QualityDipStocks / Telecommunications · Telecommunications Equipment
IDT IDT
Outside our quality screen, so we don’t track its dips. It’s 3% below its 52-week high.
Outside our quality screen, trading well above our fair value estimate.
- Fair value est.
- $44.91−45%
- Market Value
- $80.48price +2%
- Off 52-wk high
- −3%
- Risk vs market
- Lowbeta 0.23
3 bullish · 5 bearish See why
Repriced or dip?
Near its high
The price is 3% below its 52-week high (Oct 20), but the business held up: shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%.
Some numbers held up (shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%), others slipped. The price is 3% below its 52-week high.
The price is 3% below its 52-week high, and the business changed too.
Within 10% of its 52-week high, so there is no dip to judge yet.
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($84.46, Oct 20) the price assumed about 15%/yr free-cash-flow growth; at the low ($47.25, Mar 18) about −4%; today about 15%. The last 3 years delivered 31%/yr (free cash flow).
Dashed line: what the last 3 years delivered, 31%/yr (free cash flow)
| High | Low | Now | |
|---|---|---|---|
| Price | $84.46Oct 20 | $47.25Mar 18 | $82.27 |
| Implied growth | +15% | −4% | +15% |
| P/E | 24.4× | 14.5× | 23.8× |
| P/FCF | 31.1× | 10.5× | 30.3× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 3.8% ±2 points. Bear = 10.5% and 1.8%; bull = 8.5% and 5.8% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price is above even the bull case.
What the price implies To be worth today’s price, IDT’s free cash flow would need to grow about 15% a year for five years; our estimate uses 4%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much IDT moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Has moved mostly independently of the market, but its own price swings are 2.1× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- 0.23
- Volatility
- 27% vs 13% SPY
- Correlation SPY
- 0.11
- Correlation QQQ
- 0.00
How it ranks
Where IDT stands vs every one of the 1,996 stocks we cover that has the number. Longer bar = better.
Not in the top quarter on any of these 5 measures
- Discount to fair value estimate45% · price above our base caseLowest 16%of 1,314
- Free cash flow yield3.3% · free cash flow vs market capLowest 42%of 1,391
- Dividends + buybacks yield0.3% · cash paid out or used to retire shares, vs market capLowest 23%of 1,836
- Revenue growth, last 12 months+5.4% · vs the 12 months beforeLowest 31%of 1,814
- Operating margin9.3% · of sales kept as operating profitLowest 41%of 1,288
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
DCF $44.91 · MV $80.48 · FCF value $30.85
Assumes 3.8% growth for 5 years (revenue grew 3.8% a year FY24–FY26), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $2.72 a share (fiscal year to Jul 31, 2026), from the 10-K filed Sep 29, 2026.
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 3 of 5
ProfitabilityGross margin widened to 38.3% in FY2026 from 32.4% in FY2024 (SEC filings).
ProfitabilityReturn on equity of 25% over the last 12 months.
ProfitabilityOperating margin widened to 9.3% in FY2026 from 5.4% in FY2024 (SEC filings).
Top bearish points 5 of 5
ValuationOur DCF fair value estimate is $44.91, 45% below the price.
Cash returnsFree cash flow fell 36% over the last 12 months vs the 12 months before.
GrowthSales grew only 1.6% a year from FY2023 to FY2026.
ValuationFree-cash-flow yield of 3.3%, below the 11% median for the 31 Telecommunications companies we cover.
ValuationP/E of 23.8×, above the 14.4× median for the 26 Telecommunications companies we cover.
All fundamentals
P/E 23.8 · FCF yield 3.3% · ROE 25%
Valuation
- P/E
- 23.8×Telecommunications median 14.4×
- Price / FCF
- 30.3×
- FCF yield
- 3.3%
- EV / EBITDA
- n/aD&A or debt not tagged in SEC data
- Price / sales
- 1.59×
- Price / book
- 5.46×
- Market cap
- $2.1Bprice × diluted shares
- Enterprise value
- n/anot reported in its SEC filings
Growth
- Revenue, 12 months
- $1.3B
- Sales growth, 12 months
- +5.4%vs the 12 months before
- Sales growth, 3 yrs
- +1.6%/yrfrom FY2023
- Diluted EPS, 12 months
- $3.46
- EPS growth, last FY
- +15.0%
- Net income, 12 months
- $87M
- Net income growth
- +14%12 months vs before
Profitability
- Gross margin
- 38.3%
- Operating margin
- 9.3%
- Net margin
- 6.7%
- FCF margin
- 5.2%
- Return on equity
- 25%
- Return on invested capital
- n/aoperating income, debt, equity or cash not tagged
Balance sheet
- Cash & short-term inv.
- $221M
- Total debt
- n/anot reported in its SEC filings
- Net cash
- n/acash or debt not tagged in SEC data
- Debt / equity
- n/adebt or equity not tagged in SEC data
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $68M
- FCF growth, 12 months
- −36%
- Dividend yield
- 0.32%$7M paid
- Payout ratio
- 8%
- Buybacks, 12 months
- n/anot reported in its SEC filings
- Share count, 1 year
- −1.3%diluted shares vs a year ago
- Stock-based comp
- $11M
Trailing 12 months to Jul 31, 2026; balance sheet at Jul 31, 2026. From IDT’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.0B · Sales +7%
- Free cash flow, 12 months$0.0B
- Free-cash-flow yield3.3%
- Free-cash-flow margin2%
- Gross margin38%
- Operating margin10%
- Return on equity26%
- Sales growth (latest quarter vs year-ago quarter)+7%
- Net debt / EBITDA−2.1×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $82.27
- Fair value est.base case$44.91−45.4%
- 52-wk lowlowest close, 1 year$47.25−42.6%
- Market Valueavg paid since Sep 28$80.48−2.2%
- PriceMon Nov 2 close$82.27you are here
- 52-wk highhighest close, 1 year$84.46+2.7%
Momentum & 52-week range
RSI 61 · 5 days +0.5%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
IDT is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on IDT in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 1:01 PM ET.
Compare with peers
Closest in size in Telecommunications Equipment
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.