A Look Ahead: Iridium Comms's Earnings Forecast

Iridium Comms (NASDAQ:IRDM) will release its quarterly earnings report on Thursday, 2024-10-17. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Iridium Comms to report an earnings per share (EPS) of $0.20.

The market awaits Iridium Comms's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Overview of Past Earnings

Last quarter the company beat EPS by $0.10, which was followed by a 4.82% drop in the share price the next day.

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

Quarter	Q2 2024	Q1 2024	Q4 2023	Q3 2023
EPS Estimate	0.17	0.15	0.03	0.03
EPS Actual	0.27	0.16	0.30	-0.01
Price Change %	-5.0%	5.0%	-1.0%	-3.0%

Iridium Comms Share Price Analysis

Shares of Iridium Comms were trading at $30.07 as of October 15. Over the last 52-week period, shares are down 24.22%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Insights Shared by Analysts 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 provided Iridium Comms with 2 ratings, resulting in a consensus rating of Neutral. The average one-year price target stands at $37.5, suggesting a potential 24.71% upside.

Comparing Ratings with Peers

This comparison focuses on the analyst ratings and average 1-year price targets of and Cogent Comms Hldgs, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Cogent Comms Hldgs received a Neutral consensus from analysts, with an average 1-year price target of $75.1, implying a potential 149.75% upside.

Peer Metrics Summary

The peer analysis summary provides a snapshot of key metrics for and Cogent Comms Hldgs, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Company	Consensus	Revenue Growth	Gross Profit	Return on Equity
Iridium Comms	Neutral	4.12%	$147.66M	3.94%
Cogent Comms Hldgs	Neutral	8.61%	$104.28M	-7.06%

Key Takeaway:

Iridium Comms ranks higher in Revenue Growth compared to its peers. In terms of Gross Profit, it also outperforms its peers. However, its Return on Equity is lower than the average of its peers. Overall, Iridium Comms is positioned favorably among its peers based on the provided metrics.

Unveiling the Story Behind Iridium Comms

Iridium Communications Inc offers voice and data communications services and products to businesses, U.S. and international government agencies, and other customers on a global basis. 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 around the world. The Company operates in one business segment, providing global satellite communications services and products.

Breaking Down Iridium Comms's Financial Performance

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Revenue Growth: Iridium Comms's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 4.12%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Communication Services sector.

Net Margin: Iridium Comms's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 16.08%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Iridium Comms's ROE stands out, surpassing industry averages. With an impressive ROE of 3.94%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Iridium Comms's ROA excels beyond industry benchmarks, reaching 1.19%. This signifies efficient management of assets and strong financial health.

Debt Management: Iridium Comms's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 2.1.

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.