Is the business good?
How good a business is ADEA?
Adeia Inc. earns 21% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
21%
Return on invested capital · cost of capital 9.0% · 12 points above what the capital costs: growth creates value
- Operating margin
- 42%
Operating margin · Software - Application median 8.2% · 12 months to Q2 2026
- Cash conversion
- 1.54×
Cash conversion · 2.40× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +2.0%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 52% |
| FY2021 | 30% |
| FY2022 | 35% |
| FY2023 | 35% |
| FY2024 | 34% |
| FY2025 | 39% |
Details›
- Operating margin12 months to Q2 2026
- 42%
- Net margin12 months to Q2 2026
- 26%
- Free cash flow margin
- 40%
- R&D as % of revenue
- 15%
- Revenue, trailing twelve months
- $471M
- Free cash flow, trailing twelve months
- $189M
- Net income, trailing twelve months
- $123M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 21%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Software - Application
Ranks #19 of 90 by Smart Score