Why Iridium Communications Stock Soared Today
Key Points
Promising test results have Iridium on track for a commercial launch in 2026.
Iridium's 5G services could be enticing to telecom titans like T-Mobile.
- 10 stocks we like better than Iridium Communications ›
Shares of Iridium Communications (NASDAQ: IRDM) climbed on Thursday after the satellite services provider announced a successful test of its NTN Direct network.
By the close of trading, Iridium's stock price was up more than 11%.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Image source: Getty Images.
The future of connectivity
The test included two-way message transmission over Iridium's low-Earth orbit satellite network. The space-based, direct-to-device platform could be among the first to support wireless communications between Internet of Things (IoT) devices worldwide.
Iridium hopes to partner with telecommunications companies like T-Mobile to enable them to extend service beyond their traditional land-based networks, thereby eliminating coverage gaps. Iridium also plans to work with device makers to help them more easily connect to its 5G voice, data, and navigation services.
"This milestone reinforces why mobile network operators and chipset makers are engaging with Iridium," CEO Matt Desch said in a press release. "We offer a low-risk, globally coordinated, and operational network designed to complement what they do, not compete with what they do."
On track to debut in 2026
Iridium is targeting a commercial launch later this year.
"Iridium NTN Direct is no longer a concept, it's on the air, sending messages, and now being rigorously tested to meet our elite performance standards," Desch said.
Should you buy stock in Iridium Communications right now?
Before you buy stock in Iridium Communications, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Iridium Communications wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $460,340!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,123,789!*
Now, it’s worth noting Stock Advisor’s total average return is 937% — a market-crushing outperformance compared to 194% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of January 22, 2026.
Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool recommends T-Mobile US. The Motley Fool has a disclosure policy.
Recommended Articles
