Comtech Telecomm. (CMTL) Lowered to “Hold” at Zacks Investment Research
Zacks Investment Research lowered shares of Comtech Telecomm. (NASDAQ:CMTL) from a buy rating to a hold rating in a report released on Thursday.
According to Zacks, “Comtech Telecommunications Corp. designs, develops, produces and markets innovative products, systems and services for advanced communications solutions. The Company sells products to a diverse customer base in the global commercial and government communications markets. The Company believes many of its solutions play a vital role in providing or enhancing communication capabilities when terrestrial communications infrastructure is unavailable, inefficient or too expensive. The Company conducts business through three complementary segments: telecommunications transmission, RF microwave amplifiers and mobile data communications. “
A number of other equities analysts have also recently weighed in on the company. BidaskClub raised Comtech Telecomm. from a sell rating to a hold rating in a report on Monday, February 5th. Northland Securities set a $26.00 price objective on Comtech Telecomm. and gave the company a buy rating in a report on Sunday, December 10th. Finally, BMO Capital Markets raised their price objective on Comtech Telecomm. to $26.00 and gave the company an outperform rating in a report on Friday, December 8th. Five equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. Comtech Telecomm. currently has an average rating of Hold and a consensus price target of $21.30.
Comtech Telecomm. (NASDAQ:CMTL) last announced its quarterly earnings data on Wednesday, December 6th. The communications equipment provider reported ($0.07) earnings per share for the quarter, beating the Zacks’ consensus estimate of ($0.29) by $0.22. The company had revenue of $121.57 million for the quarter, compared to analysts’ expectations of $106.94 million. Comtech Telecomm. had a return on equity of 1.87% and a net margin of 3.11%. Comtech Telecomm.’s revenue for the quarter was down 10.5% compared to the same quarter last year. During the same period last year, the firm posted ($0.11) EPS. research analysts anticipate that Comtech Telecomm. will post 0.44 earnings per share for the current year.
The business also recently declared a quarterly dividend, which will be paid on Friday, February 16th. Shareholders of record on Wednesday, January 17th will be paid a $0.10 dividend. The ex-dividend date is Tuesday, January 16th. This represents a $0.40 dividend on an annualized basis and a yield of 1.89%. Comtech Telecomm.’s dividend payout ratio (DPR) is currently 56.34%.
In other Comtech Telecomm. news, CEO Fred Kornberg sold 15,000 shares of Comtech Telecomm. stock in a transaction that occurred on Monday, December 11th. The stock was sold at an average price of $20.65, for a total value of $309,750.00. Following the transaction, the chief executive officer now directly owns 475,632 shares of the company’s stock, valued at approximately $9,821,800.80. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Michael Porcelain sold 30,000 shares of Comtech Telecomm. stock in a transaction that occurred on Wednesday, December 13th. The stock was sold at an average price of $21.41, for a total value of $642,300.00. Following the completion of the transaction, the insider now directly owns 71,668 shares in the company, valued at $1,534,411.88. The disclosure for this sale can be found here. 7.00% of the stock is owned by insiders.
Several institutional investors and hedge funds have recently bought and sold shares of CMTL. JPMorgan Chase & Co. increased its stake in shares of Comtech Telecomm. by 16.1% during the second quarter. JPMorgan Chase & Co. now owns 144,362 shares of the communications equipment provider’s stock valued at $2,739,000 after buying an additional 20,038 shares during the period. Wells Fargo & Company MN increased its stake in shares of Comtech Telecomm. by 23.4% during the second quarter. Wells Fargo & Company MN now owns 23,410 shares of the communications equipment provider’s stock valued at $445,000 after buying an additional 4,443 shares during the period. Teachers Advisors LLC increased its stake in shares of Comtech Telecomm. by 26.2% during the second quarter. Teachers Advisors LLC now owns 41,045 shares of the communications equipment provider’s stock valued at $779,000 after buying an additional 8,529 shares during the period. New York State Common Retirement Fund boosted its position in shares of Comtech Telecomm. by 25.6% during the second quarter. New York State Common Retirement Fund now owns 26,500 shares of the communications equipment provider’s stock valued at $503,000 after purchasing an additional 5,399 shares in the last quarter. Finally, UBS Asset Management Americas Inc. bought a new stake in shares of Comtech Telecomm. during the second quarter valued at approximately $261,000. 85.95% of the stock is currently owned by hedge funds and other institutional investors.
About Comtech Telecomm.
Comtech Telecommunications Corp. designs, develops, produces and markets products, systems and services for communications solutions. The Company operates through two segments: Commercial Solutions and Government Solutions. It offers communications solutions, including command and control technologies, safety and security technologies and enterprise technologies.
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