Comtech Telecommunications Corp. Common Stock (CMTL)

FairStock Score: 53/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I’m looking at Comtech through a Graham-and-Buffett lens, and the first fact is that the business has not earned a profit in each of the last four years, which is why FairStock’s Lynch category is “none.” In fiscal 2026, the year ended 2026-07-31, revenue was $249.6M and net loss was $36.2M, or diluted EPS of -$2.31. That follows fiscal 2025 revenue of $300.9M and a $155.3M net loss, and fiscal 2024 revenue of $540.4M and a $100.0M net loss. The trend is poor: shrinking sales and continuing red ink. The most recent filed quarter shown, fiscal Q3 2026 ended 2026-04-30, had revenue of $106.0M and a net loss of $3.5M, or diluted EPS of -$0.47, so losses are smaller but not gone. At the 2026-10-13 close of $1.30, FairStock calculations show a negative P/E, P/B of 0.74, and a 39.2% trailing FCF yield. A cheap price and $15.3M of trailing free cash flow are attractive, and FairStock’s EV/EBITDA of 4.67 does not look demanding. But Altman Z-score of 0.27 signals high financial distress, debt/equity is 0.96, ROCE is only 0.41%, and Piotroski is 5/9. Comtech may sell critical communications technology, but it has no durable profit record and a weak balance sheet. A true margin of safety is not evident; this looks like a speculative turnaround, not a classic Buffett business.

In plain English: Comtech makes communications equipment and satellite-related technology for voice, video and data. The business has been shrinking and losing money in recent years, though it still produces some cash. At $1.30, the price looks low compared with the company’s net assets, but the losses and weak balance sheet make it a risky, not obviously safe, bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-04-30) · fiscal Q2 2026 10-Q (period ended 2026-01-31) · fiscal Q1 2026 10-Q (period ended 2025-10-31) · fiscal Q3 2025 10-Q (period ended 2025-04-30) · FY2026 10-K (period ended 2026-07-31) · FY2025 10-K (period ended 2025-07-31) · FY2024 10-K (period ended 2024-07-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer