Frequency Electronics (NASDAQ:FEIM) Announces Quarterly Earnings Results, Misses Expectations By $0.76 EPS

Posted by on Jul 16th, 2026

Frequency Electronics (NASDAQ:FEIM – Get Free Report) announced its quarterly earnings results on Wednesday. The communications equipment provider reported ($0.50) earnings per share for the quarter, missing analysts’ consensus estimates of $0.26 by ($0.76), FiscalAI reports. The company had revenue of $15.40 million during the quarter, compared to analysts’ expectations of $18.57 million. Frequency Electronics had a net margin of 10.78% and a return on equity of 12.69%.

Here are the key takeaways from Frequency Electronics’ conference call:

  • Frequency Electronics said fiscal 2026 was a “year of digestion,” but management now expects to return to growth in fiscal 2027, with the potential for multiple new quarterly revenue records.
  • The company reported a record funded backlog of $111 million and said fiscal 2026 was the biggest bookings year in its history, providing strong visibility into future revenue.
  • Management announced a three-year revenue target of at least $150 million by fiscal 2029, implying about 34% compound annual growth from fiscal 2026 levels.
  • The company also introduced margin goals of at least 50% gross margin and 30% operating margin by fiscal 2029, driven by higher production scale, better mix, and operating leverage.
  • Fiscal 2026 results were weighed down by non-recurring charges, including a $3.8 million inventory write-down tied to the FEI-Elcom restructuring and other one-time costs, while management said the business is refocusing on higher-growth space, defense, quantum sensing, and alternative PNT opportunities.

Frequency Electronics Stock Performance

Shares of NASDAQ FEIM opened at $59.27 on Thursday. The firm has a market cap of $583.22 million, a P/E ratio of 79.03 and a beta of 0.71. Frequency Electronics has a 1 year low of $18.73 and a 1 year high of $80.00. The firm’s 50 day moving average price is $65.69 and its 200 day moving average price is $56.77.

Analyst Ratings Changes

Several research analysts have commented on the company. Freedom Capital raised Frequency Electronics from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, May 5th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Frequency Electronics in a research report on Monday, June 15th. Finally, Wall Street Zen upgraded Frequency Electronics from a “strong sell” rating to a “sell” rating in a research note on Saturday, July 4th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and one has assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Buy” and a consensus target price of $43.67.

Check Out Our Latest Report on FEIM

Hedge Funds Weigh In On Frequency Electronics

Institutional investors have recently added to or reduced their stakes in the business. New York State Common Retirement Fund lifted its holdings in shares of Frequency Electronics by 63.6% during the 4th quarter. New York State Common Retirement Fund now owns 1,800 shares of the communications equipment provider’s stock worth $97,000 after acquiring an additional 700 shares during the period. Lazard Asset Management LLC increased its position in Frequency Electronics by 10,807.7% during the second quarter. Lazard Asset Management LLC now owns 4,254 shares of the communications equipment provider’s stock worth $96,000 after purchasing an additional 4,215 shares during the last quarter. Bank of America Corp DE increased its position in Frequency Electronics by 3,558.9% during the second quarter. Bank of America Corp DE now owns 2,671 shares of the communications equipment provider’s stock worth $61,000 after purchasing an additional 2,598 shares during the last quarter. Raymond James Financial Inc. purchased a new position in Frequency Electronics during the second quarter worth approximately $112,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of Frequency Electronics in the 2nd quarter valued at $82,000. 58.60% of the stock is currently owned by institutional investors and hedge funds.

Frequency Electronics Company Profile

(Get Free Report)

Frequency Electronics, Inc (NASDAQ:FEIM) is a U.S.-based designer and manufacturer of precision frequency control products and timing solutions. The company’s portfolio includes oven-controlled crystal oscillators (OCXOs), atomic frequency standards such as rubidium oscillators, GPS-disciplined oscillators (GPSDOs), microwave synthesizers, and integrated timing subsystems. These products are used to provide stable and accurate frequency and time references for applications that demand high performance and reliability.

FEI serves a broad range of markets, including telecommunications, aerospace and defense, satellite and space systems, test and measurement equipment, and critical infrastructure.

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Earnings History for Frequency Electronics (NASDAQ:FEIM)

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