InterDigital , Inc. (NASDAQ:IDCC), a technology company with an impressive 75.95% gross profit margin and "GREAT" financial health according to InvestingPro, saw its President and CEO Lawrence Liren Chen recently sell shares worth approximately $1.11 million, according to a Form 4 filing with the Securities and Exchange Commission. The transactions, executed on December 23, involved the sale of 1,722 shares at an average price of $188.31, totaling around $324,269, and an additional 4,169 shares at an average price of $189.46, amounting to approximately $789,858.
These sales were conducted under a Rule 10b5-1 trading plan, which Chen adopted on June 21, 2024. Following these transactions, Chen retains ownership of 158,652 shares of InterDigital.
In other recent news, InterDigital, Inc. reported a robust third quarter in 2024, with revenues reaching approximately $129 million, surpassing their guidance. This performance was largely driven by new licensing agreements, including a significant deal with Oppo Group, leading to a resolution of all pending litigation. As a result, InterDigital has revised its 2024 revenue guidance upwards to a midpoint of $860 million. The company also reported higher than expected adjusted EBITDA for the quarter at $65 million.
Furthermore, InterDigital now holds agreements with the top four smartphone manufacturers, covering a substantial portion of the global market. The company ended the quarter with more than $800 million in cash, demonstrating strong cash generation. In terms of future expectations, the company anticipates a record recurring revenue of approximately $118 million in Q4 2024.
InterDigital is optimistic about leveraging recent deals to accelerate licensing opportunities with other manufacturers, including Vivo and Huawei. However, the revenue recognition from Lenovo is contingent on ongoing arbitration, with a decision expected after the year-end. These are among the recent developments concerning InterDigital.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.