Hamed Khorsand, an analyst from BWS Financial, maintained the Buy rating on Adeia (ADEA – Research Report). The associated price target was raised to $18.00.
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Hamed Khorsand has given his Buy rating due to a combination of factors, primarily focusing on Adeia’s strong free cash flow generation abilities. The company’s fourth quarter results have reinforced the foundation of the investment thesis, demonstrating its capability to generate sufficient free cash flow to reduce its debt obligations. Additionally, Adeia’s recent license agreement with Amazon has positively impacted their revenue outlook for 2025, highlighting potential growth opportunities.
Another significant point in Khorsand’s analysis is Adeia’s ongoing efforts to secure new licenses and renew existing ones, which are expected to contribute to growth in 2026. The company’s strategy to utilize free cash flow for stock buybacks further supports its attractive valuation, leading to an increased price target of $18 from the previous $16. These elements combined underscore the positive outlook for Adeia, justifying the Buy rating.
In another report released today, Maxim Group also maintained a Buy rating on the stock with a $17.00 price target.