Iridium Communications Inc. (IRDM) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+140.4%

$105.17

vs $43.74 price

Levered DCF

$69.37

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

1.56

Distress zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	16.24×	30.55×	343×	755.88×	-591.55×	-93.64×	-19.1×	-153.75×
P/B	4.03×	5.97×	5.69×	5.84×	4.28×	3.7×	2.11×	1.26×
P/S	2.14×	4.14×	6.39×	9.14×	8.97×	9×	5.5×	3.84×
EV / EBITDA	8.01×	12.4×	17.06×	20.54×	19.44×	21.27×	21.24×	14.61×
Gross margin	77.3%	47.8%	35.8%	30.0%	25.8%	23.6%	21.0%	31.0%
Operating margin	27.1%	24.5%	15.1%	10.6%	7.5%	6.1%	1.8%	8.0%
Net margin	13.1%	13.6%	1.9%	1.2%	-1.5%	-9.6%	-28.9%	-2.6%
Current ratio	2.48×	1.73×	2.06×	2.16×	3.9×	3.04×	3.01×	1.49×
Debt / equity	3.81×	3.13×	1.69×	1.34×	1.26×	1.16×	1.24×	1.22×
Interest coverage	2.4×	1.98×	1.16×	1.06×	0.63×	0.36×	0.07×	0.76×
Dividend yield	3.4%	1.9%	1.3%	0.0%	0.0%	0.0%	0.3%	0.8%
Payout ratio	55.0%	57.4%	420.2%	0.0%	0.0%	0.0%	-5.2%	-115.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	24.7%	19.6%	1.7%	0.8%	-0.7%	-3.9%	-11.1%	-0.8%
Return on invested capital	7.8%	7.2%	-6.6%	2.6%	0.5%	0.7%	0.2%	0.7%
Return on assets	4.5%	4.2%	0.6%	0.3%	-0.3%	-1.7%	-4.5%	-0.3%
Free cash flow yield	16.1%	8.9%	4.8%	4.1%	4.7%	4.0%	2.6%	-6.4%
Earnings yield	6.1%	3.3%	0.3%	0.1%	-0.2%	-1.1%	-5.3%	-0.7%
Enterprise value	$3.5B	$5.2B	$6.5B	$7.9B	$6.8B	$6.7B	$4.7B	$3.7B
Net debt / EBITDA	3.78×	4.12×	3.76×	3.47×	3.71×	4.49×	7.21×	6.66×
Cash conversion cycle (days)	143	95	87	55	48	53	72	65