Adeia near license deal with large semi company, says Rosenblatt
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 18 2025
0mins
Should l Buy ADEA?
Adeia's Q4 Performance Expectations: Rosenblatt anticipates Adeia will report Q4 results that align with expectations and slightly exceed guidance, driven by a license agreement with Amazon and opportunities in e-commerce.
Future Growth Potential: The firm believes Adeia is on the verge of securing a significant license agreement with a major semiconductor company, which could enhance its momentum in both media and semiconductor sectors.
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Analyst Views on ADEA
Wall Street analysts forecast ADEA stock price to fall
4 Analyst Rating
4 Buy
0 Hold
0 Sell
Strong Buy
Current: 29.530
Low
20.00
Averages
22.75
High
27.00
Current: 29.530
Low
20.00
Averages
22.75
High
27.00
About ADEA
Adeia Inc. is a research and development and intellectual property licensing company. The Company operates as an incubator that invests in advanced research and development to create technologies for the entertainment, media, consumer electronics and semiconductor industries. It invents, develops, acquires, and licenses fundamental innovations that enhance a range of devices and shape the way various people explore and experience entertainment across a variety of platforms. Its solutions are focused on its consumers' interaction with media, consumer electronics, and entertainment. Its IP licensing platform provides access to innovations that allow its customers, who are media, entertainment, consumer electronics, and semiconductor companies, to create technology solutions and products. It licenses its IP portfolio across markets, such as multichannel video programming distributors, over-the-top video service providers, social media companies, consumer electronics, and semiconductors.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
ADEIA Declares $0.05 Quarterly Dividend Amid CEO Transition
- Quarterly Dividend Announcement: ADEIA declares a quarterly dividend of $0.05 per share, consistent with previous distributions, demonstrating the company's ongoing ability to maintain stable cash flow, which is likely to attract income-seeking investors.
- Dividend Yield: The forward yield of 0.59% reflects the company's relative attractiveness in the current market environment, potentially increasing investor interest in ADEIA's stock.
- Payment Schedule: The dividend is payable on June 15, with a record date of May 26 and an ex-dividend date also on May 26, providing shareholders with a clear timeline that aids in financial planning.
- Revenue Outlook Reaffirmed: ADEIA reiterates its revenue outlook for 2026 at $395 million to $435 million, indicating confidence in future growth despite the challenges posed by the CEO transition plan, underscoring its strategic positioning in the semiconductor industry.
See More
Adeia Reports Q1 2026 Earnings with Strong Momentum and Strategic Partnerships
- Strong Financial Performance: Adeia reported Q1 2026 revenue of $104.8 million and adjusted EBITDA of $62.3 million, reflecting a 60% EBITDA margin, indicating robust growth potential across multiple sectors.
- Deepening Strategic Partnerships: The foundational agreements with AMD and Microsoft signify rapid advancement in semiconductor licensing, particularly with the swift resolution of disputes leading to a multiyear licensing agreement with AMD, enhancing competitive positioning.
- Customer Expansion and Revenue Growth: Adeia added Microsoft as a new customer and signed a new licensing agreement with L'Oréal in e-commerce, with non-Pay-TV recurring revenue growing 28% year-over-year, showcasing success in diversifying revenue streams.
- Leadership Transition and Future Outlook: CEO Paul Davis plans to step down later this year, with the board searching for a successor, while the company reiterated its full-year 2026 revenue guidance of $395 million to $435 million, reflecting confidence in future growth.
See More
Adeia CEO Paul Davis to Step Down by Q4 2026, Search for Successor Begins
- Executive Transition: Adeia's CEO Paul Davis plans to step down by Q4 2026, with the board initiating a search for his successor to ensure a smooth leadership transition.
- Health Prioritization: After nearly 15 years with the company, Davis is stepping down to focus on personal health and priorities, highlighting the importance of quality of life for executives later in their careers.
- Performance Review: Under Davis's leadership, Adeia achieved record results in 2025, with revenue reaching $104.8 million, exceeding expectations by $5.08 million, while also expanding its patent portfolio and diversifying revenue streams.
- Market Reaction: Despite significant achievements during Davis's tenure, the stock fell 4% in after-hours trading, reflecting market uncertainty regarding the executive transition.
See More
ADEIA Q1 Earnings Exceed Expectations
- Strong Performance: ADEIA reported a Q1 non-GAAP EPS of $0.38, beating expectations by $0.05, which reflects the company's ongoing improvement in profitability and boosts investor confidence.
- Revenue Growth: The company achieved Q1 revenue of $104.8 million, a 19.6% year-over-year increase, exceeding market expectations by $5.08 million, indicating robust market demand that drives overall business growth.
- 2026 Financial Outlook: ADEIA reiterated its financial outlook for 2026, projecting revenue between $395 million and $435 million, demonstrating confidence in future growth while providing clear financial guidance for investors.
- Cost Control: The expected operating expenses for 2026 are projected to be between $184 million and $192 million, indicating effective cost management that enhances the potential for profitability.
See More
Adeia Signs Multi-Year Agreement with L'Oréal for Media IP Access
- Media IP Collaboration: Adeia has signed a multi-year agreement with L'Oréal, granting access to its media IP portfolio, aimed at enhancing consumer engagement through personalized and interactive experiences, thereby driving growth in digital commerce for both parties.
- Market Expansion Strategy: This agreement not only extends Adeia's IP applications beyond traditional media but also into digital advertising and e-commerce, strengthening the company's competitive position in the rapidly evolving digital market.
- Technology-Driven User Experience: Adeia's IP supports data-driven interactive experiences, which are expected to provide L'Oréal with more precise advertising targeting and consumer interaction methods, ultimately enhancing brand loyalty and market share.
- Investor Confidence Boost: With multiple collaboration agreements in the semiconductor and media sectors, investor confidence in Adeia's future growth potential is likely to increase, potentially driving up its stock price and attracting more investment.
See More
ADEIA INC SIGNS MULTI-YEAR LICENSE DEAL WITH L’ORÉAL FOR MEDIA INTELLECTUAL PROPERTY PORTFOLIO
New Licensing Agreement: A multi-year licensing agreement has been established between A.I. N.C. and L'Oréal, focusing on media IP portfolio.
Strategic Collaboration: The partnership aims to enhance the utilization of intellectual property in the beauty and media sectors.
See More
ADEIA Declares $0.05 Quarterly Dividend Amid CEO Transition
- Quarterly Dividend Announcement: ADEIA declares a quarterly dividend of $0.05 per share, consistent with previous distributions, demonstrating the company's ongoing ability to maintain stable cash flow, which is likely to attract income-seeking investors.
- Dividend Yield: The forward yield of 0.59% reflects the company's relative attractiveness in the current market environment, potentially increasing investor interest in ADEIA's stock.
- Payment Schedule: The dividend is payable on June 15, with a record date of May 26 and an ex-dividend date also on May 26, providing shareholders with a clear timeline that aids in financial planning.
- Revenue Outlook Reaffirmed: ADEIA reiterates its revenue outlook for 2026 at $395 million to $435 million, indicating confidence in future growth despite the challenges posed by the CEO transition plan, underscoring its strategic positioning in the semiconductor industry.
See More
Adeia Reports Q1 2026 Earnings with Strong Momentum and Strategic Partnerships
- Strong Financial Performance: Adeia reported Q1 2026 revenue of $104.8 million and adjusted EBITDA of $62.3 million, reflecting a 60% EBITDA margin, indicating robust growth potential across multiple sectors.
- Deepening Strategic Partnerships: The foundational agreements with AMD and Microsoft signify rapid advancement in semiconductor licensing, particularly with the swift resolution of disputes leading to a multiyear licensing agreement with AMD, enhancing competitive positioning.
- Customer Expansion and Revenue Growth: Adeia added Microsoft as a new customer and signed a new licensing agreement with L'Oréal in e-commerce, with non-Pay-TV recurring revenue growing 28% year-over-year, showcasing success in diversifying revenue streams.
- Leadership Transition and Future Outlook: CEO Paul Davis plans to step down later this year, with the board searching for a successor, while the company reiterated its full-year 2026 revenue guidance of $395 million to $435 million, reflecting confidence in future growth.
See More
Adeia CEO Paul Davis to Step Down by Q4 2026, Search for Successor Begins
- Executive Transition: Adeia's CEO Paul Davis plans to step down by Q4 2026, with the board initiating a search for his successor to ensure a smooth leadership transition.
- Health Prioritization: After nearly 15 years with the company, Davis is stepping down to focus on personal health and priorities, highlighting the importance of quality of life for executives later in their careers.
- Performance Review: Under Davis's leadership, Adeia achieved record results in 2025, with revenue reaching $104.8 million, exceeding expectations by $5.08 million, while also expanding its patent portfolio and diversifying revenue streams.
- Market Reaction: Despite significant achievements during Davis's tenure, the stock fell 4% in after-hours trading, reflecting market uncertainty regarding the executive transition.
See More
ADEIA Q1 Earnings Exceed Expectations
- Strong Performance: ADEIA reported a Q1 non-GAAP EPS of $0.38, beating expectations by $0.05, which reflects the company's ongoing improvement in profitability and boosts investor confidence.
- Revenue Growth: The company achieved Q1 revenue of $104.8 million, a 19.6% year-over-year increase, exceeding market expectations by $5.08 million, indicating robust market demand that drives overall business growth.
- 2026 Financial Outlook: ADEIA reiterated its financial outlook for 2026, projecting revenue between $395 million and $435 million, demonstrating confidence in future growth while providing clear financial guidance for investors.
- Cost Control: The expected operating expenses for 2026 are projected to be between $184 million and $192 million, indicating effective cost management that enhances the potential for profitability.
See More
Adeia Signs Multi-Year Agreement with L'Oréal for Media IP Access
- Media IP Collaboration: Adeia has signed a multi-year agreement with L'Oréal, granting access to its media IP portfolio, aimed at enhancing consumer engagement through personalized and interactive experiences, thereby driving growth in digital commerce for both parties.
- Market Expansion Strategy: This agreement not only extends Adeia's IP applications beyond traditional media but also into digital advertising and e-commerce, strengthening the company's competitive position in the rapidly evolving digital market.
- Technology-Driven User Experience: Adeia's IP supports data-driven interactive experiences, which are expected to provide L'Oréal with more precise advertising targeting and consumer interaction methods, ultimately enhancing brand loyalty and market share.
- Investor Confidence Boost: With multiple collaboration agreements in the semiconductor and media sectors, investor confidence in Adeia's future growth potential is likely to increase, potentially driving up its stock price and attracting more investment.
See More
ADEIA INC SIGNS MULTI-YEAR LICENSE DEAL WITH L’ORÉAL FOR MEDIA INTELLECTUAL PROPERTY PORTFOLIO
New Licensing Agreement: A multi-year licensing agreement has been established between A.I. N.C. and L'Oréal, focusing on media IP portfolio.
Strategic Collaboration: The partnership aims to enhance the utilization of intellectual property in the beauty and media sectors.
See More
