Comtech Story

CMTL -- USA Stock

USD 24.56 0.46 1.84%

Macroaxis Story

Comtech Telecommunicatio Enterprise Value is relatively stable at the moment as compared to the past year. The company's current Enterprise Value is estimated at 571.21 Million. Market Capitalization is expected to hike to about 436.1 M this year, although the value of Average Equity will most likely fall to nearly 496.6 M. Comtech Telecommunicatio is scheduled to announce its earnings today. The next earnings report is expected on the 3rd of March 2021. Although many conservative investors are getting more into technology space, we should study Comtech Telecommunicatio's new fundamentals in more details. We will evaluate why recent Comtech Telecommunicatio price moves suggest a bounce in January. Comtech Telecommunicatio actively responds to the market. We can now summarize Comtech as a potential investment option for your portfolios.

Published over three months ago

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Does Comtech Telecommunicatio (NASDAQ:CMTL) have steady technical and fundamental indicators based on the new hike?

Our trade advice tool can cross-verify current analyst consensus on Comtech Telecommunicatio and to analyze the company potential to grow in the current economic cycle. This firm dividends can provide a clue to the current value of the stock. Comtech Telecommunicatio one year expected dividend income is about $0.23 per share.

Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Comtech Telecom income statement, its balance sheet, and the statement of cash flows. Potential Comtech Telecom investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Comtech Telecom investors may use each financial statement separately, they are all related. The changes in Comtech Telecom's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Comtech Telecom's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.

The goal of Comtech Telecom fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Comtech Telecom performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Comtech Telecom shares is the value that is considered the true value of the share. If the intrinsic value of Comtech is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Comtech Telecom.

Please read more on our fundamental analysis page.

Are Comtech Telecom Earnings Expected to grow?

The future earnings power of Comtech Telecom involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Comtech Telecom factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Comtech Telecom stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Comtech expected earnings.

And What about dividends?

A dividend is the distribution of a portion of Comtech Telecom earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Comtech Telecom dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Comtech one year expected dividend income is about $0.17 per share.

Comtech Telecom Dividend Yield is relatively stable at the moment as compared to the past year. The company's current value of Dividend Yield is estimated at 0.0269. Dividends per Basic Common Share is expected to hike to 0.55 this year, although the value of Payment of Dividends and Other Cash Distributions will most likely fall to (12.4 M).

	Last Reported	Projected for 2021
Payment of Dividends and Other Cash Distributions	-11.5 M	-12.4 M
Dividend Yield	0.0216	0.0269
Dividends per Basic Common Share	0.36	0.55

Investing in stocks that pay dividends, such as stock of Comtech Telecom, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Comtech Telecom must own a stock before its ex-dividend date to receive its next dividend.

This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Comtech Telecom. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How Comtech utilizes its cash?

To perform a cash flow analysis of Comtech Telecom, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Comtech Telecom is receiving and how much cash it distributes out in a given period. The Comtech Telecom cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Comtech Telecom Net Cash Flow from Operations is relatively stable at the moment as compared to the past year. The company's current value of Net Cash Flow from Operations is estimated at 48.82 Million

Comtech Telecom Gross Profit

Comtech Telecom Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Comtech Telecom previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Comtech Telecom Gross Profit growth over the last 10 years.

Please check Gross Profit in more details.

Detailed Perspective On Comtech Telecom

Many companies such as Comtech Telecommunicatio have both institutions investors and insiders sharing the ownership. Retail investors typically buy and sell stocks in round lots of 100 shares or more. Other other hand institutional investors are known to buy and sell in block trades of 10,000 shares or more. Let's take a look at how the ownership of Comtech is distributed among investors.

Ownership Allocation

Comtech Telecommunicatio retains a total of 24.73 Million outstanding shares. The majority of Comtech Telecommunications Corp outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Comtech Telecommunicatio to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Comtech Telecommunicatio. Please pay attention to any change in the institutional holdings of Comtech Telecommunications Corp as this could imply that something significant has changed or about to change at the company. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.

Retail Investors

13.91%

Institutions

83.3%

	Retail Investors	13.91
	Insiders	2.79
	Institutions	83.3

	2017	2018	2019	2020 (projected)
Share Based Compensation	8.57 M	11.43 M	9.28 M	8.53 M
Net Cash Flow from Operations	50.34 M	68.03 M	52.76 M	51.6 M

Share Based Compensation Net Cash Flow from Operations

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Comtech Telecommunicatio has an asset utilization ratio of 66.95 percent. This denotes that the company is making $0.67 for each dollar of assets. An increasing asset utilization means that Comtech Telecommunications Corp is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets

319.8 M

Assets Non Current

565.8 M

Goodwill

512.5 M

Current Assets	319.77 Million	22.71
Assets Non Current	565.83 Million	40.18
Goodwill	512.52 Million	36.39
Tax Assets	10.2 Million	0.72

Comtech showing trail of lower volatility

Mean deviation is down to 2.6. It may denote a possible volatility pull down. Comtech Telecommunications Corp shows above-average downside volatility for the selected time horizon. We advise investors to inspect Comtech Telecommunications Corp further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Comtech Telecommunicatio future alpha.

The Bottom Line

While some other firms within the communication equipment industry are still a little expensive, even after the recent corrections, Comtech Telecommunicatio may offer a potential longer-term growth to stakeholders. While some stakeholders may not share our view, we believe it may be a good time to increase your existing holdings in Comtech as the risk-reward trade off is appealing enough to hold a position. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Comtech Telecommunicatio.

About Contributor

Ellen Johnson is a Member of Macroaxs Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Comtech Telecom. Please refer to our Terms of Use for any information regarding our disclosure principles.

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