IDT (NYSE:IDT) Sets New 12-Month High – Still a Buy?

IDT Corporation (NYSE:IDT) shares hit a new 52-week high during mid-day trading on Tuesday. The company traded as high as $76.55 and last traded at $74.48, with a volume of 86855 shares changing hands. The stock had previously closed at $69.56.

IDT News Roundup

Here are the key news stories impacting IDT this week:

• Positive Sentiment: Strong quarterly performance: Fourth-quarter revenue rose 7% year over year to $339.0 million, exceeding the $319.0 million consensus estimate. Gross profit increased 18% to $134.8 million, operating income jumped 52% to $33.2 million, net income attributable to IDT rose 29% to $21.7 million, and adjusted EBITDA grew 22% to $41.2 million. IDT Corporation Reports Record Fourth Quarter and Fiscal Year 2026 Results
• Positive Sentiment: Growth businesses delivered: National Retail Solutions revenue rose 31% and adjusted EBITDA increased 47%; fintech revenue grew 12% with a 17% adjusted EBITDA gain; and net2phone subscription revenue rose 10%, while its adjusted EBITDA increased 26%. Management also said net2phone is approaching a $100 million annual recurring revenue milestone.
• Positive Sentiment: Raised fiscal 2027 outlook: IDT expects fiscal 2027 gross profit of $545 million to $555 million and adjusted EBITDA of $176 million to $180 million, up from $154.6 million in fiscal 2026. The company also has $271.9 million in unrestricted cash and investments, no debt, and declared a quarterly dividend of $0.07 per share. IDT lifts FY 2027 guidance after record year
• Neutral Sentiment: Full-year results were solid but mixed: Fiscal 2026 revenue increased 5% to $1.298 billion, net income rose 14% to $86.6 million, and adjusted EBITDA grew 17% to $154.6 million. However, traditional communications revenue grew only 1%, while full-year gross profit and operating income in that segment declined 4% and 5%, respectively.
• Negative Sentiment: Quarterly EPS missed expectations: Reported adjusted diluted EPS was $0.94, below the $0.98 consensus estimate, despite the revenue beat. Investors may also be cautious about reduced adjusted operating cash flow, which fell to $60.9 million for fiscal 2026 from $107.8 million, largely because of working-capital needs related to BOSS Money.
• Negative Sentiment: Insider selling is a secondary concern: Company insiders reported 12 open-market sales and no purchases over the past six months. This does not change the earnings outlook but may temper investor sentiment after the stock’s recent advance.

Analysts Set New Price Targets

Separately, Weiss Ratings reiterated a “hold (c+)” rating on shares of IDT in a report on Tuesday, September 22nd. One research analyst has rated the stock with a Hold rating, According to MarketBeat, the company presently has an average rating of “Hold”.

IDT Stock Performance

The stock has a market cap of $1.83 billion, a P/E ratio of 22.52 and a beta of 0.62. The firm has a 50 day moving average of $67.49 and a two-hundred day moving average of $58.35.

IDT (NYSE:IDT) last posted its quarterly earnings results on Monday, September 28th. The utilities provider reported $0.94 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.98 by ($0.04). IDT had a return on equity of 24.36% and a net margin of 6.41%.The company had revenue of $338.98 million during the quarter, compared to analyst estimates of $319.00 million.

IDT Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 14th. Investors of record on Monday, October 5th will be given a dividend of $0.07 per share. The ex-dividend date is Monday, October 5th. This represents a $0.28 dividend on an annualized basis and a yield of 0.4%. IDT’s dividend payout ratio is 8.56%.

Hedge Funds Weigh In On IDT

Several large investors have recently bought and sold shares of the business. Integrated Wealth Concepts LLC bought a new position in shares of IDT in the 2nd quarter valued at about $25,000. Allworth Financial LP raised its holdings in shares of IDT by 531.1% in the 2nd quarter. Allworth Financial LP now owns 568 shares of the utilities provider’s stock valued at $33,000 after purchasing an additional 478 shares during the period. Nykredit A S acquired a new stake in IDT in the 2nd quarter valued at about $32,000. Bank of New York Mellon Corp grew its holdings in IDT by 0.9% during the first quarter. Bank of New York Mellon Corp now owns 117,607 shares of the utilities provider’s stock worth $5,774,000 after purchasing an additional 1,088 shares during the period. Finally, Corient Private Wealth LP acquired a new position in IDT during the second quarter worth approximately $252,000. 59.34% of the stock is currently owned by institutional investors and hedge funds.

About IDT

IDT Corporation is a telecommunications and financial technology company that provides communications, payment and business services to consumers, small businesses and retail customers. The company operates through brands and businesses focused on international calling, mobile top-ups, money transfers, cloud communications and retail technology.

Its BOSS Revolution platform offers international calling, prepaid wireless services, mobile recharging and international money transfers, primarily serving immigrant and international communities.