Comtech Telecommunications Corp.

NasdaqGS:CMTL Stock Report

Market Cap: US$84.4m

Comtech Telecommunications Valuation

Is CMTL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CMTL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CMTL ($3.03) is trading below our estimate of fair value ($16.62)

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


Key Valuation Metric

Which metric is best to use when looking at relative valuation for CMTL?

Key metric: As CMTL is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for CMTL. This is calculated by dividing CMTL's market cap by their current revenue.
What is CMTL's PS Ratio?
PS Ratio0.2x
SalesUS$540.40m
Market CapUS$84.44m

Price to Sales Ratio vs Peers

How does CMTL's PS Ratio compare to its peers?

The above table shows the PS ratio for CMTL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.3x
SATX Satixfy Communications
6.1xn/aUS$68.3m
KVHI KVH Industries
0.9x-5.6%US$102.3m
SILC Silicom
1.4x7.6%US$85.4m
LTRX Lantronix
0.7x5.3%US$105.4m
CMTL Comtech Telecommunications
0.2x4.3%US$84.4m

Price-To-Sales vs Peers: CMTL is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (2.3x).


Price to Sales Ratio vs Industry

How does CMTL's PS Ratio compare vs other companies in the US Communications Industry?

12 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.1.1x8.2%
CMTL Comtech Telecommunications
0.2x4.3%US$84.44m
COMM CommScope Holding Company
0.2x-0.08%US$977.93m
VSAT Viasat
0.2x1.8%US$876.93m
CMTL 0.2xIndustry Avg. 1.1xNo. of Companies12PS012345+
12 CompaniesEstimated GrowthMarket Cap
Industry Avg.1.1x16.5%
CMTL Comtech Telecommunications
0.2x75.7%US$84.44m
No more companies

Price-To-Sales vs Industry: CMTL is good value based on its Price-To-Sales Ratio (0.2x) compared to the US Communications industry average (1.1x).


Price to Sales Ratio vs Fair Ratio

What is CMTL's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CMTL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.2x
Fair PS Ratio0.5x

Price-To-Sales vs Fair Ratio: CMTL is good value based on its Price-To-Sales Ratio (0.2x) compared to the estimated Fair Price-To-Sales Ratio (0.5x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CMTL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$3.03
US$6.92
+128.3%
35.7%US$9.25US$3.50n/a3
Nov ’25US$2.91
US$7.92
+172.1%
45.1%US$12.25US$3.50n/a3
Oct ’25US$4.47
US$9.25
+106.9%
44.0%US$12.25US$3.50n/a3
Sep ’25US$3.16
US$9.25
+192.7%
44.0%US$12.25US$3.50n/a3
Aug ’25US$3.17
US$11.94
+276.6%
48.9%US$20.00US$3.50n/a4
Jul ’25US$3.09
US$11.94
+286.3%
48.9%US$20.00US$3.50n/a4
Jun ’25US$2.49
US$11.94
+379.4%
48.9%US$20.00US$3.50n/a4
May ’25US$1.84
US$11.94
+548.8%
48.9%US$20.00US$3.50n/a4
Apr ’25US$3.30
US$11.94
+261.7%
48.9%US$20.00US$3.50n/a4
Mar ’25US$6.60
US$14.69
+122.5%
33.3%US$20.00US$7.50n/a4
Feb ’25US$6.51
US$14.69
+125.6%
33.3%US$20.00US$7.50n/a4
Jan ’25US$8.43
US$16.94
+100.9%
33.1%US$22.00US$7.50n/a4
Dec ’24US$12.21
US$17.33
+42.0%
30.3%US$22.00US$10.00n/a3
Nov ’24US$12.32
US$17.33
+40.7%
30.3%US$22.00US$10.00US$2.913
Oct ’24US$8.75
US$16.00
+82.9%
31.6%US$22.00US$11.00US$4.474
Sep ’24US$10.07
US$16.00
+58.9%
31.6%US$22.00US$11.00US$3.164
Aug ’24US$10.09
US$16.00
+58.6%
31.6%US$22.00US$11.00US$3.174
Jul ’24US$9.14
US$16.00
+75.1%
31.6%US$22.00US$11.00US$3.094
Jun ’24US$12.15
US$16.88
+38.9%
18.3%US$20.00US$12.00US$2.494
May ’24US$10.91
US$16.88
+54.7%
18.3%US$20.00US$12.00US$1.844
Apr ’24US$12.48
US$16.88
+35.2%
18.3%US$20.00US$12.00US$3.304
Mar ’24US$16.44
US$16.38
-0.4%
19.9%US$20.00US$12.00US$6.604
Feb ’24US$16.19
US$15.38
-5.0%
16.5%US$19.00US$12.00US$6.514
Jan ’24US$12.14
US$15.38
+26.6%
16.5%US$19.00US$12.00US$8.434
Dec ’23US$11.85
US$14.60
+23.2%
22.3%US$19.00US$10.00US$12.215
Nov ’23US$11.00
US$14.60
+32.7%
22.3%US$19.00US$10.00US$12.325

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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