Comtech Telecommunications Corp. (CMTL) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Arlo Technologies, Inc.

Aviat Networks, Inc.

CommScope Holding Co., Inc.

Digi International, Inc.

Gilat Satellite Networks Ltd.

Clearfield, Inc.

InterDigital, Inc.

AudioCodes Ltd.

Comtech Telecommunications Corp.

Harmonic, Inc.

Infinera Corp.

Why is Comtech Telecommunications Corp. ?

Poor Management Efficiency with a low ROCE of 1.67%

The company has been able to generate a Return on Capital Employed (avg) of 1.67% signifying low profitability per unit of total capital (equity and debt)

The company has declared Negative results for the last 5 consecutive quarters

NET PROFIT(Q) At USD -13.33 MM has Fallen at -78.27%
INTEREST(HY) At USD 23.76 MM has Grown at 45.37%
NET SALES(Q) Lowest at USD 111.03 MM

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Comtech Telecommunications Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Comtech Telecommunications Corp.

87.56%

0.67

86.07%

S&P 500

14.9%

0.77

19.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.18%

EBIT Growth (5y)

-177.60%

EBIT to Interest (avg)

1.27

Debt to EBITDA (avg)

3.19

Net Debt to Equity (avg)

0.68

Sales to Capital Employed (avg)

0.88

Tax Ratio

0.61%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

72.55%

ROCE (avg)

1.67%

ROE (avg)

0.97%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.78

EV to EBIT

-47.50

EV to EBITDA

16.93

EV to Capital Employed

0.87

EV to Sales

0.81

PEG Ratio

Dividend Yield

ROCE (Latest)

-1.82%

ROE (Latest)

-18.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 24.35 MM

NET PROFIT(HY)

Higher at USD -20.88 MM

RAW MATERIAL COST(Y)

Fallen by -372.09% (YoY

CASH AND EQV(HY)

Highest at USD 83.65 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 4.88 times

-18What is not working for the Company

NET PROFIT(Q)

At USD -13.33 MM has Fallen at -78.27%

INTEREST(HY)

At USD 23.76 MM has Grown at 45.37%

NET SALES(Q)

Lowest at USD 111.03 MM

Here's what is working for Comtech Telecommunications Corp.

Operating Cash Flow

Highest at USD 24.35 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Cash and Eqv

Highest at USD 83.65 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 4.88 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -372.09% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Comtech Telecommunications Corp.

Net Profit

At USD -13.33 MM has Fallen at -78.27%

over average net sales of the previous four periods of USD -7.48 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 23.76 MM has Grown at 45.37%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Net Sales

Lowest at USD 111.03 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Net Sales

At USD 111.03 MM has Fallen at -11.09%

over average net sales of the previous four periods of USD 124.88 MM

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)