InterDigital Issues Full Year 2026 Outlook
Rhea-AI Summary
InterDigital (Nasdaq: IDCC) issued full year 2026 financial outlook on Jan 20, 2026, providing ranges for revenue, adjusted EBITDA, and EPS.
The company forecasted Revenue $675–$775 million, Adjusted EBITDA $381–$477 million, Diluted EPS $5.77–$8.51, and Non‑GAAP EPS $8.74–$11.84. Management cited a new license agreement with LG Electronics and a smartphone renewal with a major Chinese vendor as contributors to 2026 momentum, and said it expects to provide Q1 2026 outlook and additional full‑year details on its Feb 5 earnings call.
Positive
- Full year revenue outlook of $675–$775 million
- Adjusted EBITDA guidance of $381–$477 million
- Diluted EPS guidance of $5.77–$8.51
- Non‑GAAP EPS guidance of $8.74–$11.84
- New license agreement with LG Electronics
- Smartphone renewal with a major Chinese vendor
Negative
- Outlook includes expected enforcement results, creating revenue uncertainty
- Wide guidance ranges indicate forecasting variability for 2026
News Market Reaction
On the day this news was published, IDCC gained 5.54%, reflecting a notable positive market reaction. Argus tracked a peak move of +3.6% during that session. Our momentum scanner triggered 30 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $451M to the company's valuation, bringing the market cap to $8.58B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
IDCC slipped 0.54% with peers like CVLT, NICE, SRAD, OTEX, and DSGX also down between about 0.4% and 3.6%. However, the momentum scanner did not flag a coordinated sector move, suggesting this outlook is more company-specific than a broad industry driver.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 13 | Earnings call scheduling | Neutral | +0.7% | Set date and time for Q4 2025 results and conference call. |
| Jan 07 | Investor conference update | Neutral | +0.1% | Announced participation in Needham Growth Conference with webcast access. |
| Dec 04 | Dividend declaration | Positive | +0.5% | Declared regular quarterly cash dividend of <b>$0.70</b> per share. |
| Nov 24 | Patent injunction win | Positive | +5.5% | Reported injunctions against Disney over HDR streaming and video overlay patents. |
| Nov 12 | Multiple conferences | Neutral | -4.6% | Outlined presentations at three investor conferences with live webcasts. |
Recent company-specific legal and licensing wins have coincided with positive price reactions, while routine conference and scheduling updates have produced relatively modest moves.
Over the past few months, InterDigital has mixed routine corporate updates with more material legal and licensing developments. An injunction win related to HDR streaming and video technology on Nov 24, 2025 coincided with a 5.5% gain, highlighting market sensitivity to enforcement success. Dividend maintenance on Dec 4, 2025 saw a modest positive reaction. Conference and earnings-date announcements in late 2025 and early 2026 produced relatively small moves. Against this backdrop, the 2026 outlook and new LG and Chinese vendor licenses extend the narrative of monetizing the patent portfolio.
Market Pulse Summary
The stock moved +5.5% in the session following this news. A strong positive reaction aligns with management’s confident full-year 2026 outlook and visible license momentum, including a new LG agreement and a renewed deal with a major Chinese vendor. Guidance ranges such as revenue of $675–$775 million and non-GAAP EPS of $8.74–$11.84 framed expectations clearly. Historically, enforcement wins and licensing updates, like the 5.5% move on the Disney injunction news, have attracted buying interest, though insider selling plans and prior volatility remained factors to monitor.
Key Terms
adjusted EBITDA financial
diluted EPS financial
non-GAAP EPS financial
AI-generated analysis. Not financial advice.
WILMINGTON, Del., Jan. 20, 2026 (GLOBE NEWSWIRE) -- InterDigital, Inc. (Nasdaq: IDCC), a mobile, video and AI technology research and development company, today announced its outlook for full year 2026.
"Our business momentum continues into 2026. Today we added an important new license agreement with LG Electronics, and we recently announced a smartphone renewal with a major Chinese vendor," said InterDigital CEO and President, Liren Chen. "We expect another strong year and will provide our first quarter 2026 outlook, along with additional color on our full year outlook, when we report earnings on February 5th.”
Full Year 2026 Outlook
The table below presents company's current outlook for full year 2026. The outlook includes both existing licenses and the expected contributions from new agreements and enforcement action results we may receive over the balance of the year.
| (in millions, except per share data) | Full Year 2026 |
| Revenue | |
| Adjusted EBITDA1 | |
| Diluted EPS | |
| Non-GAAP EPS2 | |
About InterDigital®
InterDigital is a global research and development company focused primarily on wireless, video, artificial intelligence (“AI”), and related technologies. We design and develop foundational technologies that enable connected, immersive experiences in a broad range of communications and entertainment products and services. We license our innovations worldwide to companies providing such products and services, including makers of wireless communications devices, consumer electronics, IoT devices, cars and other motor vehicles, and providers of cloud-based services such as video streaming. As a leader in wireless technology, our engineers have designed and developed a wide range of innovations that are used in wireless products and networks, from the earliest digital cellular systems to 5G and today’s most advanced Wi-Fi technologies. We are also a leader in video processing and video encoding/decoding technology, with a significant AI research effort that intersects with both wireless and video technologies. Founded in 1972, InterDigital is listed on Nasdaq.
InterDigital is a registered trademark of InterDigital, Inc.
For more information, visit the InterDigital website: www.interdigital.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include information regarding our current beliefs, plans and expectations. Words such as “believe,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “forecast,” “goal,” “could,” "would," "should," "if," "may," "might," "future," "target," "trend," "seek to," "will continue," "predict," "likely," "in the event," and variations of any such words or similar expressions are intended to identify such forward-looking statements.
Forward-looking statements are made on the basis of management’s current views and assumptions and are not guarantees of future performance. Forward-looking statements, including but not limited to statements regarding our outlook for full year 2026, are inherently subject to risks and uncertainties that could cause actual results, and actual events that occur, to differ materially from results contemplated by the forward-looking statements. These risks and uncertainties include, but are not limited to: (i) unanticipated delays or difficulties in the execution of patent license agreements on acceptable terms or at all; (ii) our ability to expand our revenue opportunities by entering into licensing arrangements with streaming and cloud-based service providers; (iii) the resolution of legal proceedings, including any awards or judgments relating to such proceedings, and changes in the schedules or costs associated therewith; (iv) our ability to successfully integrate Deep Render and to recognize the anticipated benefits of the transaction; (v) our ability to maintain a strong patent portfolio and make strategic decisions related to our intellectual property protection; (vi) the failure of markets for our technologies to materialize to the extent that we expect; (vii) our continued ability to develop new technologies; (viii) changes in our interpretations of, and assumptions and calculations with respect to the impact on us of, the One Big Beautiful Bill Act, the 2017 Tax Cuts and Jobs Act and other U.S. and non-U.S. tax laws and other tax matters; (ix) the timing and impact of potential regulatory, administrative and legislative matters; (x) the potential effects of macroeconomic conditions or trade conflicts; (xi) our ability to hire and retain key personnel; (xii) operational risks, including cybersecurity events, human failures or other difficulties with our information technology systems; and (xiii) risks related to any new accounting standards or our assumptions and application of relevant accounting standards, including with respect to revenue recognition.
We undertake no duty to revise or update publicly any forward-looking statement for any reason, except as otherwise required by law.
Footnotes
1 Adjusted EBITDA is a supplemental non-GAAP financial measure that InterDigital believes provide investors with important insight into the Company's ongoing business performance. InterDigital defines Adjusted EBITDA as net income attributable to InterDigital Inc. plus net loss attributable to non-controlling interest, income tax (provision) benefit, other income (expense) & interest expense, depreciation and amortization, share-based compensation, and other items. Other items include restructuring costs, impairment charges and other non-recurring items. This non-GAAP financial measure used by the company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. The presentation of this financial measure, which is not prepared under any comprehensive set of accounting rules or principles, is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. A reconciliation of Adjusted EBITDA to the most directly comparable GAAP financial measure is provided below.
2 Non-GAAP net income, Non-GAAP EPS, and Non-GAAP weighted-average diluted shares are supplemental non-GAAP financial measures that InterDigital believes provides investors with important insight into the Company's ongoing business performance. InterDigital defines Non-GAAP net income as net income attributable to InterDigital, Inc. plus share-based compensation, acquisition related amortization, depreciation and amortization, restructuring costs, impairment charges and one-time adjustments, losses on extinguishments of long-term debt, the related income tax effect of the preceding items, and adjustments to income taxes. Non-GAAP EPS is defined as Non-GAAP net income divided by Non-GAAP weighted average diluted shares, which adjusts the weighted average number of common shares outstanding for the dilutive effect of the Company's convertible notes, offset by our hedging arrangements. InterDigital’s computation of these non-GAAP financial measures might not be comparable to similarly named measures reported by other companies. The presentation of these financial measures, which are not prepared under any comprehensive set of accounting rules or principles, is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. A reconciliation of each of these metrics to its most directly comparable GAAP financial measure is provided below.
RECONCILIATION OF NON-GAAP MEASURES
The following tables present a reconciliation between GAAP and non-GAAP versions of the estimated financial measures for the full year fiscal 2026 included in this release:
| Outlook | |
| (in millions) | |
| Full Year 2026 | |
| Net income | |
| Income tax provision | 48 |
| Other income, net & interest expense | (4) |
| Depreciation and amortization | 80 |
| Share-based compensation | 52 |
| Other items | 3 |
| Adjusted EBITDA1 | |
| Outlook | |
| (in millions, except for per share data) | |
| Full Year 2026 | |
| Net income | |
| Share-based compensation | 52 |
| Acquisition related amortization | 32 |
| Other operating items | 3 |
| Other non-operating items | — |
| Related income tax effect of above items | (18) |
| Adjustments to income taxes | — |
| Non-GAAP net income2 | |
| Weighted average dilutive shares - GAAP | 35 |
| Less: Dilutive impact of the Convertible Notes | 4 |
| Weighted average dilutive shares - Non-GAAP2 | 31 |
| Diluted EPS | |
| Non-GAAP EPS2 | |
| CONTACT: | InterDigital, Inc. |
| Email:investor.relations@interdigital.com | |
| +1 (302) 300-1857 |
FAQ
What full year 2026 revenue did InterDigital (IDCC) forecast on Jan 20, 2026?
What EPS guidance did InterDigital (IDCC) give for full year 2026?
How did InterDigital (IDCC) describe drivers of its 2026 outlook?
When will InterDigital (IDCC) provide Q1 2026 outlook and more full‑year detail?
Does InterDigital's 2026 outlook rely on uncertain items?
