NasdaqGS:CMTL

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Comtech Telecommunications

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


Snowflake Analysis

Fair value with worrying balance sheet.


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 is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CMTL's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

3.4%

CMTL

-3.8%

US Communications

-2.5%

US Market


1 Year Return

-3.8%

CMTL

14.0%

US Communications

34.1%

US Market

Return vs Industry: CMTL underperformed the US Communications industry which returned 14% over the past year.

Return vs Market: CMTL underperformed the US Market which returned 34.1% over the past year.


Shareholder returns

CMTLIndustryMarket
7 Day3.4%-3.8%-2.5%
30 Day22.0%0.5%0.1%
90 Day44.4%10.6%4.5%
1 Year-1.6%-3.8%17.0%14.0%37.1%34.1%
3 Year34.9%28.3%9.6%2.4%58.0%47.9%
5 Year58.7%37.4%87.9%67.2%131.9%106.2%

Long-Term 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

Valuation

Is Comtech Telecommunications undervalued compared to its fair value and its price relative to the market?

26.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CMTL ($29.12) is trading below our estimate of fair value ($39.79)

Significantly Below Fair Value: CMTL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CMTL is unprofitable, so we can't compare its PE Ratio to the US Communications industry average.

PE vs Market: CMTL is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CMTL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CMTL is good value based on its PB Ratio (1.6x) compared to the US Communications industry average (3.1x).


Next Steps

Future Growth

How is Comtech Telecommunications forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

130.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMTL is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CMTL is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CMTL is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CMTL's revenue (7.9% per year) is forecast to grow slower than the US market (10.5% per year).

High Growth Revenue: CMTL's revenue (7.9% 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?

-5.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMTL is currently unprofitable.

Growing Profit Margin: CMTL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CMTL is unprofitable, and losses have increased over the past 5 years at a rate of 5.3% per year.

Accelerating Growth: Unable to compare CMTL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CMTL is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (-4%).


Return on Equity

High ROE: CMTL has a negative Return on Equity (-18.52%), as it is currently unprofitable.


Next Steps

Financial Health

How is Comtech Telecommunications's financial position?


Financial Position Analysis

Short Term Liabilities: CMTL's short term assets ($274.5M) exceed its short term liabilities ($169.6M).

Long Term Liabilities: CMTL's short term assets ($274.5M) do not cover its long term liabilities ($288.8M).


Debt to Equity History and Analysis

Debt Level: CMTL's debt to equity ratio (47.2%) is considered high.

Reducing Debt: Insufficient data to determine if CMTL's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: CMTL's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: CMTL is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Comtech Telecommunications's current dividend yield, its reliability and sustainability?

1.37%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CMTL's dividend (1.37%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: CMTL's dividend (1.37%) is low compared to the top 25% of dividend payers in the US market (3.75%).


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: CMTL is paying a dividend but the company is unprofitable.


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?

3.9yrs

Average management tenure


CEO

Fred Kornberg (84 yo)

4.42yrs

Tenure

US$3,713,506

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 ($USD3.71M) is above average for companies of similar size in the US market ($USD2.21M).

Compensation vs Earnings: Fred's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Fred Kornberg
Chairman & CEO4.42yrsUS$3.71m1.6%
$ 11.6m
Michael Porcelain
President & COO1.08yrsUS$2.29m0.45%
$ 3.3m
Michael Bondi
Chief Financial Officer2.33yrsUS$923.49k0.12%
$ 898.2k
Nancy Stallone
VP of Finance & Corporate Secretary5.08yrsUS$484.55k0.11%
$ 810.8k
Yelena Simonyuk
Managing Counsel1.75yrsUS$444.80k0.0016%
$ 12.0k
Brian Duggan
Vice President of International Marketing11.33yrsno datano data
Michael Atcheson
President of Mission-Critical Technologies3.92yrsno datano data
Kent Hellebust
President of Safety and Security Technologies7.83yrsno datano data
Lajuana Johnson
Senior Vice President of Product & Strategyno datano datano data
Michael Scott
President of Space & Component Technologyno datano datano data
Roger Seaton
President of Tactical Communicationsno datano datano data
Jeffrey Harig
President of the Government Group of Comtech EF Data Corp.0.92yrno datano data

3.9yrs

Average Tenure

60.5yo

Average Age

Experienced Management: CMTL's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Fred Kornberg
Chairman & CEO4.42yrsUS$3.71m1.6%
$ 11.6m
Ira Kaplan
Independent Director18.67yrsUS$272.80k0.062%
$ 451.6k
Robert Paul
Independent Director13.92yrsUS$270.30k0.11%
$ 783.5k
Yacov Shamash
Independent Director4.33yrsUS$270.30k0.060%
$ 435.6k
Edwin Kantor
Lead Independent Director9.42yrsUS$290.30k0.046%
$ 334.8k
Lawrence Waldman
Independent Director5.5yrsUS$282.80k0.060%
$ 435.6k
Lisa Lesavoy
Independent Director0.92yrUS$284.50k0.016%
$ 116.5k

9.4yrs

Average Tenure

78yo

Average Age

Experienced Board: CMTL's board of directors are considered experienced (9.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CMTL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.5%.


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$728.315m
  • Shares outstanding: 25.01m
  • 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

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CMTLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1972
CC6DB (Deutsche Boerse AG)YesCommon StockDEEURDec 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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/24 00:19
End of Day Share Price2021/02/23 00:00
Earnings2020/10/31
Annual Earnings2020/07/31


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.