Financial Data and Key Metrics Changes - The company reported revenue of $87 million for Q4 2023, with adjusted EBITDA of $54 million, reflecting strong financial performance [7][22] - Operating expenses for Q4 were $33.2 million, a 7% increase from the prior quarter, driven by higher R&D and SG&A expenses [23] - The company ended Q4 with $83.6 million in cash and generated $39.4 million in cash from operations, while making $29.1 million in principal debt payments [25] Business Line Data and Key Metrics Changes - The company signed eight agreements in Q4, including two new agreements and six renewals, indicating strong deal execution [6][7] - Significant new agreements included a license with a leading international social media company and a renewal with Breezeline, a major Pay-TV operator [7][22] - The company achieved a record growth of over 11% in its patent portfolio during 2023, exceeding its goal of 10% [10] Market Data and Key Metrics Changes - The company is focusing on expanding its presence in the OTT market, which is expected to offset declines in Pay-TV and become a significant revenue contributor [10][13] - The semiconductor market is targeted for growth, with a goal of generating $100 million in annual revenue from this segment [9] Company Strategy and Development Direction - The company aims to achieve $500 million in annual revenue by maintaining its recurring revenue base and penetrating large markets like OTT and semiconductors [13][14] - Strategic investments are being made in R&D, particularly in media and semiconductor portfolios, to support long-term growth [12][28] - A new co-optimization initiative is being launched to enhance the efficiency and cost-effectiveness of existing and future solutions [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about 2024, highlighting plans for increased investments in R&D and business development to capitalize on growth opportunities [12][31] - The company anticipates revenue for 2024 to be in the range of $380 million to $420 million, with a focus on maintaining high renewal rates and acquiring new customers [26][30] Other Important Information - The company paid a cash dividend of $0.05 per share in Q4 2023, with another dividend scheduled for March 2024 [26] - The company repaid $148 million of its debt in 2023, utilizing 99% of its free cash flow for debt repayments [25] Q&A Session Summary Question: Details on the social media customer license - The company signed a license with a significant international social media company, covering a large portion of the social media market, relevant to video playback and recommendation systems [34] Question: Legal expenses doubling - Legal expenses are expected to return to historical norms, with ongoing litigation contributing to the increase, but the company aims to resolve most issues through negotiated deals [36] Question: Likelihood of signing OTT service providers - The company anticipates continued success in signing OTT service providers in 2024, building on momentum from previous deals [39] Question: Business development and sales activities - The company is expanding resources and expertise in business development, particularly in adjacent markets like semiconductors and OTT, with increased spending expected in 2024 [42][43] Question: Incremental thoughts on Western Digital and Kioxia deals - The company expects to see increased revenue contributions from Western Digital and Kioxia as their product ramps up, indicating long-term growth potential [46]

Financial Performance - Q4 2023 revenue reached $86.9 million, with an adjusted EBITDA of $54.1 million[5, 14] - FY 2023 revenue totaled $388.8 million, with an adjusted EBITDA of $262.3 million[7, 14] - The company paid down $29.1 million on its term loan in Q4 2023[5] - The company paid down $148.0 million on its term loan in FY 2023[7] - FY 2024 revenue is projected to be between $380.0 million and $420.0 million[16] - FY 2024 adjusted EBITDA is projected to be between $232.5 million and $262.5 million[16] Business Highlights - The company closed 8 deals in Q4 2023, including 2 with new customers and 6 renewals[5] - The company signed 32 license agreements in FY 2023[7] - The company's patent portfolio grew over 11% in FY 2023[7] Strategic Focus - The company aims to increase long-term revenue through renewals and new customer agreements[9] - The company is focused on growing its patent portfolio through R&D investment[9] - The company intends to deleverage its balance sheet by paying down its term loan[9]

Group 1 - Adeia (ADEA) closed at $12.95, marking a +0.86% move from the prior day, outperforming the S&P 500's daily gain of 0.06% [1] - Over the previous month, Adeia's shares gained 8.81%, surpassing the Business Services sector's gain of 7.07% and the S&P 500's gain of 6.45% [1] - The upcoming earnings report is scheduled for February 20, 2024, with an expected EPS of $0.26, indicating a 36.59% decline year-over-year, and a revenue forecast of $89.23 million, reflecting a 13.61% decline [1] Group 2 - Recent changes in analyst estimates for Adeia are crucial, as upward revisions indicate analysts' positivity towards the company's operations [2] - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Adeia at 3 (Hold) [2] - The Zacks Consensus EPS estimate has remained stagnant over the past month [2] Group 3 - Adeia has a Forward P/E ratio of 9.04, which is a discount compared to the industry's average Forward P/E of 23.96 [3] - The Technology Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 92, placing it in the top 37% of over 250 industries [3] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1 according to Zacks research [3]

SANTA CLARA, Calif., Feb. 06, 2024 (GLOBE NEWSWIRE) -- Adeia Inc. (NASDAQ:ADEA), the company whose patented innovations enhance billions of devices, today announced that it is showcasing its hybrid bonding technology at the Chiplet Summit on February 6 through 8, 2024, at the Santa Clara Convention Center. Over the past 30 years, Adeia has pioneered fundamental advances in the semiconductor industry. With an extensive and growing portfolio of intellectual property covering hybrid bonding, advanced process n ...

Adeia (ADEA) ended the recent trading session at $12.53, demonstrating no swing from the preceding day's closing price. This change lagged the S&P 500's 1.07% gain on the day. Elsewhere, the Dow saw an upswing of 0.35%, while the tech-heavy Nasdaq appreciated by 1.74%.Heading into today, shares of the provider of chip technology for small electronic devices had gained 2.12% over the past month, lagging the Business Services sector's gain of 3.12% and the S&P 500's gain of 2.93% in that time.Analysts and inv ...

Adeia (ADEA) ended the recent trading session at $12.13, demonstrating no swing from the preceding day's closing price. This change was narrower than the S&P 500's 0.07% loss on the day. Meanwhile, the Dow gained 0.16%, and the Nasdaq, a tech-heavy index, lost 0.36%.Heading into today, shares of the provider of chip technology for small electronic devices had lost 3.35% over the past month, lagging the Business Services sector's gain of 1.03% and the S&P 500's gain of 3.05% in that time.The upcoming earning ...

Adeia (ADEA) closed the most recent trading day at $12.13, moving -0.41% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.53%. On the other hand, the Dow registered a gain of 0.64%, and the technology-centric Nasdaq increased by 0.19%.Coming into today, shares of the provider of chip technology for small electronic devices had lost 2.87% in the past month. In that same time, the Business Services sector gained 0.84%, while the S&P 500 gained 2.48%.The upco ...

Company Overview - Adeia (ADEA) closed at $11.29, a decrease of 0.7% from the previous trading session, underperforming the S&P 500's gain of 0.08% [1] - The company has seen a 3.55% increase in share price over the past month, while the Business Services sector gained 2.13% and the S&P 500 gained 3.52% during the same period [1] Earnings Expectations - The upcoming earnings release is anticipated to show an EPS of $0.26, representing a 36.59% decline compared to the same quarter last year [1] - Revenue is projected to be $89.23 million, reflecting a 13.61% decrease from the equivalent quarter last year [1] Analyst Estimates - Recent changes to analyst estimates for Adeia indicate a shifting business landscape, with positive revisions suggesting optimism about the company's profitability [2] - The Zacks Rank system currently rates Adeia as 3 (Hold), with no changes in the consensus EPS estimate over the past month [2] Valuation Metrics - Adeia's Forward P/E ratio is 8.01, which is significantly lower than the industry's average Forward P/E of 23.63, indicating a valuation discount [3] - The Technology Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 55, placing it in the top 22% of over 250 industries [3]

SAN JOSE, Calif., Jan. 11, 2024 (GLOBE NEWSWIRE) -- Adeia Inc. (NASDAQ:ADEA), the company whose patented innovations shape the way the world explores and experiences entertainment, today announced that Funai Electric Co., Ltd., a global electronics manufacturer of connected TVs (CTV), Blu-ray and DVD players and recorders as well as related devices, has agreed to renew its license for Adeia's media intellectual property (IP) portfolio. As Funai pursues its stated mission to produce consumer electronics that ...

Core Viewpoint - Overlooked small-cap stocks present significant upside potential but come with high volatility risks [1][2] Group 1: Small-Cap Stock Analysis - Ardmore Shipping (ASC) focuses on shipping oil and chemicals, with a consensus moderate buy rating and an average price target of $18.50, indicating over 23% upside potential [3][4] - Adeia (ADEA) specializes in behavioral analytics software, with analysts rating it a moderate buy and a price target of $15, suggesting almost 24% upside [6][7] - Dine Brands (DIN) operates restaurant concepts like Applebee's and IHOP, facing a 33% decline over the past year but rated a strong buy by analysts, with potential upside linked to the growing U.S. food service market projected to reach $1.77 trillion by 2030 [8][9] - Carriage Services (CSV) operates in the funeral services sector, with analysts unanimously rating it a strong buy, driven by demographic trends as baby boomers age [11][12] - Orion (OEC) is a leader in specialty chemicals with a focus on sustainability, receiving a strong buy rating and a price target of $35.67, reflecting a 34% gain over the past year [13][14] - Talos Energy (TALO) is involved in oil and natural gas exploration, rated a strong buy with a price target of $20.75, indicating over 51% upside potential despite industry consolidation risks [16][17] - VEON (VEON) operates as a global digital operator in dynamic markets, having exited Russia, and presents a high-risk, high-reward investment opportunity [18][19]