Shannon River Trims IDCC Shares Worth $44.3 Million, According to Recent SEC Filing
Key Points
Sold 125,230 shares of InterDigital; estimated trade value ~$44.28 million based on quarterly average price
Quarter-end position value dropped by $44.67 million, reflecting both trading and price movement
Change represents 6.95% of 13F reportable assets under management
Post-trade stake: 53,490 shares, valued at $17.03 million
Position now 2.67% of fund AUM, down from 9.9% in the prior quarter and outside the fund's top five holdings
On February 13, 2026, Shannon River Fund Management LLC disclosed it sold 125,230 shares of InterDigital (NASDAQ:IDCC), an estimated $44.28 million trade based on quarterly average pricing.
What Happened
According to a SEC filing dated February 13, 2026, Shannon River Fund Management LLC sold 125,230 shares of InterDigital during the fourth quarter. The estimated transaction value is $44.28 million, based on the average closing price for the quarter. The fund’s position in InterDigital dropped from 9.9% of assets under management to 2.67%, with a period-end value of $17.03 million. The net change in position value for the quarter was $44.67 million.
What Else to Know
This was a significant reduction, with InterDigital now representing 2.67% of the fund’s 13F assets under management.
Top holdings after the filing:
- NASDAQ:TSEM: $70.78 million (11.1% of AUM)
- NASDAQ:PEGA: $62.04 million (9.7% of AUM)
- NYSE:U: $47.06 million (7.4% of AUM)
- NYSE:LYV: $36.40 million (5.7% of AUM)
- NASDAQ:MRVL: $32.10 million (5.0% of AUM)
As of February 13, 2026, shares of InterDigital were priced at $375.01, up 76.2% over the past year, outperforming the S&P 500 by 64.43 percentage points.
Company Overview
| Metric | Value |
|---|---|
| Revenue (TTM) | $834.01 million |
| Net Income (TTM) | $406.64 million |
| Dividend Yield | 0.69% |
| Price (as of market close 2/13/26) | $375.01 |
Company Snapshot
- Offers patented technology solutions for wireless communications, video coding, and connected devices across global markets.
- Generates revenue from its portfolio of patented technologies used in products by manufacturers and service providers in the technology and telecommunications sectors.
- Serves device manufacturers, network equipment vendors, and consumer electronics companies operating in the mobile, IoT, and digital communications industries.
InterDigital, Inc. specializes in developing and licensing advanced wireless and video technologies, with a strong focus on 2G through 5G networks, IoT, and multimedia applications. Its extensive patent portfolio underpins its licensing-driven business model, providing critical intellectual property to a wide range of technology manufacturers worldwide. The company's scale and deep R&D capabilities position it as a key enabler of next-generation connectivity and digital innovation.
What This Transaction Means for Investors
Shannon River, a New York-based hedge fund, recently sold roughly $44 million worth of InterDigital (IDCC) stock during the fourth quarter (the three months ending on Dec. 31, 2025). That reduced its position in the technology stock by about 75%. Here’s what it means for investors.
First off, we should recognize that IDCC stock has been on quite the run. Over the last three years, shares have advanced by 397%, equating to an exceptional compound annual growth rate (CAGR) of 69.4%. Therefore, it’s possible, and perhaps likely, that Shannon River is simply taking profits in a stock that has delivered astonishing returns.
Looking ahead, there are a few things investors should know about IDCC stock. In the plus column, the company is riding high. Revenue and net income are both near record-high levels. IDCC has secured several key legal victories ensuring the ability to monetize its patent portfolio. What’s more, management has provided upbeat revenue and earnings guidance for 2026.
On other hand, the stock’s long run of success could prove a new challenge. In particular, the stock’s valuation is now gaining increased scrutiny. IDCC’s price-to-earnings (P/E) multiple now stands at 30x. That’s near its highest level in three years and nearly double its three-year average PE multiple of 17x.
In summary, Shannon River’s sale of IDCC is likely prudent portfolio management. After all, on balance, IDCC’s overall business fundamentals look solid given its near-record revenue and its bullish guidance. However, valuation concerns could temper demand for IDCC stock at its current level.
Jake Lerch has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Marvell Technology and Unity Software. The Motley Fool recommends Live Nation Entertainment. The Motley Fool has a disclosure policy.