Comtech Telecomm. (CMTL) Trading Up 1.1% on Strong Earnings

Comtech Telecomm. Corp. (NASDAQ:CMTL)’s share price was up 1.1% during mid-day trading on Thursday following a stronger than expected earnings report. The company traded as high as $36.94 and last traded at $32.45. Approximately 26,982 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 116,111 shares. The stock had previously closed at $32.10.

The communications equipment provider reported $0.31 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.26 by $0.05. Comtech Telecomm. had a return on equity of 3.21% and a net margin of 5.38%. The firm had revenue of $167.40 million during the quarter, compared to analyst estimates of $174.72 million. During the same period last year, the company posted $0.31 EPS. The business’s quarterly revenue was up 13.3% on a year-over-year basis.

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, November 16th. Stockholders of record on Wednesday, October 17th will be given a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 1.22%. The ex-dividend date is Tuesday, October 16th. Comtech Telecomm.’s dividend payout ratio (DPR) is presently 117.65%.

A number of analysts recently commented on CMTL shares. BidaskClub raised Comtech Telecomm. from a “hold” rating to a “buy” rating in a research report on Wednesday, June 6th. Noble Financial reaffirmed a “buy” rating and issued a $34.00 target price on shares of Comtech Telecomm. in a research report on Thursday, June 7th. LADENBURG THALM/SH SH reaffirmed a “buy” rating and issued a $35.00 target price on shares of Comtech Telecomm. in a research report on Thursday, June 7th. BMO Capital Markets boosted their target price on Comtech Telecomm. from $35.00 to $37.00 and gave the company an “outperform” rating in a research report on Friday, June 8th. Finally, Citigroup boosted their target price on Comtech Telecomm. from $33.00 to $34.00 and gave the company a “hold” rating in a research report on Friday, June 8th. Four research analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and a consensus target price of $33.83.

A number of institutional investors have recently modified their holdings of the stock. Cambria Investment Management L.P. increased its position in Comtech Telecomm. by 11.5% in the 2nd quarter. Cambria Investment Management L.P. now owns 15,492 shares of the communications equipment provider’s stock valued at $494,000 after buying an additional 1,602 shares in the last quarter. FMR LLC boosted its stake in Comtech Telecomm. by 6.4% during the 2nd quarter. FMR LLC now owns 29,500 shares of the communications equipment provider’s stock valued at $940,000 after purchasing an additional 1,770 shares during the last quarter. Metropolitan Life Insurance Co. NY boosted its stake in Comtech Telecomm. by 29.9% during the 2nd quarter. Metropolitan Life Insurance Co. NY now owns 7,991 shares of the communications equipment provider’s stock valued at $255,000 after purchasing an additional 1,838 shares during the last quarter. BNP Paribas Arbitrage SA boosted its stake in Comtech Telecomm. by 25.6% during the 2nd quarter. BNP Paribas Arbitrage SA now owns 9,503 shares of the communications equipment provider’s stock valued at $303,000 after purchasing an additional 1,939 shares during the last quarter. Finally, Uniplan Investment Counsel Inc. boosted its stake in Comtech Telecomm. by 1.3% during the 1st quarter. Uniplan Investment Counsel Inc. now owns 181,043 shares of the communications equipment provider’s stock valued at $5,411,000 after purchasing an additional 2,237 shares during the last quarter. 86.86% of the stock is owned by institutional investors and hedge funds.

The company has a market cap of $821.09 million, a PE ratio of 95.44, a PEG ratio of 9.18 and a beta of 1.49. The company has a debt-to-equity ratio of 0.33, a current ratio of 1.72 and a quick ratio of 1.22.

Comtech Telecomm. Company Profile (NASDAQ:CMTL)

Comtech Telecommunications Corp. designs, develops, produces, and markets products, systems, and services for communications solutions. The company's Commercial Solutions segment provides ground-based equipment, such as single channel per carrier modems and solid state amplifiers that facilitate the transmission of voice, video, and data, as well as offers traveling wave tube amplifiers comprising high power narrow-band amplifiers that are used to amplify signals from satellite earth stations; and safety and security technology solutions that enable 911 c.

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