An Overview of Iridium Comms's Earnings

Iridium Comms IRDM is gearing up to announce its quarterly earnings on Tuesday, 2025-04-22. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Iridium Comms will report an earnings per share (EPS) of $0.28.

Iridium Comms bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings Track Record

In the previous earnings release, the company beat EPS by $0.10, leading to a 1.13% drop in the share price the following trading session.

Here's a look at Iridium Comms's past performance and the resulting price change:

Tracking Iridium Comms's Stock Performance

Shares of Iridium Comms were trading at $23.77 as of April 18. Over the last 52-week period, shares are down 19.33%. Given that these returns are generally negative, long-term shareholders are likely upset going into this earnings release.

Analyst Views on Iridium Comms

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Iridium Comms.

Analysts have given Iridium Comms a total of 1 ratings, with the consensus rating being Outperform. The average one-year price target is $38.0, indicating a potential 59.87% upside.

Comparing Ratings Among Industry Peers

The following analysis focuses on the analyst ratings and average 1-year price targets of Globalstar and Lumen Technologies, three prominent industry players, providing insights into their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for Globalstar, with an average 1-year price target of $43.33, suggesting a potential 82.29% upside.
• Analysts currently favor an Neutral trajectory for Lumen Technologies, with an average 1-year price target of $5.25, suggesting a potential 77.91% downside.

Summary of Peers Analysis

The peer analysis summary presents essential metrics for Globalstar and Lumen Technologies, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Iridium Comms ranks highest in revenue growth among its peers. It also leads in gross profit margin. However, it has the lowest return on equity compared to its peers.

About Iridium Comms

Iridium Communications Inc is the commercial provider of communications services offering true globalised coverage, connecting people, organizations and assets to and from anywhere, in real time. The company is a provider of mobile voice and data communications services through a constellation of low earth-orbiting satellites. Iridium's solutions are ideally suited for industries such as maritime, aviation, government/military, emergency/humanitarian services, mining, forestry, oil and gas, heavy equipment, transportation, and utilities. Iridium also provides service to subscribers from the U.S. Department of Defense, as well as other civil and government agencies world-wide. The Company operates in one business segment, providing satellite communications services and products.

Understanding the Numbers: Iridium Comms's Finances

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Iridium Comms displayed positive results in 3 months. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 9.37%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Communication Services sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Iridium Comms's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 17.06%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.86%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Iridium Comms's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.34%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 3.11, Iridium Comms adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Iridium Comms visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.