Investigation announced for Investors who lost money with shares of Comtech Telecommunications Corp. (NASDAQ: CMTL)

An investigation was announced for investors of Comtech Telecommunications Corp. (NASDAQ: CMTL) shares over potential securities laws violations by Comtech Telecommunications Corp.

Investors who purchased shares of Comtech Telecommunications Corp. (NASDAQ: CMTL), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Comtech Telecommunications Corp. (NASDAQ: CMTL) concerning whether a series of statements by Comtech Telecommunications Corp. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Melville, NY based Comtech Telecommunications Corp., together with its subsidiaries, engages in the provision of next-gen telecommunication solutions in the United States and internationally. Comtech Telecommunications Corp. reported that its Total Revenue rose from $486.23 million for the 12 months period that ended on July 31, 2022 to $549.99 million for the 12 months period that ended on July 31, 2023, and that its net Loss over those respective time periods declined from $33.05 million to $26.89 million.

On December 7, 2023, Comtech Telecommunications Corp. released its earnings report for the quarter ended October 31, 2023. The report contained an "going concern" qualification due to worries about Comtech's continued compliance with its financial covenants. The Company further revealed it had drawn down most of its credit facility and was engaged in protracted negotiations to renew that facility, set to expire in October 2024.

Analysts raised alarm about Comtech's "unbilled receivables," an accounting practice used to recognize revenue prior to a company actually receiving those funds. One analyst described the practices as "Aggressive Accounting".

On March 18, 2024, Comtech Telecommunications Corp. released its quarterly earnings report, days after dismissing its CEO for alleged ethics violations. The Company missed revenue projections and indicated ongoing uncertainty about its debt negotiations. Analysts also noted Comtech's continued use of "unbilled receivables" and its impact on the Company's financial statements.

Shares of Comtech Telecommunications Corp. (NASDAQ: CMTL) declined from $13.04 per share on November 03 2023, to as low as $1.53 per share on April 23, 2024.

Those who purchased shares of Comtech Telecommunications Corp. (NASDAQ: CMTL) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.