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Iridium Communications Inc (IRDM)

Fair Value
Communication ServicesTelecom ServicesUnited States

Fundamental

68

Price

$48.13

Market Cap

$5.08B

Part 1 · What the company is worth

Overview

Iridium Communications Inc. provides mobile voice and data communications services and products to businesses, the United States and foreign governments, non-governmental organizations, and consumers in the United States, Canada, and internationally. The company offers mobile satellite communications services for land mobile end users and aviation sectors; broadband terminals, embedded devices, and handsets for merchant shipping, fishing, leisure and research vessels, and specialized watercraft; satellite-based IoT services; hosted payload and other data services; and other data services and engineering services. It also provides postpaid mobile voice and data satellite communications; prepaid mobile voice satellite communications; push-to-talk; broadband data; Internet of Things (IoT); and satellite time and location services. In addition, the company offers personnel tracking devices; asset tracking devices for equipment, vehicles, and aircrafts; beyond-line-of-sight aircraft communications applications; maritime communications applications; specialized communications solutions for high-value individuals; and mobile communications and data devices for the military and other government agencies, such as secure satellite handsets; and maintenance services for the U.S. government's dedicated gateway. Further, it provides satellite handsets, voice and data modems, broadband data devices, and IoT data devices; and various accessories for its devices that include batteries, holsters, earbud headphones, portable auxiliary antennas, antenna adaptors, USB data cables, and charging units. The company sells its products and services to commercial end users through a wholesale distribution network that includes service providers, and value-added resellers and value-added manufacturers. The company was formerly known as Iridium Holdings LLC and changed its name to Iridium Communications Inc. in September 2009. Iridium Communications Inc. is headquartered in McLean, Virginia.

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Direct competitors

Who this company fights with for the same customers

Compare

Generated on September 18, 2026 with claude-haiku-4-5 — shared with all users

P/E: —Score: 57Market cap: —

Iridium names Globalstar in its 10-K as a direct rival: both run low-Earth-orbit constellations selling satellite voice, messaging and IoT connectivity to the same maritime, aviation, government and remote-worker customers.

ORBCOMM Inc.Not tracked

ORBCOMM sells satellite IoT and asset-tracking subscriptions to fleets, shipping and heavy equipment operators, the same low-bandwidth data market that supplies the bulk of Iridium's subscriber growth.

Viasat, Inc.VSAT

After absorbing Inmarsat, Viasat sells L-band and broadband satellite connectivity to the maritime, aviation, government and defence customers Iridium serves, competing contract by contract for the same shipboard and aircraft terminals.

Space Exploration Technologies Corp. (SpaceX / Starlink)Not tracked

Starlink's satellite broadband and its direct-to-device service compete with Iridium for remote connectivity on ships, aircraft and handsets, and Iridium's own 10-K flags Starlink's planned global direct-to-device coverage.

Thuraya Telecommunications Company (part of Space42)Not tracked

Thuraya sells L-band satellite phones and data terminals across Europe, Africa, the Middle East and Asia, the same handheld and portable-terminal market Iridium serves in those regions.

Eutelsat Communications S.A. (OneWeb)ETL

Named in Iridium's 10-K, Eutelsat's OneWeb constellation sells low-Earth-orbit connectivity to maritime, aviation, government and remote-enterprise customers that also buy Iridium airtime.

Balance Sheet & Liquidity

Revenue

$884M

Trailing 12 months (through 6/30/2026)

Net Income

$93M

Trailing 12 months (through 6/30/2026)

Free Cash Flow

$300M

Total Equity

$463M

Total Liabilities

$2.07B

Current Ratio

2.78

Interest Coverage

10.17

Debt/EBITDA

0.03

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseFairly Valued

Fair Value

$41.09

Current Price

$48.13

Margin of Safety

-17.1%

Fair Value Range

$27.24 - $54.94

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$42.00
Discounted cash flow (DCF):$58.92
Earnings multiple (P/E):$39.25
Graham growth formula:$14.16
Earnings power value (EPV):$16.39
Justified P/B:$13.32
Dividend discount (Gordon):$11.38
P/FFO, funds from operations:$49.01
Mid-cycle earnings:$25.95
Revenue multiple:$16.75
Analyst Consensus:Buy (8B / 7H / 0S)
Last Earnings Surprise:-68.22%

Valuation Metrics

P/E Ratio

54.43

ROE

24.7%

P/B Ratio

10.74

P/FCF

17.60

Gross Margin

-

ROIC

6.8%

Profitability Radar

Value Creation (Economic Moat)

ROIC

6.8%

WACC

9.3%

ROIC − WACC

-2.5 pp

ROIC is below the cost of capital — the company is destroying value for every dollar invested.

Fundamental Analysis Criteria

Passed (17)

  • EPS shows upward trend
  • Price CAGR 17.54%
  • ROIC 6.8%
  • P/FCF 17.60
  • Operating Margin 23.8%
  • Positive Free Cash Flow
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • Low reliance on intangibles
  • ROE 20.1%
  • Revenue Growth 5Y 8.4%
  • Analyst Consensus 53% Buy
  • Earnings Quality (OCF/NI) 4.24
  • Share Dilution -10.1%
  • Piotroski F-Score 7/9

Failed (7)

  • P/B Ratio 10.74
  • Debt/Equity ratio
  • CapEx intensity
  • Price below Graham Number
  • DCF valuation (Overvalued)
  • Earnings Surprise avg -19.5%
  • Net Margin Trend 10.5% vs 13.2%

Unavailable (3)

  • Gross Margin NaN%
  • Dividend Payout NaN%
  • PEG Ratio (need PE > 0 and growth > 0)

Piotroski F-Score

7/9

Strong financial health

score
criteria

Earnings Quality

4.24

High quality: earnings backed by cash

Share Dilution

-10.1%

Buying back shares. Shareholder friendly

Institutional Holdings

Governance

Executive Team

NameTitleAge
Mr. Matthew J. DeschCEO & Director67
Mr. Vincent J. O'NeillChief Financial Officer59
Ms. Suzanne E. McBrideCOO & Director56
Ms. Kathleen A. MorganChief Legal Officer & Company Secretary57
Mr. Scott T. ScheimreifExecutive Vice President of Government Programs56
Mr. Gregory D. PeltonChief Technical Officer-
Mr. Kenneth B. LevyVice President of Investor Relations-
Mr. Timothy J. LastExecutive Vice President of Sales & Marketing57
Mr. Donald L. ThomaExecutive Vice President of Aireon63
Dr. Michael L. O'Connor Ph.D.Executive Vice President of Positioning, Navigation & Timing Division-

Audit Risk

1

Board Risk

1

Compensation Risk

4

Shareholder Rights Risk

4

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-02-12

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-07-22

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-09-24

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for IRDM, sourced from Markets Gazette.

No recent news for IRDM.