Frequency Electronics, Inc. (FEIM)

Frequency Electronics, Inc. (FEIM) stock has experienced significant movements, increasing by 43.8% over the last six months and 220.6% over the past year, reaching $43.43 as of March 27, 2026. The company announced two contracts totaling approximately $45 million in March 2026, and a $7 million space mission contract award was secured in late March 2026. In Q3 FY2026, the company reported revenue of $16.9 million and diluted EPS of $0.16, missing analyst expectations. Q2 FY2026 revenue was $17.1 million, up 24% quarter-over-quarter, with a record funded backlog of $81.7 million. Q1 FY2026 revenue of $13.8 million was a sharp drop, attributed to customer-driven delays, leading to a negative market reaction. The funded backlog has shown consistent growth, reaching a record $83 million as of January 31, 2026. Analyst ratings are mixed, with a consensus of "Moderate Buy" and an average price target of $43.67 as of early April 2026.

Demand for Frequency Electronics, Inc.'s products and services is significantly influenced by the nature of government contracting, leading to "lumpy" quarterly results due to the timing of contract awards and customer milestones. The overall market for high-precision time and frequency products is projected to grow substantially, driven by increased synchronization requirements for wireless networks, replacement and upgrade of satellite systems, secure radios, and improved guidance and navigation systems. The company is pursuing new growth opportunities in quantum sensing and proliferated satellite applications.

Frequency Electronics, Inc. (FEIM) designs, develops, manufactures, markets, and sells precision time and frequency control products and components for microwave integrated circuit applications, operating primarily in the Technology sector within the Communication Equipment industry. Its products, including precision timing systems, atomic clocks, oscillators, and amplifiers, are crucial for synchronizing communication networks and providing reference frequencies for space and terrestrial applications, serving commercial, government, and military systems. The company also supports emerging areas like quantum sensing, GPS-denied navigation, hypersonics, and human-machine interfaces.

Frequency Electronics, Inc. operates globally, with its headquarters in Mitchel Field, New York, United States. The company has a geographic footprint that extends to Europe and Asia, with wholly-owned subsidiaries including FEI Communications Inc. and FEI Government Systems Inc. in New York, FEI-Zyfer Inc. in Garden Grove, California, FEI-Elcom Tech Inc. in Northvale, New Jersey, Gillam-FEi a.s. in Liege, Belgium, and FEI-Asia Ltd. in Tianjin, China.

Frequency Electronics, Inc. maintains a strong brand reputation as a world leader in high-precision timing, frequency generation, and RF control products for space and terrestrial applications. The company has received over 100 awards of excellence for its achievements in providing high-performance electronic assemblies. There haven't been specific public events that have negatively impacted the company's brand reputation beyond the general market reactions to earnings misses and stock volatility.

Approximately 38.53% to 63.65% of Frequency Electronics, Inc.'s stock is held by institutional investors, with major holders including Edenbrook Capital, LLC, BlackRock, Inc., and Vanguard Group Inc. Individual investors hold approximately 6.79% to 36.74% of the stock, while insiders hold between 6.55% and 28%. Jonathan Brolin, Managing Partner of Edenbrook Capital, LLC, is a significant individual owner and was appointed to the Board of Directors in 2017.