Is ADEA a good stock to buy right now?

Based on our 6-factor quantitative model, Adeia Inc. (ADEA) receives a "Hold" rating with a composite score of 49.8/100. It is ranked #321 out of 4,446 stocks. Key factor scores: Quality 50/100, Value 61/100, Momentum 67/100. The timing signal is "Bullish". This is quantitative analysis only — not investment advice.

What is the stock rating for ADEA?

Adeia Inc. (ADEA) has a "Hold" rating and 3-star score. The composite score of 49.8 ranks it #321 among 4,446 U.S. stocks. Ratings are updated weekly using academically-proven factor models.

What sector is ADEA in?

Adeia Inc. operates in the Communication Services sector (Communication industry) with a market cap of $2.78 billion. It is classified as a mid-cap stock.

Does ADEA pay a dividend?

Yes, ADEA pays a dividend with a current yield of 1.19%. For every $1,000 invested, you would receive approximately $11.90 in annual dividend income.

What is ADEA's P/E ratio?

ADEA has a trailing P/E ratio of 51.17x. The Communication Services sector average is 26.1x. This above-average P/E reflects growth expectations or premium valuation.

How profitable is ADEA?

ADEA's quality factor score is 50/100. Gross margin: 100.0%. ROE: 11.8% vs sector average 1.0%. High margins suggest pricing power and competitive moats.

How is ADEA valued compared to peers?

ADEA's value factor score is 61/100 (higher = cheaper). Key multiples: P/E 51.2x, EV/EBITDA 35.2x. The stock appears attractively valued versus peers.

What is ADEA's debt level?

ADEA's debt-to-equity ratio is 87%. Sector average: 82%. Moderate leverage is normal for established companies.

ADEA has a beta of 1.38, meaning it amplifies market moves. Stability score: 37/100.

Does ADEA have high short interest?

ADEA's short interest factor score is 19/100 (higher = less short selling). Elevated short interest may indicate bearish sentiment or short squeeze potential.

ADEA Stock Analysis: Top Mid-Cap Hold (Score 49.8/100) | Blank Capital Research

Pro Equity Research

ADEA: The Intellectual Property Hub of Digital Media

Blank Capital Research Team

•March 26, 2026

Executive Summary

Adea Solutions Inc. (ADEA) is a leading provider of intellectual property (IP) and technology licensing for the media and semiconductor industries. It holds a massive portfolio of patents critical for digital TV, imaging, and AI processing.

Investment Thesis

Adea is a high-margin 'royalty' play on the global consumption of digital content. Their patents are the 'hidden' layer of technology that enables features like electronic program guides, personalized recommendations, and high-efficiency video coding. Major tech and media giants (like Apple, Samsung, and Comcast) must pay Adea for the right to use this technology. Because their revenue is primarily derived from long-term licensing agreements with zero incremental cost, Adea generates exceptional free cash flow and maintains industry-leading EBITDA margins. It is a defensive tech stock with a massive patent moat.

Key Growth Drivers

Irreplaceable Patent Moat

Adea's portfolio of thousands of patents is essential for the modern digital media ecosystem, providing a legally guaranteed stream of high-margin income.

Semiconductor Licensing Kicker

Their specialized technology for hybrid bonding and advanced chip packaging is a direct beneficiary of the trend toward more complex AI and high-performance processors.

Aggressive Capital Return

The company's asset-light model allows it to return nearly all of its free cash flow to shareholders via a high dividend and consistent share repurchases.

Valuation & Financial Modeling

ADEA trades at a significant discount to other high-margin licensing firms. We believe the market is undervaluing the strategic importance of its semiconductor IP and the stability of its media royalties. The stock offer an exceptional yield and value setup.

Risk Factors & Bear Case

The primary risk is 'patent expiration' or unfavorable legal rulings during licensing renegotiations. Additionally, rapid technological shifts could eventually make their legacy media patents less relevant.

Conclusion

Adea Solutions is a premier income and value play in the tech sector. It offers a unique combination of high-margin royalties and AI-driven growth optionality. Rated 'Strong Buy'.

Data Series	1D	5D	1M	YTD	1Y	3Y	5Y	10Y
ADEA	-0.70%	+7.18%	+16.88%	+55.77%	+127.52%	-	-	-
Industry Proxy XLC	-0.28%	+2.01%	-2.92%	-3.20%	+25.91%	-	-	-
U.S. Market SPY	-0.07%	+3.60%	+0.34%	-0.36%	+29.52%	-	-	-
Alpha vs Market	-0.64%	+3.58%	+16.54%	+56.13%	+97.99%	-	-	-
Alpha vs Sector	-0.42%	+5.17%	+19.80%	+58.97%	+101.61%	-	-	-

Metric	ADEA	Benchmark
P/E Ratio	51.2x	+96%
EV/EBITDA	35.2x	+606%
Price / Book	6.0x

Stock Entity	Score▼	Quality	Value	Momentum	P/E Ratio	ROE	Gross Margin	Net Margin	Rev Growth	D/E Ratio	Market Cap	Compare
TIGO MILLICOM INTERNATIONAL CELLULAR SA	62	41	67	81	-	143.3%	42.5%	4.6%	-	884.0x	$12.9B	VS
VZ VERIZON COMMUNICATIONS INC	54	50	77	54	10.8x	17.6%	60.5%	13.7%	3.1%	282.0x	$208.3B	VS
DLX DELUXE CORP	54	50	76	69	16.4x	11.6%	53.3%	3.7%	0.4%	321.0x	$1.3B	VS
NYT NEW YORK TIMES CO	53	50	52	68	49.3x	13.6%	50.2%	10.4%	12.1%	47.0x	$13.8B	VS
BCE BCE INC	52	37	71	51	186.8x	8.8%	43.4%	1.5%	-9.3%	237.0x	$23.7B	VS
T AT&T INC.	52	50	68	46	9.9x	15.3%	62.0%	15.8%	3.1%	107.0x	$197.7B	VS
MSGS Madison Square Garden Sports Corp.	51	50	38	68	973.7x	8.3%	56.8%	-11.5%	-6.2%	-99.0x	$7.7B	VS
MSGE Madison Square Garden Entertainment Corp.	51	50	59	67	48.3x	166.0%	40.3%	-1.0%	101.4%	1,540.0x	$2.7B	VS
ADEA Adeia Inc.	50	50	61	67	51.2x	11.8%	100.0%	16.4%	-0.0%	87.0x	$2.8B
CDRO Codere Online Luxembourg, S.A.	50	46	53	61	-	65.0%	90.7%	1.9%	12.7%	0.0x	$389M	VS
TGNA TEGNA INC	50	50	67	46	10.4x	9.8%	38.3%	10.6%	-8.4%	80.0x	$3.2B	VS

Key Ratio	TTM	2025	2024	2023	2022	2021	2020	2019
Gross Margin %	1.0%	-	1.0%	-	-	1.0%	1.0%	1.0%
Operating Margin %	0.3%	0.4%	0.3%	0.4%	0.3%	0.3%	0.5%	-0.2%
EBITDA Margin %	0.3%	0.4%	0.6%	0.4%	0.3%	0.9%	0.5%	0.2%
Net Margin %	0.2%	0.3%	0.2%	0.2%	-0.7%	-0.2%	0.3%	-0.2%
FCF Margin %	25.7%	-	56.0%	-	-	56.4%	47.1%	57.3%
ROE %	0.1%	0.2%	0.2%	0.2%	-1.0%	-0.0%	0.1%	-0.1%
ROA %	0.1%	0.1%	0.1%	0.1%	-0.2%	-0.0%	0.1%	-0.1%
ROIC %	0.1%	15.4%	12.8%	11.4%	11.7%	4.6%	6.4%	-6.6%

Line Item	TTM	2025	2024	2023	2022	2021	2020	2019
	$347M	$443M	$376M	$389M	$439M	$391M	$892M	$280M
	—	—	$376M	—	—	$391M	$814M	$272M
Gross Margin	100.0%	---	100.0%	---	---	100.0%	100.0%	97.0%
	—	$120M	—	$95M	$136M	—	—	—
Research & Development	—	$68M	$60M	$54M	$45M	$40M	$195M	$111M
Depreciation	—	—	$76M	—	—	$234M	$175M	$107M
Total Operating Expenses	—	$268M	—	$253M	$286M	—	—	—
	$94M	$175M	$129M	$136M	$153M	$119M	$178M	-$69M
EBIT	$94M	$175M	$129M	$136M	$153M	$119M	$178M	-$69M
EBITDA	$94M	$175M	$210M	$136M	$153M	$353M	$445M	$47M
Operating Margin	27.2%	39.5%	34.2%	35.0%	34.9%	30.4%	51.8%	-24.5%
EBITDA Margin	27.2%	39.5%	56.0%	35.0%	34.9%	90.3%	49.9%	16.8%
	—	—	$53M	—	—	$47M	$46M	$23M
	—	$141M	—	$80M	$110M	—	—	—
Income Tax Expense	—	$30M	$17M	$13M	-$29M	$5M	-$8M	-$19M
	$57M	$111M	$65M	$67M	-$299M	-$59M	$144M	-$64M
Net Margin	16.4%	25.1%	17.2%	17.3%	-68.0%	-15.1%	27.9%	-22.9%
	$1.02	$1.02	$0.59	$0.63	$-2.83	$-0.53	$1.77	$-1.27
Diluted EPS	$1.02	$0.99	$0.59	$0.60	$-2.75	$-0.53	$1.77	$-1.27
Weighted Avg Basic	—	109M	—	107M	104M	—	—	—
Weighted Avg Diluted	—	113M	—	113M	108M	—	—	—

Adeia Inc. (ADEA) Stock Analysis — April 2026 Rating, Price, and Forecast

Last updated: April 2026

Company Overview — What Does Adeia Inc. Do?

N/A Adeia Inc. (ADEA) is classified as a mid-cap stock in the Communication Services sector, specifically within the Communication industry. The company is led by CEO Paul E. Davis and employs approximately 120 people. With a market capitalization of $2.8B, ADEA is one of the notable companies in the Communication Services sector.

Adeia Inc. (ADEA) Stock Rating — Hold (April 2026)

As of April 2026, Adeia Inc. receives a Hold rating with a composite score of 49.8/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.ADEA ranks #321 out of 4,446 stocks in our coverage universe. Within the Communication Services sector, Adeia Inc. ranks #6 of 134 stocks, placing it in the top 10% of its Communication Services peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

ADEA Stock Price and 52-Week Range

Adeia Inc. (ADEA) currently trades at $28.00. The stock gained $0.94 (3.5%) in the most recent trading session. The 52-week high for ADEA is $23.80, which means the stock is currently trading 17.6% from its annual peak. The 52-week low is $10.59, putting the stock 164.4% above its annual trough. Recent trading volume was 1.5M shares, reflecting moderate market activity.

Is ADEA Overvalued or Undervalued? — Valuation Analysis

Adeia Inc. (ADEA) carries a value factor score of 61/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 51.17x, compared to the Communication Services sector average of 26.08x — a premium of 96%. The price-to-book ratio stands at 6.04x, versus the sector average of 1.87x. The price-to-sales ratio is 8.36x, compared to 0.55x for the average Communication Services stock. On an enterprise value basis, ADEA trades at 35.17x EV/EBITDA, versus 4.98x for the sector.

Overall, ADEA's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

Adeia Inc. Profitability — ROE, Margins, and Quality Score

Adeia Inc. (ADEA) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 11.8%, compared to the Communication Services sector average of 1.0%, which is within a healthy range. Return on assets (ROA) comes in at 5.5% versus the sector average of -0.0%.

On a margin basis, Adeia Inc. reports gross margins of 100.0%, compared to 56.4% for the sector. The operating margin is 27.2% (sector: 0.4%). Net profit margin stands at 16.4%, versus -0.9% for the average Communication Services stock. Revenue growth is running at -0.0% on a trailing basis, compared to 3.0% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.

ADEA Debt, Balance Sheet, and Financial Health

Adeia Inc. has a debt-to-equity ratio of 87.0%, compared to the Communication Services sector average of 82.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 3.81x, indicating strong short-term liquidity. Total debt on the balance sheet is $418M. Cash and equivalents stand at $56M.

ADEA has a beta of 1.38, meaning it is more volatile than the broader market — a $10,000 investment in ADEA would be expected to move 38.0% more than the S&P 500 on any given day. The stability factor score for Adeia Inc. is 37/100, suggesting elevated price swings that may be unsuitable for conservative portfolios.

Adeia Inc. Revenue and Earnings History — Quarterly Trend

In TTM 2026, Adeia Inc. reported revenue of $347M and earnings per share (EPS) of $1.02. Net income for the quarter was $57M. Gross margin was 100.0%. Operating income came in at $94M.

In FY 2025, Adeia Inc. reported revenue of $443M and earnings per share (EPS) of $1.02. Net income for the quarter was $111M. Revenue grew 17.9% year-over-year compared to FY 2024. Operating income came in at $175M.

In Q3 2025, Adeia Inc. reported revenue of $87M and earnings per share (EPS) of $0.08. Net income for the quarter was $9M. Revenue grew 1.4% year-over-year compared to Q3 2024. Operating income came in at $27M.

In Q2 2025, Adeia Inc. reported revenue of $86M and earnings per share (EPS) of $0.15. Net income for the quarter was $17M. Revenue grew -1.8% year-over-year compared to Q2 2024. Operating income came in at $16M.

Over the past 8 quarters, Adeia Inc. has demonstrated a growth trajectory, with revenue expanding from $87M to $347M. Investors analyzing ADEA stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

ADEA Dividend Yield and Income Analysis

Adeia Inc. (ADEA) currently pays a dividend yield of 1.2%. At this yield, a $10,000 investment in ADEA stock would generate approximately $$119.00 in annual dividend income. With a net margin of 16.4%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.

ADEA Momentum and Technical Analysis Profile

Adeia Inc. (ADEA) has a momentum factor score of 67/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 33/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 19/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

ADEA vs Competitors — Communication Services Sector Ranking and Peer Comparison

Within the Communication Services sector, Adeia Inc. (ADEA) ranks #6 out of 134 stocks based on the Blank Capital composite score. This places ADEA in the top decile of all Communication Services stocks in our coverage universe. Key competitors and sector peers include MILLICOM INTERNATIONAL CELLULAR SA (TIGO) with a score of 61.6/100, TEGNA INC (TGNA) with a score of 49.6/100, VERIZON COMMUNICATIONS INC (VZ) with a score of 54.2/100, DELUXE CORP (DLX) with a score of 53.8/100, and NEW YORK TIMES CO (NYT) with a score of 53.2/100.

Comparing ADEA against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full ADEA vs S&P 500 (SPY) comparison to assess how Adeia Inc. stacks up against the broader market across all factor dimensions.

ADEA Next Earnings Date

No upcoming earnings date has been announced for Adeia Inc. (ADEA) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy ADEA? — Investment Thesis Summary

Adeia Inc. presents a balanced picture with arguments on both sides. The value score of 61/100 suggests attractive pricing relative to fundamentals. Price momentum is positive at 67/100, suggesting the trend favors buyers. High volatility (stability score 37/100) increases portfolio risk.

In summary, Adeia Inc. (ADEA) earns a Hold rating with a composite score of 49.8/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on ADEA stock.

Related Resources for ADEA Investors

Explore more research and tools: ADEA vs S&P 500 comparison, top Communication Services stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare ADEA head-to-head with peers: ADEA vs TIGO, ADEA vs TGNA, ADEA vs VZ.

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Adeia Inc. (ADEA) Stock Analysis — April 2026 Rating, Price, and Forecast

Company Overview — What Does Adeia Inc. Do?

Adeia Inc. (ADEA) Stock Rating — Hold (April 2026)

ADEA Stock Price and 52-Week Range

Is ADEA Overvalued or Undervalued? — Valuation Analysis

Adeia Inc. Profitability — ROE, Margins, and Quality Score

ADEA Debt, Balance Sheet, and Financial Health

Adeia Inc. Revenue and Earnings History — Quarterly Trend

ADEA Dividend Yield and Income Analysis

ADEA Momentum and Technical Analysis Profile

ADEA vs Competitors — Communication Services Sector Ranking and Peer Comparison

ADEA Next Earnings Date

Should You Buy ADEA? — Investment Thesis Summary

Related Resources for ADEA Investors

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