Comtech Telecommunications downgraded to "hold" - update

12/06/05 - A.G. Edwards & Sons

NEW YORK, December 6 (newratings.com) - Analysts at AG Edwards downgrade Comtech Telecommunications Corp (CMTL) from "buy" to "hold."

In a research note published yesterday, the analysts mention that the downgrade in the rating is based on valuation. According to the analysts, Comtech Telecommunications is expected to develop application packages during 2005 and 2006, which would enable the company to enter into the domestic truck market in 2007. The company has the potential to make significant and accretive acquisitions, given its cash flows of $215 million, AG Edwards adds.