Here’s Why InterDigital (IDCC) Rallied Over the Past Year

6 days ago 8

Soumya Eswaran

Mon, November 24, 2025 astatine 8:10 AM CST 3 min read

Investment absorption company First Pacific Advisors recently released its “FPA Queens Road Small Cap Value Fund” third-quarter 2025 capitalist letter. A transcript of the missive tin beryllium downloaded here. In the 3rd quarter, the money returned 7.46% compared to a 12.60% instrumentality for the Russell 2000 Value Index. In the archetypal 3 quarters of 2025, the Fund returned 13.77%, compared to 9.04% for the index. As the firm’s absorption is connected a diligent, disciplined, and diligent process, it expects the money to outperform successful down markets and way successful speculative markets. Additionally, you tin cheque the fund’s apical 5 holdings to find its champion picks for 2025.

In its third-quarter 2025 capitalist letter, the FPA Queens Road Small Cap Value Fund highlighted stocks specified arsenic InterDigital, Inc. (NASDAQ: IDCC). InterDigital, Inc. (NASDAQ:IDCC) is simply a planetary probe and improvement institution that focuses connected wireless, visual, artificial quality (AI), and related technologies. The one-month instrumentality of InterDigital, Inc. (NASDAQ:IDCC) was 15.30%, and its shares gained 69.03% of their worth implicit the past 52 weeks. On November 21, 2025, InterDigital, Inc. (NASDAQ:IDCC) banal closed astatine $327.63 per share, with a marketplace capitalization of $8.454 billion.

FPA Queens Road Small Cap Value Fund stated the pursuing regarding InterDigital, Inc. (NASDAQ:IDCC) successful its 3rd 4th 2025 capitalist letter:

"InterDigital, Inc. (NASDAQ:IDCC) is simply a R&D enactment that develops and acquires wireless connection and video patents. The institution has a past of beardown fiscal performance, opportunistically buys backmost shares, and pays a humble dividend. IDCC has been successfully renewing its wireless licensing agreements (Apple successful 2022, Samsung successful 2023) and has a increasing watercourse of recurring licensing revenues crossed user electronics, net of things (IoT), and automotive customers. 12 CEO Liren Chen joined successful 2021 from Qualcom and has been hiring different erstwhile Qualcom managers. The company’s stock terms has accrued implicit the past twelvemonth connected increasing revenue, profitability, and buybacks. We began trimming the Fund’s presumption this year."

Is InterDigital, Inc. (IDCC) Among The Aggressive Stocks Picked by Hedge Funds?

InterDigital, Inc. (NASDAQ:IDCC) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge money portfolios held InterDigital, Inc. (NASDAQ:IDCC) astatine the extremity of the 2nd quarter, the aforesaid arsenic successful the erstwhile quarter. In the 3rd 4th of 2025, InterDigital, Inc. (NASDAQ:IDCC) reported gross of astir $590 million, marking a 49% year-over-year increase. While we admit the imaginable of InterDigital, Inc. (NASDAQ:IDCC) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.