How Are InterDigital's (IDCC) Legal Victories Shaping Long-Term Prospects?

InterDigital Inc. (NASDAQ:IDCC) is among the best stocks you’ll wish you bought sooner.

On November 24, William Blair analyst Arjun Bhatia reaffirmed his Buy rating on the stock without assigning a price target. This reiteration followed the company’s announcement of favourable legal judgments in its patent infringement cases against Disney in Germany and Brazil.

The analyst believes that these decisions bode well for the potential monetization of the company’s streaming technology patents. In his earlier note on November 11, Bhatia argued that these rulings could create significant revenue opportunities, which he estimated would exceed $300 million by 2030.

On November 24, InterDigital Inc. (NASDAQ:IDCC) announced that the Munich Regional Court issued a second injunction against Disney for infringement of a patent related to the streaming of video content using high dynamic range (HDR) technology. Earlier, this same court had issued another injunction in an infringement case involving a patent that enables dynamically overlaying a first video stream with a second video stream.

This success was preceded by another victory, announced by the company on September 3, when a court in Brazil issued an injunction against Disney for infringing two of InterDigital’s AVC and HEVC video coding patents.

A week later, InterDigital Inc. (NASDAQ:IDCC) initiated litigation against Amazon for patent infringement related to video compression and improving picture quality through high dynamic range (HDR) technology. The case is ongoing in various jurisdictions.

InterDigital Inc. (NASDAQ:IDCC) is a global research and development company focused primarily on wireless, video, artificial intelligence, and related technologies. The company licenses its technologies to companies, including makers of wireless communications devices, consumer electronics, IoT devices, cars and other motor vehicles, and providers of cloud-based services such as video streaming.

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Disclosure: None. This article is originally published at Insider Monkey.