Iridium Communications
Iridium Communications Inc. provides mobile voice and data communications services through satellite to businesses, the U.S. The last earnings update was 64 days ago. More info.
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- Iridium Communications has significant price volatility in the past 3 months.
IRDM Share Price and Events
7 Day Returns
1 Year Returns
IRDM Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Iridium Communications (IRDM) | -8.5% | -2.5% | -16.7% | 37% | 154.6% | 159.7% |
| US Telecom | -0.1% | -0.2% | 0.1% | 6.5% | -11.9% | -3.8% |
| US Market | 1.4% | 3.8% | 3.5% | 4.9% | 44.8% | 40.1% |
1 Year Return vs Industry and Market
- IRDM outperformed the Telecom industry which returned 6.5% over the past year.
- IRDM outperformed the Market in United States of America which returned 4.9% over the past year.
IRDM Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Iridium Communications
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Iridium Communications.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 5 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 7.5% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Telecom Unlevered Beta | Simply Wall St/ S&P Global | 0.33 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.332 (1 + (1- 21%) (69.66%)) |
0.675 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.8 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%) |
7.5% |
Discounted Cash Flow Calculation for NasdaqGS:IRDM using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Iridium Communications is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 7.5%) |
|
|---|---|---|---|
| 2019 | 101.57 | Analyst x2 | 94.49 |
| 2020 | 209.97 | Analyst x2 | 181.70 |
| 2021 | 248.23 | Analyst x1 | 199.82 |
| 2022 | 279.30 | Est @ 12.52% | 209.15 |
| 2023 | 306.05 | Est @ 9.58% | 213.20 |
| 2024 | 329.08 | Est @ 7.53% | 213.26 |
| 2025 | 349.11 | Est @ 6.09% | 210.46 |
| 2026 | 366.85 | Est @ 5.08% | 205.72 |
| 2027 | 382.89 | Est @ 4.37% | 199.74 |
| 2028 | 397.76 | Est @ 3.88% | 193.02 |
| Present value of next 10 years cash flows | $1,920.57 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $397.76 × (1 + 2.73%) ÷ (7.5% – 2.73%) |
$8,569.93 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $8,569.93 ÷ (1 + 7.5%)10 |
$4,158.85 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $1,920.57 + $4,158.85 |
$6,079.43 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $6,079.43 / 129.87 |
$46.81 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $46.81 |
| Current discount | Discount to share price of
$22.05
= -1 x ($22.05 - $46.81) / $46.81 |
52.9% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Iridium Communications's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Iridium Communications's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Iridium Communications's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Iridium Communications's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $-0.46 |
| NasdaqGS:IRDM Share Price ** | NasdaqGS (2019-06-25) in USD | $22.05 |
| United States of America Telecom Industry PE Ratio | Median Figure of 17 Publicly-Listed Telecom Companies | 14.92x |
| United States of America Market PE Ratio | Median Figure of 3,095 Publicly-Listed Companies | 17.73x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Iridium Communications.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NasdaqGS:IRDM Share Price ÷ EPS (both in USD) = 22.05 ÷ -0.46 |
-48.21x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Iridium Communications is loss making, we can't compare its value to the US Telecom industry average.
- Iridium Communications is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does
Iridium Communications's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | -48.21x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts |
49.1%per year |
| United States of America Telecom Industry PEG Ratio | Median Figure of 8 Publicly-Listed Telecom Companies | 2.06x |
| United States of America Market PEG Ratio | Median Figure of 2,133 Publicly-Listed Companies | 1.53x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for Iridium Communications, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Iridium Communications's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $14.01 |
| NasdaqGS:IRDM Share Price * | NasdaqGS (2019-06-25) in USD | $22.05 |
| United States of America Telecom Industry PB Ratio | Median Figure of 29 Publicly-Listed Telecom Companies | 1.66x |
| United States of America Market PB Ratio | Median Figure of 5,255 Publicly-Listed Companies | 1.79x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NasdaqGS:IRDM Share Price ÷ Book Value per Share (both in USD) = 22.05 ÷ 14.01 |
1.57x |
* Primary Listing of Iridium Communications.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Iridium Communications is good value based on assets compared to the US Telecom industry average.
Value checks
We assess Iridium Communications's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Telecom industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Telecom industry average (and greater than 0)? (1 check) Iridium Communications has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
IRDM Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Unable to compare Iridium Communications's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
- Unable to compare Iridium Communications's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
- Iridium Communications's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NasdaqGS:IRDM Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts | 49.1% |
| NasdaqGS:IRDM Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts | 7.4% |
| United States of America Telecom Industry Earnings Growth Rate | Market Cap Weighted Average | 7.7% |
| United States of America Telecom Industry Revenue Growth Rate | Market Cap Weighted Average | 0.8% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.9% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.4% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 649 | -14 | 1 | |
| 2020-12-31 | 589 | 252 | -42 | 5 |
| 2019-12-31 | 544 | 221 | -82 | 5 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 538 | 254 | -51 |
| 2018-12-31 | 523 | 264 | -24 |
| 2018-09-30 | 506 | 282 | 124 |
| 2018-06-30 | 486 | 281 | 164 |
| 2018-03-31 | 463 | 254 | 192 |
| 2017-12-31 | 448 | 260 | 218 |
| 2017-09-30 | 440 | 264 | 101 |
| 2017-06-30 | 436 | 236 | 103 |
| 2017-03-31 | 434 | 242 | 105 |
| 2016-12-31 | 434 | 225 | 95 |
| 2016-09-30 | 433 | 219 | 2 |
| 2016-06-30 | 426 | 234 | 0 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
All data from Iridium Communications Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | -0.12 | -0.12 | -0.12 | 1.00 |
| 2020-12-31 | -0.32 | -0.25 | -0.36 | 3.00 |
| 2019-12-31 | -0.66 | -0.52 | -0.91 | 4.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | -0.46 |
| 2018-12-31 | -0.22 |
| 2018-09-30 | 1.18 |
| 2018-06-30 | 1.61 |
| 2018-03-31 | 1.94 |
| 2017-12-31 | 2.23 |
| 2017-09-30 | 1.03 |
| 2017-06-30 | 1.06 |
| 2017-03-31 | 1.09 |
| 2016-12-31 | 0.99 |
| 2016-09-30 | 0.02 |
| 2016-06-30 | 0.00 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Unable to establish if Iridium Communications will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Future performance checks
We assess Iridium Communications's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Iridium Communications has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
IRDM Past Performance
How has Iridium Communications performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Iridium Communications does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
- Unable to compare Iridium Communications's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Unable to compare Iridium Communications's 1-year growth to the US Telecom industry average as it is not currently profitable.
Earnings and Revenue History
All data from Iridium Communications Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 537.55 | -51.26 | 99.19 | 21.46 |
| 2018-12-31 | 523.01 | -23.53 | 97.85 | 22.43 |
| 2018-09-30 | 506.31 | 124.04 | 100.32 | 20.23 |
| 2018-06-30 | 486.10 | 164.34 | 91.54 | 19.16 |
| 2018-03-31 | 462.77 | 191.76 | 87.68 | 16.60 |
| 2017-12-31 | 448.05 | 218.21 | 84.41 | 15.25 |
| 2017-09-30 | 440.03 | 100.54 | 80.52 | 14.69 |
| 2017-06-30 | 436.27 | 102.83 | 80.81 | 15.75 |
| 2017-03-31 | 433.86 | 104.87 | 82.71 | 16.75 |
| 2016-12-31 | 433.64 | 95.47 | 82.55 | 16.08 |
| 2016-09-30 | 432.61 | 1.97 | 84.78 | 15.73 |
| 2016-06-30 | 425.85 | -0.01 | 83.55 | 14.17 |
| 2016-03-31 | 418.57 | -0.81 | 79.98 | 14.58 |
| 2015-12-31 | 411.38 | -8.31 | 81.45 | 16.14 |
| 2015-09-30 | 405.47 | 84.16 | 79.48 | 17.94 |
| 2015-06-30 | 406.93 | 75.03 | 80.22 | 19.37 |
| 2015-03-31 | 407.53 | 65.06 | 79.97 | 19.59 |
| 2014-12-31 | 408.56 | 62.67 | 78.64 | 17.59 |
| 2014-09-30 | 406.25 | 57.33 | 76.12 | 16.30 |
| 2014-06-30 | 399.33 | 55.59 | 76.13 | 14.52 |
| 2014-03-31 | 391.49 | 57.08 | 76.04 | 11.61 |
| 2013-12-31 | 382.65 | 55.52 | 75.22 | 11.15 |
| 2013-09-30 | 376.73 | 56.65 | 70.07 | 9.31 |
| 2013-06-30 | 376.60 | 59.65 | 68.24 | 9.81 |
| 2013-03-31 | 379.24 | 63.65 | 67.81 | 11.50 |
| 2012-12-31 | 383.52 | 62.89 | 67.59 | 15.53 |
| 2012-09-30 | 386.21 | 56.29 | 68.08 | 20.66 |
| 2012-06-30 | 387.90 | 51.09 | 68.08 | 20.16 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- It is difficult to establish if Iridium Communications has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- Iridium Communications used its assets less efficiently than the US Telecom industry average last year based on Return on Assets.
- It is difficult to establish if Iridium Communications improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Past performance checks
We assess Iridium Communications's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Telecom industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Iridium Communications has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
IRDM Health
How is Iridium Communications's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Iridium Communications's finances.
The net worth of a company is the difference between its assets and liabilities.
- Iridium Communications is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Iridium Communications's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Iridium Communications Company Filings, last reported 2 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 1,586.70 | 1,962.06 | 275.66 |
| 2018-12-31 | 1,601.58 | 1,955.74 | 273.35 |
| 2018-09-30 | 1,599.78 | 2,040.61 | 381.45 |
| 2018-06-30 | 1,606.71 | 2,034.27 | 375.94 |
| 2018-03-31 | 1,608.22 | 2,054.07 | 450.73 |
| 2017-12-31 | 1,596.47 | 1,703.56 | 297.63 |
| 2017-09-30 | 1,448.96 | 1,723.83 | 350.36 |
| 2017-06-30 | 1,412.54 | 1,688.42 | 356.52 |
| 2017-03-31 | 1,383.13 | 1,684.38 | 419.14 |
| 2016-12-31 | 1,343.76 | 1,657.15 | 410.50 |
| 2016-09-30 | 1,318.88 | 1,574.32 | 426.37 |
| 2016-06-30 | 1,286.43 | 1,532.90 | 443.09 |
| 2016-03-31 | 1,257.63 | 1,481.55 | 412.14 |
| 2015-12-31 | 1,228.72 | 1,388.77 | 388.99 |
| 2015-09-30 | 1,301.22 | 1,463.24 | 512.57 |
| 2015-06-30 | 1,276.70 | 1,393.15 | 476.85 |
| 2015-03-31 | 1,250.64 | 1,313.77 | 488.20 |
| 2014-12-31 | 1,231.86 | 1,291.40 | 472.39 |
| 2014-09-30 | 1,210.05 | 1,089.54 | 523.08 |
| 2014-06-30 | 1,190.90 | 1,084.43 | 500.49 |
| 2014-03-31 | 956.31 | 1,064.49 | 255.21 |
| 2013-12-31 | 939.50 | 1,039.20 | 262.99 |
| 2013-09-30 | 925.17 | 936.29 | 270.32 |
| 2013-06-30 | 907.61 | 853.55 | 275.69 |
| 2013-03-31 | 891.85 | 751.79 | 271.93 |
| 2012-12-31 | 876.56 | 751.79 | 254.42 |
| 2012-09-30 | 764.92 | 588.94 | 189.40 |
| 2012-06-30 | 735.28 | 567.99 | 166.66 |
- Iridium Communications's level of debt (123.7%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (111% vs 123.7% today).
- Debt is not well covered by operating cash flow (12.9%, less than 20% of total debt).
- Iridium Communications is making a loss, therefore interest payments are not well covered by earnings.
Financial health checks
We assess Iridium Communications's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Iridium Communications has a total score of 1/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
IRDM Dividends
What is Iridium Communications's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Iridium Communications
shares you are expected to receive
$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate Iridium Communications's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate Iridium Communications's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| United States of America Telecom Industry Average Dividend Yield | Market Cap Weighted Average of 8 Stocks | 5.3% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2012 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | ||
| 2020-12-31 | ||
| 2019-12-31 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as Iridium Communications has not reported any payouts.
- Unable to verify if Iridium Communications's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess Iridium Communications's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Iridium Communications afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Iridium Communications has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
IRDM Management
CEO
| COMPENSATION | $3,348,524 |
| AGE | 60 |
| TENURE AS CEO | 12.8 years |
CEO Bio
Mr. Matthew J. Desch, also known as Matt, serves as the Chief Executive Officer at Iridium Satellite LLC since September 21, 2006. Mr. Desch has been the Chief Executive Officer of Iridium Communications Inc. since September 21, 2006. He serves as Member of the Executive Board of the Alliance for Telecommunications Industry Solutions (ATIS), the US industry standards organization. He has more than 27 years of leadership and industry experience. Mr. Desch served as Chief Executive Officer of Telcordia Technologies Inc., a wholly owned subsidiary of Science Applications International Corp. from July 2002 to 2005. Prior to joining Telcordia, he spent 13 years (from 1987 to May 2000) at Nortel Networks in a wide range of senior management positions, including his most recent as President of the Global Service Providers division, where he succeeded in growing it carrier business in Europe, Africa, Asia and the Middle East. Prior to joining Nortel, he spent seven years managing software development and strategic planning activities at&T Bell Labs and AT&T Network Systems (now Lucent Technologies). He was associated with interWAVE Communications International, Ltd., and EDCI Holdings, Inc. From 1996 to May 2000, he served as an Executive Vice President and President of Nortel's Wireless Networks division, responsible for Nortel's global wireless infrastructure business. He serves on two boards of corporations offering emerging technologies to the communications industry - Airspan, a leading public supplier of wireless DSL infrastructure for global communications operators and Flarion, a private New Jersey based company which develops a unique, 4th generation wireless wide area LAN technology for cellular/PCS operators. He serves as Chairman at Iridium Satellite LLC. He served as the Chairman of Airspan Networks Inc. since July 1, 2000 and served as its Director. Mr. Desch served as the Chairman of the Board of Iridium Communications Inc. He served as Chairman of the Board and Director of Cyneta Networks Inc. He served as Non-Executive Chairman of Telcordia Technologies Inc., from 2002 to September 1, 2005. He serves as a Director of Glenayre Communications and Celerica, Inc. He serves as Member of Board of Advisors at Tango Networks, Inc. He serves as Trustee of Aircraft Owners and Pilots Association. He has been a Director of Iridium Communications Inc. since September 2009 and Starent Networks LLC since July 10, 2006. He has been Member of Advisory Board of Genband Inc., since April 19, 2006. He served as a Director of Telcordia Technologies Inc., since October 2002 and Science Applications International Corp. since 2002. He served as Director of Leidos Holdings, Inc since October 2002. He served as Director of Taqua LLC, MobileQ, Inc. and QUALCOMM Flarion Technologies, Inc. Active in the wireless industry since 1991, Mr. Desch served positions in the Cellular Telecommunications & Internet Association (CTIA) and Personal Communications Industry Associations (PCIA) and was an early Chairman of the Wireless Foundation. He serves as a Director of Aireon LLC. He serves as a Trustee, Member of Strategy and Growth Committee and Member of Compensation, Organization and HR Committee at Aircraft Owners and Pilots Association. He joined the AOPA Board of Trustees in 2011, having been an AOPA member since 1976 and a member of the AOPA Foundation Board of Visitors since 2008. Matt earned his Private Pilot Certificate in 1976 and holds a Commercial certificate with Instrument and Multi-engine land ratings. He has more than 1600 flight hours today and owns a Cessna T210 based at Leesburg Executive (KJYO). He holds a B.S. Degree in Computer Science from Ohio State University and an MBA from the University of Chicago.
CEO Compensation
- Matt's compensation has increased whilst company is loss making.
- Matt's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Iridium Communications management team in years:
- The average tenure for the Iridium Communications management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Matt Desch
CEO & Director
$3M
60
12.8 yrs
Tom Fitzpatrick
Chief Administrative Officer
$2M
60
9.2 yrs
Thomas Hickey
Chief Legal Officer & Secretary
$1M
58
8.1 yrs
Bryan Hartin
Executive Vice President of Sales & Marketing
$1M
54
6.5 yrs
Suzi McBride
Chief Operating Officer
49
0.3 yrs
Kenneth Levy
Vice President of Investor Relations
Scott Scheimreif
Executive Vice President of Government Programs
49
6.5 yrs
Don Thoma
President & CEO of Aireon LLC
$1M
56
7.4 yrs
Joe Pizzicaroli
Executive Director of NEXT Advanced Systems
Tim Last
VP & GM of IoT
Board of Directors Tenure
Average tenure and age of the Iridium Communications board of directors in years:
- The tenure for the Iridium Communications board of directors is about average.
Board of Directors
Bob Niehaus
Chairman of the Board
$210K
62
9.8 yrs
Matt Desch
CEO & Director
$3M
60
9.8 yrs
Tom Fitzpatrick
Chief Administrative Officer
$2M
60
5.8 yrs
Buzzy Krongard
Director
$183K
81
9.8 yrs
John Campbell
Chairman of The Government Advisory Board
70
Steve Pfeiffer
Director
$175K
71
9.8 yrs
Parker Rush
Director
$200K
58
11.3 yrs
Thomas Canfield
Director
$160K
62
11.3 yrs
Art Money
Member of Government Advisory Board
78
Lance Lord
Member of Government Advisory Board
71
Who owns this company?
Recent Insider Trading
- Iridium Communications individual insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 28. May 19 | Buy | Parker Rush | Individual | 24. May 19 | 24. May 19 | 4,000 | $22.70 | $90,780 | ||
| 01. May 19 | Sell | Scott Scheimreif | Individual | 30. Apr 19 | 30. Apr 19 | -44,078 | $27.14 | $-1,196,277 | ||
| 30. Apr 19 | Sell | Bryan Hartin | Individual | 29. Apr 19 | 29. Apr 19 | -28,000 | $27.13 | $-759,640 | ||
| 30. Apr 19 | Sell | Thomas Hickey | Individual | 29. Apr 19 | 29. Apr 19 | -16,011 | $27.10 | $-433,898 | ||
| 09. Aug 18 | Sell | Scott Scheimreif | Individual | 07. Aug 18 | 07. Aug 18 | -22,195 | $19.60 | $-435,022 | ||
| 08. Aug 18 | Sell | Thomas Canfield | Individual | 06. Aug 18 | 06. Aug 18 | -12,500 | $19.30 | $-241,290 | ||
| 08. Aug 18 | Sell | Bryan Hartin | Individual | 06. Aug 18 | 06. Aug 18 | -29,655 | $19.23 | $-570,266 | ||
| 07. Aug 18 | Sell | Thomas Hickey | Individual | 03. Aug 18 | 03. Aug 18 | -13,455 | $18.86 | $-253,761 | ||
Management checks
We assess Iridium Communications's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Iridium Communications has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
IRDM News
Simply Wall St News
The Iridium Communications (NASDAQ:IRDM) Share Price Has Gained 191%, So Why Not Pay It Some Attention?
(NASDAQ:IRDM) shareholders are probably generally happy, the stock hasn't had particularly good run recently, with the share price falling 11% in the last quarter. … See our latest analysis for Iridium Communications Iridium Communications isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … In the last 5 years Iridium Communications saw its revenue grow at 5.6% per year.
Simply Wall St - – Full articleIridium Communications Inc. (NASDAQ:IRDM): Time For A Financial Health Check
Small and large cap stocks are widely popular for a variety of reasons, however, mid-cap companies such as Iridium Communications Inc. … Today we will look at IRDM’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … View our latest analysis for Iridium Communications
Simply Wall St - – Full articleIs Iridium Communications Inc. (NASDAQ:IRDM) Overpaying Its CEO?
This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … How Does Matt Desch's Compensation Compare With Similar Sized Companies. … is worth US$3.0b, and total annual CEO compensation is US$3.3m.
Simply Wall St - – Full articleIntroducing Iridium Communications (NASDAQ:IRDM), The Stock That Zoomed 230% In The Last Three Years
Because Iridium Communications is loss-making, we think the market is probably more focussed on revenue and revenue growth, at least for now. … When a company doesn't make profits, we'd generally expect to see good revenue growth. … In the last 3 years Iridium Communications saw its revenue grow at 7.2% per year.
Simply Wall St - – Full articleDon't Sell Iridium Communications Inc. (NASDAQ:IRDM) Before You Read This
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … We'll look at Iridium Communications Inc.'s (NASDAQ:IRDM) P/E ratio and reflect on what it tells us about the company's share price. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleHave Insiders Been Selling Iridium Communications Inc. (NASDAQ:IRDM) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Iridium Communications Inc. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … That means that an insider was selling shares at below the current price (US$19.42).
Simply Wall St - – Full articleAn Intrinsic Calculation For Iridium Communications Inc. (NASDAQ:IRDM) Shows It's 47.38% Undervalued
by projecting its future cash flows and then discounting them to today's value. … Discounted Cash Flows (DCF). … If you are reading this and its not January 2019 then I highly recommend you check out the latest calculation for Iridium Communications by following the link below
Simply Wall St - – Full articleWhat does Iridium Communications Inc.'s (NASDAQ:IRDM) Balance Sheet Tell Us About Its Future?
Small-cap and large-cap companies receive a lot of attention from investors, but mid-cap stocks like Iridium Communications Inc. … Today we will look at IRDM’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … Check out our latest analysis for Iridium Communications
Simply Wall St - – Full articleIs Iridium Communications Inc.'s (NASDAQ:IRDM) CEO Pay Justified?
This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … How Does Matt Desch's Compensation Compare With Similar Sized Companies. … is worth US$2.2b, and total annual CEO compensation is US$3.1m.
Simply Wall St - – Full articleWith A 8.5% Return On Equity, Is Iridium Communications Inc (NASDAQ:IRDM) A Quality Stock?
Our data shows Iridium Communications has a return on equity of 8.5% for the last year. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.085 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleIRDM Company Info
Description
Iridium Communications Inc. provides mobile voice and data communications services through satellite to businesses, the U.S. and foreign 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. It also provides other services, such as inbound connections from the public switched telephone network, short message, subscriber identity module, activation, customer reactivation, and other peripheral services. In addition, the company offers voice and data solutions comprising personnel tracking devices; asset tracking devices for equipment, vehicles, and aircrafts; beyond-line-of-sight aircraft communications applications; submarine communications applications; specialized communications solutions for high-value individuals; mobile communications and data devices for the military and intelligence community, such as secure satellite handsets, as well as netted voice, messaging, and paging services; and maintenance services for the department of defense’s dedicated gateway. Further, it provides satellite handsets, personal connectivity devices, voice and data modems, broadband data devices, and IoT data devices; various accessories for its devices that include batteries, holsters, earbud headphones, portable auxiliary antennas, antenna adaptors, USB data cables, charging units, and others; and engineering and support services. Iridium Communications Inc. sells its products and services to commercial end users through a wholesale distribution network that include service providers, and value-added resellers and manufacturers. The company was formerly known as Iridium Holdings LLC and changed its name to Iridium Communications Inc. in September 2009. Iridium Communications Inc. was founded in 2000 and is headquartered in McLean, Virginia.
Details
| Name: | Iridium Communications Inc. |
| IRDM | |
| Exchange: | NasdaqGS |
| Founded: | 2000 |
| $2,862,319,327 | |
| 129,869,298 | |
| Website: | http://www.iridium.com |
| Address: |
Iridium Communications Inc. 1750 Tysons Boulevard, Suite 1400, McLean, Virginia, 22102, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NasdaqGS | IRDM | Common Stock | Nasdaq Global Select | US | USD | 20. Mar 2008 | |
| DB | 6IC | Common Stock | Deutsche Boerse AG | DE | EUR | 20. Mar 2008 | |
| LSE | 0JDO | Common Stock | London Stock Exchange | GB | USD | 20. Mar 2008 | |
| OTCUS | IRII.Z | PERP PFD CONV A | Other "Grey Market" OTC | US | USD | 05. Oct 2012 |
Number of employees
Current staff
Industry
| Alternative Carriers | |
| Telecom |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/06/26 00:47 |
| End of day share price update: | 2019/06/25 00:00 |
| Last estimates confirmation: | 2019/06/24 |
| Last earnings filing: | 2019/04/23 |
| Last earnings reported: | 2019/03/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
