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Iridium CommunicationsIRDM +0.13%77 EV-to-OCF is 16.08 as of Jul. 20, 2026, which is 4% below its 10-year median of 16.78. GuruFocus rates IRDM with a GF Score™ of 77/100 and a GF Value™ of $36.54 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 366 Telecommunication Services companies, Iridium Communications ranks worse than 83.33% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, Iridium Communications's Enterprise Value is $6,601.9 Mil.
Iridium Communications's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $410.6 Mil. Therefore, Iridium Communications's EV-to-OCF for today is 16.08.
The historical rank and industry rank for Iridium Communications's EV-to-OCF or its related term are showing as below:
IRDM'
s EV-to-OCF Range Over the Past 10 Years
Min: 8.27 Med: 16.78 Max: 34.51
Current: 16.08
During the past 13 years, the highest EV-to-OCF of Iridium Communications was 34.51. The lowest was 8.27. And the median was 16.78.
IRDM's EV-to-OCF is ranked worse than 83.33% of 366
companies
in the Telecommunication Services industry
Industry Median: 7.11
vs IRDM: 16.08
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Iridium Communications's PE Ratio (TTM) for today is calculated as:
Iridium Communications's share price for today is $46.74.
Iridium Communications's Earnings per Share (Diluted) 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 $0.987.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
* 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 EV-to-OCF, along with its competitors' market caps and EV-to-OCF 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 EV-to-OCF vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Iridium Communications's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Iridium Communications's EV-to-OCF falls into.
Iridium Communications's current Enterprise Value is $6,601.9 Mil.
Iridium Communications's Cash Flow from Operations 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 $410.6 Mil.
* 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.
Iridium Communications (IRDM) has a EV-to-OCF of 16.08 as of Jul. 20, 2026. This is near median its historical median of 16.78. Over the past decade, Iridium Communications' EV-to-OCF has ranged from 8.27 to 34.51. According to the industry distribution chart, Iridium Communications ranks #305 out of 366 companies in the Telecommunication Services industry, placing it in the top 83.3%.
Is Iridium Communications' EV-to-OCF too high?
Iridium Communications' current EV-to-OCF of 16.08 is near median its 10-year median of 16.78. Over the past 10 years, this metric has ranged from a low of 8.27 to a high of 34.51. The Telecommunication Services industry median EV-to-OCF is 7.11. Iridium Communications' value of 16.08 is 126.2% above this industry median. Based on the distribution chart, Iridium Communications ranks #305 out of 366 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. 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' EV-to-OCF compare to LBRDA and TDS?
According to the Telecommunication Services industry distribution chart, Iridium Communications ranks #305 out of 366 companies for EV-to-OCF. This places Iridium Communications in the lower half of its industry. The industry median EV-to-OCF is 7.11. Iridium Communications' value of 16.08 is 126.2% above this benchmark. Historically, Iridium Communications' own EV-to-OCF has ranged from 8.27 to 34.51 over the past decade. While the company's 10-year median is 16.78 vs. the industry median of 7.11, Iridium Communications has consistently been above 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 EV-to-OCF for a Telecommunication Services company?
The median EV-to-OCF among Telecommunication Services companies is 7.11, based on 366 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Iridium Communications's current EV-to-OCF of 16.08 is 126.2% above 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 EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Telecommunication Services industry, the median EV-to-OCF is 7.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Iridium Communications's current EV-to-OCF is 16.08, which is near median its own 10-year median of 16.78. 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 $36.54, compared to a current price of $46.74 — trading 27.9% above its estimated fair value. The current EV-to-OCF is 16.08, which is near median its 10-year median of 16.78 and 126.2% above the Telecommunication Services industry median of 7.11. 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 EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Iridium Communications (IRDM), the current EV-to-OCF is 16.08 as of Jul. 20, 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 $46.74 is trading 27.9% above its estimated GF Value™ of $36.54.
GuruFocus considers Iridium Communications to be Modestly Overvalued.
Key valuation signals for IRDM:
EV-to-OCF: 16.08 (near median its 10-year median of 16.78)
GF Value™: $36.54 vs. price of $46.74 (27.9% above fair value)
Industry Position: 126.2% above the Telecommunication Services median (#305 of 366)
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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