Comtech Telecommunications
Market Cap
US$359.7m
Last Updated
2020/10/28 23:46 UTC
Data Sources
Company Financials +
Executive Summary
Comtech Telecommunications Corp. designs, develops, produces, and markets products, systems, and services for communications solutions in the United States and internationally. More Details
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Excellent balance sheet and slightly overvalued.
Similar Companies
Share Price & News
How has Comtech Telecommunications's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CMTL's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-11.8%
CMTL
-7.1%
US Communications
-4.6%
US Market
1 Year Return
-58.4%
CMTL
-21.2%
US Communications
11.5%
US Market
Return vs Industry: CMTL underperformed the US Communications industry which returned -21.2% over the past year.
Return vs Market: CMTL underperformed the US Market which returned 11.5% over the past year.
Shareholder returns
| CMTL | Industry | Market | |
|---|---|---|---|
| 7 Day | -11.8% | -7.1% | -4.6% |
| 30 Day | 2.6% | -6.3% | -0.9% |
| 90 Day | -11.9% | -21.4% | 2.2% |
| 1 Year | -57.5%-58.4% | -19.0%-21.2% | 14.0%11.5% |
| 3 Year | -29.7%-33.1% | 6.9%-0.3% | 34.5%25.6% |
| 5 Year | -33.4%-43.0% | 28.4%14.1% | 73.0%53.6% |
Price Volatility Vs. Market
How volatile is Comtech Telecommunications's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Are Institutions Heavily Invested In Comtech Telecommunications Corp.'s (NASDAQ:CMTL) Shares?2 weeks ago | Simply Wall St
Why It Might Not Make Sense To Buy Comtech Telecommunications Corp. (NASDAQ:CMTL) For Its Upcoming Dividend4 weeks ago | Simply Wall St
Are Comtech Telecommunications's (NASDAQ:CMTL) Statutory Earnings A Good Reflection Of Its Earnings Potential?Valuation
Is Comtech Telecommunications undervalued compared to its fair value and its price relative to the market?
7.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CMTL ($14.39) is trading below our estimate of fair value ($15.57)
Significantly Below Fair Value: CMTL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: CMTL is poor value based on its PE Ratio (50.8x) compared to the US Communications industry average (45x).
PE vs Market: CMTL is poor value based on its PE Ratio (50.8x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: CMTL is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: CMTL is good value based on its PB Ratio (0.7x) compared to the US Communications industry average (1.6x).
Next Steps
Future Growth
How is Comtech Telecommunications forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
20.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CMTL's forecast earnings growth (20.1% per year) is above the savings rate (2.2%).
Earnings vs Market: CMTL's earnings (20.1% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CMTL's revenue (3.1% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: CMTL's revenue (3.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if CMTL's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Comtech Telecommunications performed over the past 5 years?
19.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CMTL has a large one-off loss of $20.8M impacting its July 31 2020 financial results.
Growing Profit Margin: CMTL's current net profit margins (1.1%) are lower than last year (3.7%).
Past Earnings Growth Analysis
Earnings Trend: CMTL's earnings have grown by 19.3% per year over the past 5 years.
Accelerating Growth: CMTL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CMTL had negative earnings growth (-72%) over the past year, making it difficult to compare to the Communications industry average (-7.9%).
Return on Equity
High ROE: CMTL's Return on Equity (1.3%) is considered low.
Next Steps
Financial Health
How is Comtech Telecommunications's financial position?
Financial Position Analysis
Short Term Liabilities: CMTL's short term assets ($277.1M) exceed its short term liabilities ($159.7M).
Long Term Liabilities: CMTL's short term assets ($277.1M) exceed its long term liabilities ($220.6M).
Debt to Equity History and Analysis
Debt Level: CMTL's debt to equity ratio (27.2%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if CMTL's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: CMTL's debt is well covered by operating cash flow (35.3%).
Interest Coverage: CMTL's interest payments on its debt are well covered by EBIT (6.1x coverage).
Balance Sheet
Next Steps
Dividend
What is Comtech Telecommunications's current dividend yield, its reliability and sustainability?
2.78%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CMTL's dividend (2.78%) is higher than the bottom 25% of dividend payers in the US market (1.71%).
High Dividend: CMTL's dividend (2.78%) is low compared to the top 25% of dividend payers in the US market (4.86%).
Stability and Growth of Payments
Stable Dividend: CMTL's dividend payments have been volatile in the past 10 years.
Growing Dividend: CMTL's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (141.3%), CMTL's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.8yrs
Average management tenure
CEO
Fred Kornberg (84 yo)
4.08yrs
Tenure
US$3,740,558
Compensation
Mr. Fred Kornberg has been the Chief Executive Officer of Comtech Telecommunications Corp. since September 29, 2016. Mr. Kornberg was the President of Comtech Telecommunications Corp. from September 29, 20 ...
CEO Compensation Analysis
Compensation vs Market: Fred's total compensation ($USD3.74M) is above average for companies of similar size in the US market ($USD1.94M).
Compensation vs Earnings: Fred's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 4.08yrs | US$3.74m | 1.6% $ 5.8m | |
| President & COO | no data | US$2.20m | 0.47% $ 1.7m | |
| Chief Financial Officer | 2yrs | US$960.58k | 0.12% $ 443.9k | |
| Vice President of International Marketing | 11yrs | no data | no data | |
| President of Mission-Critical Technologies | 3.58yrs | no data | no data | |
| President of Safety and Security Technologies | 7.5yrs | no data | no data | |
| Senior VP of Mobile Datacom Managed Services | no data | no data | no data | |
| Senior VP of Space & Component Technology | no data | no data | no data | |
| Senior VP of Tactical Communications | no data | no data | no data | |
| President of the Government Group of Comtech EF Data Corp. | 0.58yr | no data | no data | |
| President of the Commercial Group of Comtech EF Data Corp. | 0.58yr | no data | no data | |
| Chief Trade Compliance Officer | 0.083yr | no data | no data |
2.8yrs
Average Tenure
61yo
Average Age
Experienced Management: CMTL's management team is considered experienced (2.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 4.08yrs | US$3.74m | 1.6% $ 5.8m | |
| Independent Director | 18.33yrs | US$190.00k | 0.062% $ 223.1k | |
| Independent Director | 13.58yrs | US$187.50k | 0.11% $ 387.2k | |
| Independent Director | 4yrs | US$187.50k | 0.060% $ 215.3k | |
| Lead Independent Director | 9.08yrs | US$207.50k | 0.046% $ 165.4k | |
| Independent Director | 5.17yrs | US$200.00k | 0.060% $ 215.3k | |
| Director | 0.58yr | no data | no data |
9.1yrs
Average Tenure
81yo
Average Age
Experienced Board: CMTL's board of directors are considered experienced (9.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3%.
Top Shareholders
Company Information
Comtech Telecommunications Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Comtech Telecommunications Corp.
- Ticker: CMTL
- Exchange: NasdaqGS
- Founded: 1967
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$359.668m
- Shares outstanding: 24.99m
- Website: https://www.comtechtel.com
Number of Employees
Location
- Comtech Telecommunications Corp.
- 68 South Service Road
- Suite 230
- Melville
- New York
- 11747
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CMTL | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Dec 1972 |
| CC6 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1972 |
Biography
Comtech Telecommunications Corp. designs, develops, produces, and markets products, systems, and services for communications solutions in the United States and internationally. It operates in two segments, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/28 23:46 |
| End of Day Share Price | 2020/10/28 00:00 |
| Earnings | 2020/07/31 |
| Annual Earnings | 2020/07/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.