Iridium Communications (NASDAQ:IRDM) Trading 4.1% Higher on Earnings Beat

Shares of Iridium Communications Inc. (NASDAQ:IRDM) traded 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 earnings per share for the quarter, topping the consensus estimate of $0.15 by $0.01. The company had revenue of $203.80 million during the quarter, compared to the consensus estimate of $193.84 million. Iridium Communications had a net margin of 3.20% and a return on equity of 2.70%. Iridium Communications’s quarterly revenue was down .7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.08 EPS.

Iridium Communications Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, March 29th. Investors of record on Friday, March 15th were issued a $0.13 dividend. This represents a $0.52 annualized dividend and a yield of 1.90%. The ex-dividend date of this dividend was Thursday, March 14th. Iridium Communications’s dividend payout ratio is currently 247.62%.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the stock. TheStreet raised shares of Iridium Communications from a “d+” rating to a “c-” rating in a report on Thursday, February 15th. William Blair downgraded shares of Iridium Communications from an “outperform” rating to a “market perform” rating in a report on Thursday, February 15th. BWS Financial downgraded shares of Iridium Communications from a “buy” rating to a “neutral” rating and set a $30.00 price objective for the company. in a report on Friday, February 16th. Barclays dropped their price objective 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, Raymond James dropped their price objective 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. Three research 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. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $49.80.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Sumitomo Mitsui Trust Holdings Inc. lifted its holdings in shares of Iridium Communications by 19.9% in the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 2,089,600 shares of the technology company’s stock valued at $54,664,000 after acquiring an additional 346,118 shares during the last quarter. State of Michigan Retirement System raised its position in Iridium Communications by 2.4% in the 1st quarter. State of Michigan Retirement System now owns 30,459 shares of the technology company’s stock worth $797,000 after purchasing an additional 700 shares during the period. Oak Thistle LLC purchased a new stake in Iridium Communications in the 1st quarter worth about $546,000. Counterpoint Mutual Funds LLC purchased a new stake in Iridium Communications in the 1st quarter worth about $280,000. Finally, Goldman Sachs Group Inc. raised its position in Iridium Communications by 45.7% in the 4th quarter. Goldman Sachs Group Inc. now owns 199,313 shares of the technology company’s stock worth $8,204,000 after purchasing an additional 62,558 shares during the period. Institutional investors own 84.36% of the company’s stock.

Iridium Communications Price Performance

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 has a market capitalization of $3.35 billion, a PE ratio of 130.48 and a beta of 0.85. The stock’s 50-day moving average is $27.66 and its two-hundred day moving average is $34.87.

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.