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Iridium CommunicationsIRDM +0.15%77 Earnings Yield (Joel Greenblatt) % is 4.91% as of Mar. 2026, which is 440% above its 10-year median of 0.91. GuruFocus rates IRDM with a GF Score™ of 77/100 and a GF Value™ of $36.53 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 370 Telecommunication Services companies, Iridium Communications ranks worse than 62.16% on this metric.
Iridium Communications's Enterprise Value for the quarter that ended in Mar. 2026 was $4,582.2 Mil.
Iridium Communications's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was $224.9 Mil. Iridium Communications's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2026 was 4.91%.
The historical rank and industry rank for Iridium Communications's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:
IRDM'
s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: -2.8 Med: 0.91 Max: 8.8
Current: 3.41
During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Iridium Communications was 8.80%. The lowest was -2.80%. And the median was 0.91%.
IRDM's Earnings Yield (Joel Greenblatt) % is ranked worse than 62.16% of 370
companies
in the Telecommunication Services industry
Industry Median: 5.68
vs IRDM: 3.41
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Iridium Communications's Forward Rate of Return (Yacktman) % for the quarter that ended in Mar. 2026 was 18.43%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.
Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.
Be Aware
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
Iridium Communications Earnings Yield (Joel Greenblatt) % Related Terms
Iridium Communications Earnings Yield (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Iridium Communications's Earnings Yield (Joel Greenblatt) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Telecom Services subindustry, Iridium Communications's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Iridium Communications Earnings Yield (Joel Greenblatt) % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Iridium Communications's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Iridium Communications's Earnings Yield (Joel Greenblatt) % falls into.
In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.
Iridium Communicationss Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2025 is calculated as
Iridium Communications's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $224.9 Mil.
What does a Earnings Yield (Joel Greenblatt) % of 4.91% mean?
Iridium Communications (IRDM) has a Earnings Yield (Joel Greenblatt) % of 4.91% as of Mar. 2026. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Iridium Communications and its competitors. This is 440% above median its historical median of 0.91. According to the industry distribution chart, Iridium Communications ranks #230 out of 370 companies in the Telecommunication Services industry, placing it in the top 62.2%.
Is Iridium Communications' Earnings Yield (Joel Greenblatt) % too high?
Iridium Communications' current Earnings Yield (Joel Greenblatt) % of 4.91% is 440% above median its 10-year median of 0.91. The Telecommunication Services industry median Earnings Yield (Joel Greenblatt) % is 5.68. Iridium Communications' value of 4.91% is 13.6% below this industry median. Based on the distribution chart, Iridium Communications ranks #230 out of 370 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Iridium Communications has a GF Score™ of 77/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Iridium Communications' Earnings Yield (Joel Greenblatt) % compare to LBRDA and TDS?
According to the Telecommunication Services industry distribution chart, Iridium Communications ranks #230 out of 370 companies for Earnings Yield (Joel Greenblatt) %. This places Iridium Communications in the lower half of its industry. The industry median Earnings Yield (Joel Greenblatt) % is 5.68. Iridium Communications' value of 4.91% is 13.6% below this benchmark. While the company's 10-year median is 0.91 vs. the industry median of 5.68, Iridium Communications has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield (Joel Greenblatt) % for a Telecommunication Services company?
The median Earnings Yield (Joel Greenblatt) % among Telecommunication Services companies is 5.68, based on 370 companies in the industry. Companies in the top quartile (top 25%) have a Earnings Yield (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, Earnings Yield (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Iridium Communications's current Earnings Yield (Joel Greenblatt) % of 4.91% is 13.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Yield (Joel Greenblatt) % mean?
A high Earnings Yield (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Iridium Communications and its competitors. For the Telecommunication Services industry, the median Earnings Yield (Joel Greenblatt) % is 5.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Iridium Communications's current Earnings Yield (Joel Greenblatt) % is 4.91%, which is 440% above median its own 10-year median of 0.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Iridium Communications stock overvalued right now?
Based on GuruFocus' analysis, Iridium Communications (IRDM) is currently considered Modestly Overvalued. The stock's GF Value™ is $36.53, compared to a current price of $46.68 — trading 27.8% above its estimated fair value. The current Earnings Yield (Joel Greenblatt) % is 4.91%, which is 440% above median its 10-year median of 0.91 and 13.6% below the Telecommunication Services industry median of 5.68. Iridium Communications' overall GF Score™ is 77/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield (Joel Greenblatt) % calculated?
Earnings Yield (Joel Greenblatt) % is calculated from a company's financial statements. For Iridium Communications (IRDM), the current Earnings Yield (Joel Greenblatt) % is 4.91% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Iridium Communications (IRDM) Overvalued in 2026?
Based on GuruFocus' analysis, Iridium Communications stock appears to be overvalued.
The current stock price of $46.68 is trading 27.8% above its estimated GF Value™ of $36.53.
GuruFocus considers Iridium Communications to be Modestly Overvalued.
Key valuation signals for IRDM:
Earnings Yield (Joel Greenblatt) %: 4.91% (440% above median its 10-year median of 0.91)
GF Value™: $36.53 vs. price of $46.68 (27.8% above fair value)
Industry Position: 13.6% below the Telecommunication Services median (#230 of 370)
No single metric tells the full story. See the IRDM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Iridium Communications Inc is the commercial provider of communications services offering true globalised coverage, connecting people, organizations, and assets to and from anywhere, in real time. The company is a provider of mobile voice and data communications services through a constellation of low-earth-orbiting satellites. Iridium's solutions are ideally suited for industries such as maritime, aviation, government/military, emergency/humanitarian services, mining, forestry, oil and gas, heavy equipment, transportation, and utilities. Iridium also provides service to subscribers from the U.S. Department of Defense, as well as other civil and government agencies world-wide. The Company operates in one business segment, providing satellite communications services and products.
77GF Score
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