IMMR
Immersion CorporationImmersion Corporation, together with its subsidiaries, invents, scales, and licenses haptic technologies that allow people to use their sense of touch to engage with and experience various digital products in North America, Europe, and Asia. The company provides technology, patent, and combined licenses. It also provides software development kits (SDKs) comprising tools, integration software, and effect libraries that allow for the design, encoding, and playback of tactile effects in content. In
2-Year Price History
Quarterly Financials & Projections
| Period | Rev | EBITDA | OpIn | NI | OCF | FCF | CapEx | Cash | Debt | Shares | ROIC | IntCov | EV/EBITDA | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Est | 2027-Q2 | 330.0 | -13.2 | -- | -33.0 | -- | -49.5 | -2.3 | -260.8 | -- | -- | -- | -- | -- |
| Est | 2027-Q1 | 260.0 | -18.2 | -- | -36.4 | -- | -57.2 | -1.6 | -211.3 | -- | -- | -- | -- | -- |
| Est | 2026-Q4 | 360.0 | -16.2 | -- | -34.2 | -- | -57.6 | -2.5 | -154.1 | -- | -- | -- | -- | -- |
| Est | 2026-Q3 | 500.0 | -7.5 | -- | -25.0 | -- | -50.0 | -4.0 | -96.5 | -- | -- | -- | -- | -- |
| Est | 2026-Q2 | 350.0 | -12.3 | -- | -31.5 | -- | -49.0 | -2.5 | -46.5 | -- | -- | -- | -- | -- |
| Est | 2026-Q1 | 280.0 | -16.8 | -- | -33.6 | -- | -56.0 | -1.7 | 2.5 | -- | -- | -- | -- | -- |
| Est | 2025-Q4 | 380.0 | -15.2 | -- | -30.4 | -- | -57.0 | -2.7 | 58.5 | -- | -- | -- | -- | -- |
| Act | 2025-Q4 | 518.5 | 20.1 | 5.0 | -10.3 | -33.8 | -37.5 | -3.7 | 177.9 | 310.8 | 32.9 | 2.6% | 5.1x | 2.5x |
| Est | 2025-Q3 | 520.0 | -10.4 | -- | -28.6 | -- | -62.4 | -4.2 | 115.5 | -- | -- | -- | -- | -- |
| Act | 2024-Q4 | 474.8 | 51.0 | 26.2 | 15.5 | -43.7 | -46.3 | -2.6 | 153.9 | 322.1 | 33.1 | 12.8% | 12.2x | 2.5x |
| Act | 2024-Q3 | 616.3 | 77.3 | 64.4 | 27.2 | 22.0 | 17.3 | -4.7 | 159.4 | 469.3 | 32.9 | 33.8% | 17.0x | 4.5x |
| Act | 2024-Q2 | 99.4 | 32.2 | 25.4 | 29.0 | -85.9 | -86.9 | -0.9 | 133.4 | 394.3 | 32.5 | 13.3% | 35.7x | 8.7x |
| Act | 2024-Q1 | 43.9 | 16.7 | 16.6 | 18.7 | 29.9 | 29.9 | -0.0 | 179.1 | 0.0 | 31.4 | 44.4% | -- | 1.4x |
| Act | 2023-Q4 | 10.4 | 5.1 | 5.0 | 16.0 | 7.8 | 7.8 | -0.0 | 160.4 | 0.1 | 32.7 | 16.3% | -- | 2.6x |
| Act | 2023-Q3 | 9.5 | 4.0 | 6.5 | 2.7 | 4.0 | 4.0 | -0.0 | 150.7 | 0.1 | 32.8 | 30.9% | 1.7x | 3.7x |
| Act | 2023-Q2 | 7.0 | 10.0 | 3.1 | 7.0 | 5.2 | 5.2 | -0.0 | 157.5 | 0.1 | 32.8 | 11.7% | -- | 4.2x |
| Act | 2023-Q1 | 7.1 | 3.3 | 3.3 | 8.3 | 3.5 | 3.5 | -0.0 | 148.4 | 0.3 | 33.1 | 12.8% | -- | 4.0x |
| Act | 2022-Q4 | 9.2 | 5.8 | 5.8 | 19.7 | 8.1 | 8.1 | -0.0 | 149.7 | 0.5 | 32.6 | 39.0% | -- | 1.1x |
| Act | 2022-Q3 | 14.0 | 11.1 | 10.9 | 7.7 | 13.4 | 13.4 | -0.0 | 133.6 | 0.7 | 33.7 | 87.9% | 5.1x | -- |
| Act | 2022-Q2 | 8.0 | 4.3 | 4.1 | -1.8 | 7.6 | 7.6 | -0.0 | 136.9 | 1.0 | 33.6 | 38.0% | 0.7x | -- |
| Act | 2022-Q1 | 7.3 | 5.8 | 3.6 | 5.1 | 11.0 | 11.0 | -0.0 | 146.5 | 1.1 | 34.3 | 25.5% | 2.9x | -- |
Multiples vs the company's own history — cheap or rich relative to itself? Historical fiscal years, then TTM, then forward projections (E). Forward rows hold today's price against projected earnings, so the multiple compresses if the company grows into it.
| Year | Price | Rev Gr | EBITDA % | EBITDA | EV/EBITDA | EV/FCF | P/E | P/S |
|---|---|---|---|---|---|---|---|---|
| 2022 | 6.29 | — | 70.5% | 27 | 1.1× | 0.8× | 5.9× | 4.7× |
| 2023 | 6.50 | -11.8% | 65.8% | 22 | 2.6× | 2.8× | 6.4× | 6.5× |
| 2024 | 8.24 | +3538.9% | 14.3% | 177 | 2.5× | n/m | 3.1× | 0.2× |
| TTM | 6.48 | +2317.4% | 10.6% | 181 | 0.0× | 0.0× | 0.0× | 0.0× |
| 2026E | 6.48 | -12.8% | -0.0% | -1 | 0.0× | 0.0× | 0.0× | 0.0× |
EBITDA in reporting-currency $M. Historical multiples use year-end market cap (split-adjusted price history); TTM & forward years use today's.
AI Analysis
LLM Evaluations
Immersion is a broken story. What was once a high-margin IP licensing company has been transformed into a heavily indebted, low-margin retail holding company via the BNED acquisition. The core licensing business has collapsed (92% revenue decline), key patents have been invalidated, the company faces Nasdaq delisting, requires accounting restatements suggesting material internal control failures, and carries ~$170M in debt against a $184M market cap. The poison pill adoption signals management entrenchment rather than shareholder value creation. With 11.5% short interest, negative FCF, limited cash runway, and extreme accounting opacity, this is a strong avoid/short candidate. The only potential upside scenario is a takeout of the remaining IP portfolio, but the Valve patent loss materially impairs even that option value.
Valuation & Metrics
Market Stats
TTM Financial Snapshot
DCF Fair Value Estimate
Forward Outlook & Risk
Short Interest
Options
| Strike | Call Bid/Ask | Call OI | Put Bid/Ask | Put OI |
|---|---|---|---|---|
| $2.50 | $3.10/$4.20 | 0 | --/$0.75 | 0 |
| $5.00 | $0.85/$1.80 | 10 | --/$0.35 | 0 |
| $7.50 | $0.05/$0.20 | 0 | $0.90/$1.85 | 5 |
| $10.00 | --/$0.75 | 0 | $3.30/$4.50 | 0 |
| $12.50 | --/$0.75 | 0 | $5.70/$7.10 | 0 |
Forward Projections & Estimates
Employees
Cash Runway
Institutional Ownership
Headline & net flow
In Q1 2026 so far (quarter still filing), institutions are net buyers — bought 7.6% of float, sold 4.3%.
Ownership composition
Top holders
| Fund | $ value | Cost basis | Δ QoQ | Δ YoY | α life | Fund AUM |
|---|---|---|---|---|---|---|
| BlackRock, Inc.Passive | $12.5M | $8.28 | +$162K | −$185K | -0.2% | $5.69T |
| CDC Financial, Inc. | $7.8M | $6.72 | +$0 | +$7.8M | +13.3% | $121M |
| VANGUARD CAPITAL MANAGEMENT LLCPassive | $7.0M | $5.46 | +$7.0M | +$7.0M | — | $4.04T |
| GEODE CAPITAL MANAGEMENT, LLCPassive | $4.0M | $6.53 | +$214K | +$1K | +2.3% | $1.61T |
| Kanen Wealth Management LLC | $3.9M | $7.50 | +$1.3M | +$595K | -2.6% | $278M |
| SUSQUEHANNA INTERNATIONAL GROUP, LLPMM | $3.8M | $6.97 | −$98K | +$1.8M | -0.6% | $77.14B |
| STATE STREET CORPPassive | $3.6M | $7.40 | +$68K | −$5.1M | -0.2% | $2.89T |
| NISSAY ASSET MANAGEMENT CORP /JAPAN/ /ADV | $3.3M | $6.63 | +$80K | +$286K | -0.1% | $18.86B |
| Caption Management, LLC | $2.8M | $6.98 | +$196K | +$780K | -1.1% | $2.10B |
| FMR LLC | $2.7M | $7.12 | +$323K | +$880K | -0.0% | $1.89T |
| SEGALL BRYANT & HAMILL, LLC | $2.3M | $8.33 | −$8K | −$328K | -0.1% | $8.06B |
| Squarepoint Ops LLC | $2.2M | $7.11 | +$599K | +$1.3M | +0.4% | $46.27B |
| MORGAN STANLEY | $2.2M | $7.56 | +$676K | −$1.2M | -0.3% | $1.65T |
| D. E. Shaw & Co., Inc. | $1.6M | $7.17 | −$572K | +$1.5M | -0.3% | $118.02B |
| AQR CAPITAL MANAGEMENT LLC | $1.6M | $6.33 | +$1.3M | +$1.2M | -0.2% | $218.19B |
| Bank of New York Mellon Corp | $1.6M | $6.74 | +$90K | −$349K | -0.2% | $543.21B |
| GOLDMAN SACHS GROUP INC | $1.5M | $7.18 | +$391K | +$858K | -0.2% | $760.93B |
| NORTHERN TRUST CORPPassive | $1.4M | $6.37 | +$78K | −$214K | -0.2% | $755.34B |
| Qube Research & Technologies Ltd | $1.2M | $8.30 | −$507K | −$1.1M | +0.3% | $70.36B |
| LOS ANGELES CAPITAL MANAGEMENT & EQUITY RESEARCH INC | $1.2M | $6.85 | +$563K | +$296K | -0.0% | $25.38B |
Trading behavior
▸ Compare to holder-profile behavior (across all their stocks)
Biggest decreases this quarter
New buyers this quarter
Top-5 holders · 41.4%
Top Holders Over Time
5-year share-count history (top 10 holders by peak, incl. exited) + price
Analyst Coverage
| Quarter | Revenue | EBITDA | Net Inc | EPS | EPS Range | # Analysts |
|---|---|---|---|---|---|---|
| 2024 Q2 | 8M | 3M | 6M | $0.18 | $0.18 – $0.18 | 1 |
| 2024 Q3 | 25M | 9M | 18M | $0.55 | $0.55 – $0.55 | 1 |
| 2024 Q4 | 99M | 36M | 38M | $1.14 | $1.14 – $1.14 | 1 |
| 2025 Q1 | 450M | 165M | 11M | $0.33 | $0.33 – $0.33 | 1 |
| 2025 Q2 | 250M | 92M | 8M | $0.23 | $0.23 – $0.23 | 1 |
| 2025 Q3 | 250M | 92M | 5M | $0.14 | $0.14 – $0.14 | 1 |
| 2025 Q4 | 610M | 224M | 3M | $0.10 | $0.10 – $0.10 | 1 |
| 2026 Q1 | 425M | 156M | 5M | $0.15 | $0.15 – $0.15 | 1 |
| 2026 Q2 | 230M | 84M | 3M | $0.09 | $0.09 – $0.09 | 1 |
| 2026 Q3 | 585M | 215M | 2M | $0.06 | $0.06 – $0.06 | 1 |
Corporate
Executive Compensation (2023-2025)
Insider Trading (last 12mo)
| Date | Side | Insider | Title | Shares | Price | Dollars | Owned $ |
|---|---|---|---|---|---|---|---|
| 2025-06-12 | SELL | DODSON J MICHAEL | officer: Chief Financial Officer | 5,921 | $7.53 | $45K | $295K |
Order Flow (FINRA, ~3w lag)
Revenue Breakdown
Revenue Segments
| Product and Other | $471.8M | +12% |
| Rental Income | $43.3M | NEW |
| Fixed Fee License and Per-Unit Royalties | $3.4M | NEW |
Counter-Thesis
Counter-Thesis & Recent News
As of late March 2026, Immersion Corporation has received its fourth Nasdaq delinquency notice for failing to file three consecutive quarterly reports (Form 10-Q) and its FY2025 annual report (Form 10-K) on time. Following a March 26, 2026, hearing before the Nasdaq Hearings Panel, the company faces an immediate delisting risk if compliance is not regained. This reporting failure is tied to a massive accounting scandal at its subsidiary, Barnes & Noble Education (BNED), involving unsupported manual journal entries and improper revenue recognition requiring restatements dating back to 2024 (Source: Stock Titan, Investing.com).
The investment thesis for IMMR has fundamentally broken down as its core haptics licensing business has effectively collapsed. Recent financial results for the quarter ended July 31, 2025, showed a staggering 92% year-over-year decline in royalty and license revenue, falling from $48.4 million to just $3.87 million. The company has pivoted into a low-margin retail holding company for BNED, which now accounts for over 95% of consolidated revenue but brings substantial debt ($170 million) and thin margins. Consolidated operations turned from a profit to a $26.3 million operating loss, with negative operating cash flow of $61.6 million (Source: Seeking Alpha, TipRanks).
Internal control weaknesses are severe; a high Beneish M-Score of 29.41 suggests possible financial manipulation, while a low Piotroski F-Score of 3 indicates poor operational health. The Board's adoption of a 'Poison Pill' shareholder rights plan in November 2025—designed to prevent takeovers through October 2026—suggests management is defensive and acknowledges the company's extreme vulnerability to hostile bids or activist pressure during this restatement period (Source: Sahm Capital, GuruFocus).
In September 2025, Immersion lost a major legal battle when the U.S. Patent Trial and Appeal Board (PTAB) ruled in favor of Valve in an inter partes review (IPR), invalidating key patent claims and delaying potential litigation settlements. This loss weakens IMMR's primary monetization strategy (litigation) and invites further challenges from competitors and major tech players like Texas Instruments and Synaptics, who are increasingly dominating the haptic hardware and driver markets (Source: Seeking Alpha, MarketBeat).
Sentiment among core haptics customers appears to have turned sharply negative or disinterested, evidenced by the near-total disappearance of royalty income. The 92% drop in licensing revenue suggests that major hardware manufacturers (mobile/gaming) may be successfully engineering around Immersion’s aging patent portfolio or transitioning to open standards and internal solutions to avoid litigation-driven licensing fees (Source: Investing.com, Stock Titan).