
Comtech Telecommunications (CMTL) Stock Forecast & Price Target
Comtech Telecommunications (CMTL) Analyst Ratings
Bulls say
Comtech Telecommunications Corp has demonstrated notable growth in its Terrestrial & Wireless Networks segment, increasing revenue from $32 million in the second quarter to $54 million in the third quarter, which has led to an improved book-to-bill ratio of 0.91x. The focus on enhancing margins and cash flow, as articulated by CEO Ken Traub, indicates a strategic “shrinking to grow” approach aimed at positioning the company for future stability and potential asset sales. Furthermore, the Satellite & Space segment, valued at approximately $150 million, is expected to maintain strong EBITDA margins as the company shifts toward higher-margin revenue streams, presenting a solid foundation for ongoing financial health.
Bears say
Comtech Telecommunications Corp. has experienced disappointing bookings, reporting gross awards of only $107 million for the quarter, which reflects a decline in future performance indicators. Additionally, a significant debooking of $36 million related to low-margin services has further pressured the company's overall bookings, which were only $71 million, resulting in a substantial drop in guidance for fourth-quarter revenue and EBITDA projections from $122 million to $115 million and $12 million to $8 million, respectively. These financial metrics illustrate a concerning trend in the company’s operational stability and growth potential, contributing to a negative outlook on its stock.
This aggregate rating is based on analysts' research of Comtech Telecommunications and is not a guaranteed prediction by Public.com or investment advice.
Comtech Telecommunications (CMTL) Analyst Forecast & Price Prediction
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