Iridium CommunicationsIRDM -1.09%77 Net-Net Working Capital is $-17.40 as of Mar. 2026. GuruFocus rates IRDM with a GF Score™ of 77/100 and a GF Value™ of $36.51 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 56 Telecommunication Services companies, Iridium Communications ranks worse than 1785712.5% on this metric.
In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.
Iridium Communications's Net-Net Working Capital for the quarter that ended in Mar. 2026 was $-17.40.
The industry rank for Iridium Communications's Net-Net Working Capital or its related term are showing as below:
IRDM's Price-to-Net-Net-Working-Capital is not ranked *
in the Telecommunication Services industry.
Industry Median: 6.425 * Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.
Iridium Communications (NAS:IRDM) Net-Net Working Capital Explanation
One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.
Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.
Iridium Communications Net-Net Working Capital Related Terms
Iridium Communications Net-Net Working Capital Historical Data
* Premium members only.
The historical data trend for Iridium Communications's Net-Net Working Capital 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.
Iridium Communications Net-Net Working Capital Chart
IRDM vs LBRDA, TDS, LBTYA: Net-Net Working Capital Comparison
For the Telecom Services subindustry, Iridium Communications's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital 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 Price-to-Net-Net-Working-Capital vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Iridium Communications's Price-to-Net-Net-Working-Capital distribution charts can be found below:
* The bar in red indicates where Iridium Communications's Price-to-Net-Net-Working-Capital falls into.
* 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.
In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.
In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.
This is a conservative way of estimating the company's value.
What does a Net-Net Working Capital of $-17.40 mean?
Iridium Communications (IRDM) has a Net-Net Working Capital of $-17.40 as of Mar. 2026. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Iridium Communications According to the industry distribution chart, Iridium Communications ranks #999999 out of 56 companies in the Telecommunication Services industry.
Is Iridium Communications' Net-Net Working Capital too high?
Iridium Communications' current Net-Net Working Capital is $-17.40. Based on the distribution chart, Iridium Communications ranks #999999 out of 56 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 Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Iridium Communications' Net-Net Working Capital compare to LBRDA and TDS?
According to the Telecommunication Services industry distribution chart, Iridium Communications ranks #999999 out of 56 companies for Net-Net Working Capital. This places Iridium Communications in the lower half of its industry. The industry median Net-Net Working Capital is 6.43. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net-Net Working Capital for a Telecommunication Services company?
The median Net-Net Working Capital among Telecommunication Services companies is 6.43, based on 56 companies in the industry. Companies in the top quartile (top 25%) have a Net-Net Working Capital significantly above this median, while those in the bottom quartile fall well below. However, Net-Net Working Capital should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net-Net Working Capital mean?
A high Net-Net Working Capital can signal that a stock is expensive relative to its fundamentals. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Iridium Communications For the Telecommunication Services industry, the median Net-Net Working Capital is 6.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Iridium Communications's current Net-Net Working Capital is $-17.40. 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 Significantly Overvalued. The stock's GF Value™ is $36.51, compared to a current price of $50.06 — trading 37.1% above its estimated fair value. The current Net-Net Working Capital is $-17.40. Iridium Communications' overall GF Score™ is 77/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net-Net Working Capital calculated?
Net-Net Working Capital is calculated from a company's financial statements. For Iridium Communications (IRDM), the current Net-Net Working Capital is $-17.40 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 $50.06 is trading 37.1% above its estimated GF Value™ of $36.51.
GuruFocus considers Iridium Communications to be Significantly Overvalued.
Key valuation signals for IRDM:
Net-Net Working Capital: $-17.40
GF Value™: $36.51 vs. price of $50.06 (37.1% above fair value)
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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