Comtech Telecomm. Corp. (CMTL) Expected to Post Quarterly Sales of $159.83 Million

Brokerages expect Comtech Telecomm. Corp. (NASDAQ:CMTL) to report $159.83 million in sales for the current quarter, according to Zacks Investment Research. Three analysts have issued estimates for Comtech Telecomm.’s earnings. The lowest sales estimate is $157.50 million and the highest is $161.00 million. Comtech Telecomm. reported sales of $133.73 million in the same quarter last year, which suggests a positive year-over-year growth rate of 19.5%. The business is expected to announce its next earnings report on Wednesday, March 6th.

On average, analysts expect that Comtech Telecomm. will report full year sales of $631.80 million for the current fiscal year, with estimates ranging from $627.90 million to $634.80 million. For the next year, analysts expect that the firm will report sales of $664.93 million, with estimates ranging from $657.00 million to $675.80 million. Zacks Investment Research’s sales averages are an average based on a survey of research firms that follow Comtech Telecomm..

Comtech Telecomm. (NASDAQ:CMTL) last released its quarterly earnings data on Thursday, December 6th. The communications equipment provider reported $0.18 EPS for the quarter, beating the Zacks’ consensus estimate of ($0.05) by $0.23. The company had revenue of $160.80 million during the quarter, compared to the consensus estimate of $129.30 million. Comtech Telecomm. had a net margin of 5.72% and a return on equity of 5.05%. Comtech Telecomm.’s quarterly revenue was up 32.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.07) EPS.

CMTL has been the subject of a number of recent research reports. TheStreet downgraded shares of Comtech Telecomm. from a “b-” rating to a “c+” rating in a report on Thursday, November 15th. BidaskClub downgraded shares of Comtech Telecomm. from a “hold” rating to a “sell” rating in a report on Wednesday, October 24th. Zacks Investment Research downgraded shares of Comtech Telecomm. from a “strong-buy” rating to a “hold” rating in a report on Thursday, December 13th. Noble Financial set a $38.00 price objective on shares of Comtech Telecomm. and gave the company a “buy” rating in a report on Saturday, December 8th. Finally, ValuEngine downgraded shares of Comtech Telecomm. from a “buy” rating to a “hold” rating in a report on Wednesday, December 5th. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and four have assigned a buy rating to the stock. Comtech Telecomm. has a consensus rating of “Hold” and an average price target of $34.80.

CMTL stock opened at $26.46 on Thursday. The stock has a market capitalization of $606.01 million, a price-to-earnings ratio of 35.01, a price-to-earnings-growth ratio of 4.95 and a beta of 1.32. The company has a debt-to-equity ratio of 0.38, a current ratio of 2.14 and a quick ratio of 1.51. Comtech Telecomm. has a 12 month low of $21.54 and a 12 month high of $36.94.

The company also recently declared a quarterly dividend, which will be paid on Friday, February 15th. Stockholders of record on Wednesday, January 16th will be paid a $0.10 dividend. The ex-dividend date is Tuesday, January 15th. This represents a $0.40 annualized dividend and a dividend yield of 1.51%. Comtech Telecomm.’s dividend payout ratio (DPR) is 53.33%.

In related news, Director Edwin Kantor sold 1,000 shares of the stock in a transaction that occurred on Tuesday, December 18th. The shares were sold at an average price of $25.50, for a total transaction of $25,500.00. Following the completion of the transaction, the director now owns 500 shares of the company’s stock, valued at approximately $12,750. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP John Branscum sold 1,158 shares of the stock in a transaction that occurred on Friday, January 18th. The stock was sold at an average price of $25.16, for a total transaction of $29,135.28. Following the transaction, the vice president now directly owns 35,162 shares of the company’s stock, valued at approximately $884,675.92. The disclosure for this sale can be found here. Corporate insiders own 7.30% of the company’s stock.

A number of institutional investors have recently added to or reduced their stakes in the business. Geode Capital Management LLC boosted its holdings in shares of Comtech Telecomm. by 2.0% in the fourth quarter. Geode Capital Management LLC now owns 311,188 shares of the communications equipment provider’s stock valued at $7,573,000 after acquiring an additional 5,995 shares in the last quarter. Dimensional Fund Advisors LP boosted its holdings in shares of Comtech Telecomm. by 1.1% in the fourth quarter. Dimensional Fund Advisors LP now owns 2,009,381 shares of the communications equipment provider’s stock valued at $48,908,000 after acquiring an additional 22,723 shares in the last quarter. United Services Automobile Association boosted its holdings in shares of Comtech Telecomm. by 19.7% in the fourth quarter. United Services Automobile Association now owns 9,471 shares of the communications equipment provider’s stock valued at $231,000 after acquiring an additional 1,556 shares in the last quarter. RK Capital Management LLC boosted its holdings in shares of Comtech Telecomm. by 7.3% in the fourth quarter. RK Capital Management LLC now owns 331,047 shares of the communications equipment provider’s stock valued at $8,058,000 after acquiring an additional 22,500 shares in the last quarter. Finally, Resources Investment Advisors Inc. boosted its holdings in shares of Comtech Telecomm. by 56.9% in the fourth quarter. Resources Investment Advisors Inc. now owns 1,765 shares of the communications equipment provider’s stock valued at $43,000 after acquiring an additional 640 shares in the last quarter. Institutional investors own 90.65% of the company’s stock.

About Comtech Telecomm.

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

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