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.

Gilat Satellite Networks Ltd.

Digi International, Inc.

InterDigital, Inc.

Harmonic, Inc.

CommScope Holding Co., Inc.

Clearfield, Inc.

AudioCodes Ltd.

Comtech Telecommunications Corp.

Aviat Networks, 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)

Flat results in Apr 26

NET PROFIT(9M) At USD -36.71 MM has Grown at -64.13%
DEBT-EQUITY RATIO (HY) Highest at 84.69 %
NET SALES(Q) Lowest at USD 106 MM

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -31.82%, its profits have fallen by -366.6%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -31.82% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

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, Low Return

Absolute

Risk Adjusted

Volatility

Comtech Telecommunications Corp.

-31.82%

-0.30

93.27%

S&P 500

18.21%

1.38

13.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-3.96%

EBIT Growth (5y)

-156.48%

EBIT to Interest (avg)

1.27

Debt to EBITDA (avg)

3.19

Net Debt to Equity (avg)

0.68

Sales to Capital Employed (avg)

0.90

Tax Ratio

0.61%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

66.94%

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

0.52

EV to EBIT

-208.57

EV to EBITDA

10.66

EV to Capital Employed

0.72

EV to Sales

0.69

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.35%

ROE (Latest)

-17.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

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

6What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 30.51 MM

NET PROFIT(HY)

Higher at USD -23.38 MM

RAW MATERIAL COST(Y)

Fallen by -11.46% (YoY

-9What is not working for the Company

NET PROFIT(9M)

At USD -36.71 MM has Grown at -64.13%

DEBT-EQUITY RATIO (HY)

Highest at 84.69 %

NET SALES(Q)

Lowest at USD 106 MM

Here's what is working for Comtech Telecommunications Corp.

Operating Cash Flow

Highest at USD 30.51 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Profit

Higher at USD -23.38 MM

than preceding 12 month period ended Apr 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (USD MM)

Raw Material Cost

Fallen by -11.46% (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 Sales

Lowest at USD 106 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Net Sales

At USD 106 MM has Fallen at -10.72%

over average net sales of the previous four periods of USD 118.74 MM

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Debt-Equity Ratio

Highest at 84.69 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio