What is Iridium Communications Inc. worth?
With the base-case assumptions below, a discounted cash flow model on Iridium Communications Inc.'s reported free cash flow gives $64.14 per share. The share price was $48.75 on September 25, 2026, 24% below that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | 3.5% | 10.0% | $40.60 | -17% |
| Base | 8.5% | 9.0% | $64.14 | +32% |
| Bull | 13.5% | 8.0% | $111.08 | +128% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $81.75 | $87.15 | $93.75 | $102.01 | $112.62 |
| 8.0% | $68.59 | $72.09 | $76.23 | $81.20 | $87.27 |
| 9.0% | $58.98 | $61.38 | $64.14 | $67.37 | $71.18 |
| 10.0% | $51.67 | $53.38 | $55.31 | $57.51 | $60.06 |
| 11.0% | $45.93 | $47.18 | $48.58 | $50.15 | $51.93 |
Where the presets come from
Base: years 1 to 5 grow at Iridium Communications Inc.'s revenue growth rate over the last 5 fiscal years (8.4% 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