IRDM Stock Analysis: Iridium Communications | NASDAQ
Telecom Services | NASDAQ, USA | Market Cap: 5.048m USD | 12M Return: 84.6% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 112M
Qual. Beats: -2
Rev. Trend: 97.7%
Qual. Beats: 1
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Iridium Communications Inc. is a mobile satellite communications provider serving businesses, U.S. and foreign governments, non-governmental organizations, and consumers across the U.S., Canada, and international markets. The company delivers voice and data services across land mobile, aviation, and maritime sectors, along with satellite-based IoT, hosted payload, and time and location services. Its product portfolio includes handsets, broadband data terminals, IoT devices, modems, personnel and asset tracking hardware, and secure communications equipment for military and government use, supported by accessories and maintenance services. Iridium distributes through a wholesale network of service providers, value-added resellers, and value-added manufacturers, and is headquartered in McLean, Virginia.
The company operates one of the few commercial Low Earth Orbit (LEO) satellite constellations, which underpins its global coverage capability and supports its positioning within the Alternative Carriers sub-industry of the Communication Services sector. Its business model combines recurring service revenue (postpaid, prepaid, push-to-talk, broadband, and IoT subscriptions) with hardware sales and government-related maintenance contracts.
- DoD contract renewal boosts high-margin government services revenue
- Starlink competition pressures maritime and aviation broadband pricing
- IoT subscriber growth lifts recurring commercial data revenue
| Net Income: 93.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -1.72 > 1.0 |
| NWC/Revenue: 27.32% < 20% (prev 17.91%; Δ 9.41% < -1%) |
| CFO/TA 0.15 > 3% & CFO 388.4m > Net Income 93.3m |
| Net Debt (1.58b) to EBITDA (424.3m): 3.72 < 3 |
| Current Ratio: 2.78 > 1.5 & < 3 |
| Outstanding Shares: last quarter (108.5m) vs 12m ago 0.26% < -2% |
| Gross Margin: 70.39% > 18% (prev 47.47%; Δ 22.93% > 0.5%) |
| Asset Turnover: 34.45% > 50% (prev 33.39%; Δ 1.06% > 0%) |
| Interest Coverage Ratio: 2.33 > 6 (EBIT TTM 211.0m / Interest Expense TTM 90.8m) |
| A: 0.09 (Total Current Assets 377.1m - Total Current Liabilities 135.5m) / Total Assets 2.57b |
| B: -0.15 (Retained Earnings -387.3m / Total Assets 2.57b) |
| C: 0.08 (EBIT TTM 211.0m / Avg Total Assets 2.57b) |
| D: 0.23 (Book Value of Equity 472.5m / Total Liabilities 2.09b) |
| Altman-Z'' = 0.92 = BB |
| DSRI: 1.25 (Receivables 104.5m/81.0m, Revenue 884.2m/857.5m) |
| GMI: 0.67 (GM 47.47% / 70.39%) |
| AQI: 0.89 (AQ_t 0.10 / AQ_t-1 0.11) |
| SGI: 1.03 (Revenue 884.2m / 857.5m) |
| TATA: -0.12 (NI 93.3m - CFO 388.4m) / TA 2.57b) |
| Beneish M = -3.17 (Cap -4..+1) = AA |
As of July 28, 2026, the stock is trading at USD 45.96 with a total of 1,344,566 shares traded. Over the past week, the price has changed by -0.97%, over one month by -15.81%, over three months by +23.28% and over the past year by +84.64%.
Current recommended Stop Loss: 42.50 (which is 7.5% or 1.5 ATR below the current price).
Iridium Communications has received a consensus analysts rating of 4.56. Therefore, it is recommended to buy IRDM.
- StrongBuy: 6
- Buy: 2
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 45 | -2.1% |
P/E Trailing = 47.1683
P/E Forward = 36.1011
P/S = 5.7093
P/B = 10.6017
P/EG = 2.2529
Revenue TTM = 884.2m USD
EBIT TTM = 211.0m USD
EBITDA TTM = 424.3m USD
Long Term Debt = 1.75b USD (from longTermDebt, last quarter)
Short Term Debt = 12.5m USD (from shortTermDebt, last quarter)
Debt = 1.76b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.58b USD (calculated: Debt 1.76b - CCE 184.2m)
Enterprise Value = 6.63b USD (5.05b + Debt 1.76b - CCE 184.2m)
Interest Coverage Ratio = 2.33 (Ebit TTM 211.0m / Interest Expense TTM 90.8m)
EV/FCF = 23.53x (Enterprise Value 6.63b / FCF TTM 281.6m)
FCF Yield = 4.25% (FCF TTM 281.6m / Enterprise Value 6.63b)
FCF Margin = 31.85% (FCF TTM 281.6m / Revenue TTM 884.2m)
Net Margin = 10.55% (Net Income TTM 93.3m / Revenue TTM 884.2m)
Gross Margin = 70.39% ((Revenue TTM 884.2m - Cost of Revenue TTM 261.8m) / Revenue TTM)
Gross Margin QoQ = 77.22% (prev 77.34%)
Tobins Q-Ratio = 2.58 (Enterprise Value 6.63b / Total Assets 2.57b)
Interest Expense / Debt = 5.15% (Interest Expense 90.8m / Debt 1.76b)
Taxrate = 25.22% (31.5m / 124.7m)
NOPAT = 157.8m (EBIT 211.0m * (1 - 25.22%))
Current Ratio = 2.78 (Total Current Assets 377.1m / Total Current Liabilities 135.5m)
Debt / Equity = 3.73 (Debt 1.76b / totalStockholderEquity, last quarter 472.5m)
Debt / EBITDA = 3.72 (Net Debt 1.58b / EBITDA 424.3m)
Debt / FCF = 5.60 (Net Debt 1.58b / FCF TTM 281.6m)
Total Stockholder Equity = 463.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 3.63% (Net Income 93.3m / Total Assets 2.57b)
RoE = 20.12% (Net Income TTM 93.3m / Total Stockholder Equity 463.5m)
RoCE = 9.54% (EBIT 211.0m / Capital Employed (Equity 463.5m + L.T.Debt 1.75b))
RoIC = 6.58% (NOPAT 157.8m / Invested Capital 2.40b)
WACC = 8.89% (E(5.05b)/V(6.81b) * Re(10.65%) + D(1.76b)/V(6.81b) * Rd(5.15%) * (1-Tc(0.25)))
Discount Rate = 10.65% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -91.16 | Cagr: -5.77%
[DCF] Terminal Value 71.35% ; FCFF base≈299.3m ; Y1≈266.1m ; Y5≈220.8m
[DCF] Fair Price = 15.71 (EV 3.24b - Net Debt 1.58b = Equity 1.66b / Shares 106.0m; r=8.89% [WACC]; 5y FCF grow -13.62% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -1.06 | # QB: -2
Revenue Correlation: 97.73 | Revenue CAGR: 4.98% | SUE: 1.01 | # QB: 1
EPS current Quarter (2026-09-30): EPS=0.28 | Chg30d=-14.90% | Revisions=+25% | Analysts=2
EPS current Year (2026-12-31): EPS=1.03 | Chg30d=-8.24% | Revisions=+25% | GrowthEPS=-2.7% | GrowthRev=+0.7%
EPS next Year (2027-12-31): EPS=1.19 | Chg30d=-9.78% | Revisions=+25% | GrowthEPS=+14.5% | GrowthRev=+4.5%
[Analyst] Revisions Ratio: +50% (up=3, down=0)