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DCF valuation

What is InterDigital, Inc. worth?

With the base-case assumptions below, a discounted cash flow model on InterDigital, Inc.'s reported free cash flow gives $516.20 per share. The share price was $292.52 on November 10, 2026, 43% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$528.6M
Average free cash flow, last 5 years
$282.9M
Cash
$639.2M
balance sheet of September 30, 2026
Debt
$307M
balance sheet of September 30, 2026
Diluted shares, fiscal 2025
34,474,000
Revenue growth per year, last 5 years
18.4%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$317.43+9%
Base15.0%9.0%2.5%9.0%$516.20+76%
Bull20.0%11.5%3.0%8.0%$886.33+203%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$666.70$713.62$770.98$842.67$934.84
8.0%$553.64$584.07$620.04$663.20$715.94
9.0%$471.39$492.19$516.20$544.21$577.31
10.0%$409.02$423.81$440.58$459.75$481.86
11.0%$360.21$371.06$383.18$396.82$412.28

Where the presets come from

Base: years 1 to 5 grow at InterDigital, Inc.'s revenue growth rate over the last 5 fiscal years (18.4% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

InterDigital, Inc. company page