Trump to visit Fed on Thursday amid Powell feud, renovation probe
MITCHEL FIELD, N.Y. - Frequency Electronics, Inc. (NASDAQ:FEIM), which has delivered an impressive 175.91% return over the past year according to InvestingPro data, issued a clarification Friday regarding statements made during its recent earnings call about revenue expectations for its new TURbO compact rubidium atomic clock.
The precision timing technology provider, currently maintaining a healthy financial position with a 2.19 current ratio and minimal debt levels, confirmed that while its stated revenue expectation of $1 million to $2 million for fiscal year 2026 is accurate, this figure represents only orders already received since the product’s introduction a few weeks ago.
The company indicated this initial projection "understates the very significant market" for the Time Unit Rubidium Oscillator (TURbO) technology, which it developed internally. According to the company, the smaller form factor and high performance characteristics of TURbO could expand its atomic clock applications.
Frequency Electronics claims the technology is suitable for drone applications and traditional aircraft radar systems. The company referenced a Department of Defense announcement regarding plans to strengthen the U.S. drone manufacturing base and expand drone usage in military units and training programs.
The company projects this could represent a potential market of $20 million or more in fiscal year 2027. This expansion potential comes as the company demonstrates strong operational performance, with a 24.1% revenue growth in the last twelve months and a robust gross profit margin of 44.16%.
Frequency Electronics describes itself as a provider of precision timing, frequency generation and RF control products for space and terrestrial applications, with its products used in satellite payloads and various government and military systems.
The information in this article is based on a press release statement from the company and contains forward-looking statements subject to various risks and uncertainties that could cause actual results to differ from projections. For a comprehensive analysis of FEIM’s financial health and growth prospects, including additional ProTips and detailed metrics, visit InvestingPro, where you’ll find expert insights and the complete Pro Research Report.
In other recent news, Frequency Electronics, Inc. has been initiated with a Buy rating by Freedom Broker, which set a price target of $27.00. This decision comes as the firm highlights Frequency Electronics’ role in designing and manufacturing high-precision timing, navigation, and synchronization products. The company has recently been awarded a subcontract from Leidos for advanced magnetometers, which bolsters its core offerings. Frequency Electronics also supplies products to major aerospace and defense firms, including Lockheed Martin, BAE Systems, and Northrop Grumman. Freedom Broker noted the company’s potential for "significant long-term upside" in the satellite and terrestrial secure command, control, and communications systems markets. These developments underscore the company’s strategic positioning in its industry.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.