various markets, including multichannel video programming distributors comprising cable, satellite, and telecommunications television providers that aggregate and distribute linear content over networks, as well as television providers that aggregate and stream linear content over broadband networks; over-the-top video service providers and social media companies, such as subscription video-on-demand and advertising-supported streaming service providers, as well as content providers, networks, and media companies.