FEIM

Technology

Frequency Electronics, Inc. · Communication Equipment · $670M

UQS Score — Balanced Preset
35.5
Below Average

Frequency Electronics, Inc. scores 35.5/100 using the Balanced preset.

UQS vs Technology Sector
FEIM
35.5
Sector avg
38.0
Quality
Weak
Moat
Weak
Growth
Weak
Risk
Good
Valuation
Elevated

What is Frequency Electronics, Inc.?

Frequency Electronics, Inc. is a small-cap technology company specializing in precision time and frequency control products for defense, satellite, and telecommunications applications. Founded in 1961 and headquartered in Mitchel Field, New York, the company serves both commercial and U.S. government customers.

The company operates through two segments: FEI-NY and FEI-Zyfer. FEI-NY produces precision timing, frequency generation, and synchronization products for communication satellites and ground-based telecom stations, as well as components for the U.S. military. FEI-Zyfer focuses on precision navigation and timing products built around GPS technologies, serving radar systems, airborne intelligence platforms, military command and control terminals, and satellite ground stations. Products are marketed directly and through independent sales representatives across the U.S., Europe, and Asia.

Frequency Electronics was founded in 1961 and operates from its headquarters in Mitchel Field, New York.

  • Precision time and frequency control products for satellites
  • GPS-based navigation and timing systems for defense platforms
  • Microwave integrated circuit components and subsystems
  • Synchronization products for ground-based telecom infrastructure
  • Electronic warfare and secure communications systems

Is FEIM a Good Stock to Buy?

UQS Score rates FEIM as Below Average overall.

Among the five pillars, Risk stands out as the relative bright spot — suggesting the company carries a more manageable risk profile than its Below Average composite score might imply. This may reflect the stability that comes from long-term government contracts and a specialized niche in defense and satellite markets.

Quality, Moat, and Growth all register as Weak, pointing to limited competitive differentiation, constrained earnings power, and subdued expansion prospects. Valuation is rated Elevated, meaning the current price does not appear to offer a margin of safety relative to fundamentals.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does FEIM pay dividends?

Yes — Frequency Electronics, Inc. pays a dividend.

Frequency Electronics pays a regular dividend, which is relatively uncommon among small-cap technology companies. For income-oriented investors, this signals a degree of financial commitment to returning capital. Given the company's government-contract revenue base, dividend continuity may be supported by relatively predictable order flows, though investors should weigh this against the Weak Quality and Growth pillar ratings.

When does FEIM report earnings?

Frequency Electronics reports earnings on a quarterly cadence, typical for U.S.-listed equities.

Given Weak ratings across Quality and Growth pillars, recent earnings cycles have not demonstrated the kind of consistent expansion or margin strength that would elevate the overall UQS composite. Defense-sector revenue can be lumpy due to contract timing, which adds variability to quarterly results.

For the most recent quarter's results, visit Frequency Electronics' investor relations page directly.

FEIM Price History

+593.2% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Frequency Electronics, Inc.?

$
Today it would be worth
$63,890
That's a +539% total return, or +44.9% annualized.

Based on Frequency Electronics, Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

FEIM Long-term Outlook

The combination of Weak Growth and Elevated Valuation creates a challenging fundamental outlook for FEIM. While the Good Risk rating suggests the business is not in acute financial distress, the lack of strong growth drivers limits the case for meaningful upside from current levels. Investors monitoring this name should watch for new contract awards or segment expansion that could shift the Growth pillar trajectory.

Growth drivers

  • Potential expansion of U.S. defense and satellite program spending
  • GPS-based timing demand growth across military and intelligence platforms
  • Incremental international sales through European and Asian representative channels

Key risks

  • Elevated Valuation leaves limited room for fundamental disappointment
  • Weak Moat signals vulnerability to better-resourced defense technology competitors
  • Government contract concentration creates revenue lumpiness and renewal risk

FEIM vs Peers

FEIM operates in a specialized niche, but several small-cap technology and communications companies share parts of its competitive landscape.

AIOTSimilar UQS
PowerFleet, Inc.

PowerFleet focuses on IoT-driven fleet intelligence solutions, competing in the broader connected-technology space rather than defense-grade precision timing.

CLFDFEIM scores lower
Clearfield, Inc.

Clearfield specializes in fiber-optic network infrastructure, serving telecom providers with a commercial focus distinct from FEIM's defense and satellite orientation.

TSATFEIM scores higher
Telesat Corporation

Telesat operates as a satellite communications provider, making it a potential customer or partner for FEIM's satellite timing products rather than a direct product competitor.

Frequently Asked Questions

What does Frequency Electronics do?

Frequency Electronics designs and manufactures precision time and frequency control products used in satellites, defense systems, and telecommunications infrastructure. Its two segments — FEI-NY and FEI-Zyfer — serve both commercial satellite operators and U.S. military programs across land, sea, and airborne platforms.

Does FEIM pay dividends?

Yes, Frequency Electronics pays a regular dividend. This is relatively uncommon for a small-cap technology company and may appeal to income-oriented investors. However, the Weak Quality and Growth pillar ratings are worth considering alongside any dividend income expectations.

When does FEIM report earnings?

Frequency Electronics follows a quarterly earnings reporting cadence standard for U.S.-listed companies. Specific upcoming dates are not covered by our data source — check the company's investor relations page for the current schedule.

Is FEIM a good stock to buy?

UQS Score rates FEIM as Below Average, reflecting Weak scores across Quality, Moat, and Growth pillars alongside an Elevated Valuation. The Good Risk rating is a relative positive. Whether FEIM fits a portfolio depends on individual goals — the full pillar breakdown is available to Pro members.

Is FEIM overvalued?

The UQS Valuation pillar for FEIM is rated Elevated, suggesting the stock is priced above what its current fundamentals comfortably support. Combined with Weak Quality and Growth ratings, this leaves limited margin of safety for investors entering at current levels.

How does FEIM compare to its competitors?

FEIM occupies a narrow defense and satellite timing niche that differs meaningfully from peers like Clearfield's fiber infrastructure focus or PowerFleet's IoT fleet management. Telesat, as a satellite operator, is more of a potential customer than a direct rival. FEIM's specialization is both its differentiator and a constraint on scale.

What is FEIM's market cap bracket?

Frequency Electronics is classified as a small-cap company. This means it carries higher liquidity risk and greater price volatility compared to large- or mega-cap peers, which is a relevant consideration alongside the UQS Risk pillar rating.

Who founded Frequency Electronics?

Frequency Electronics was founded in 1961. Detailed founding history, including founder names, is publicly available through the company's official corporate history and investor relations materials.

Is FEIM a long-term quality investment?

As a long-term quality indicator, FEIM's UQS profile raises caution. Weak ratings across Quality, Moat, and Growth suggest the business has not demonstrated the durable competitive advantages or consistent earnings power typically associated with strong long-term compounders. The Good Risk rating offers some stability, but the overall picture warrants scrutiny.

What is the main competitive advantage of Frequency Electronics?

Frequency Electronics' primary advantage lies in its highly specialized expertise in precision timing and frequency control for defense and satellite applications — markets with high technical barriers and long customer qualification cycles. However, the UQS Moat pillar rates this advantage as Weak, suggesting it may not be as durable or wide as it appears.

What sector does FEIM belong to?

FEIM is classified within the Technology sector, with a specific focus on defense electronics and satellite systems. Investors interested in the broader defense technology landscape can explore related names in the [Technology sector](/sector/technology) on UQS Score.

Is FEIM a growth stock or value stock?

Based on UQS pillar labels, FEIM fits neither category cleanly. The Growth pillar is rated Weak, ruling out a growth-stock characterization. The Valuation pillar is Elevated, which means it does not screen as a value opportunity either. It currently occupies an unfavorable middle ground on both dimensions.

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Pro Analysis

FEIM — Score History

2530354045Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 12 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 23, 202635.529.535.035.072.510.0-0.2
May 22, 202635.729.535.035.072.511.4+4.4
May 9, 202631.324.735.019.572.510.9+0.3
May 8, 202631.012.535.035.060.020.7-4.8
May 3, 202635.829.535.035.072.511.8-0.2
Apr 26, 202636.029.535.035.072.513.2+0.2
Apr 19, 202635.829.535.035.072.511.90.0
Apr 18, 202635.829.535.035.072.511.7-1.1
Apr 14, 202636.929.535.035.072.519.5-0.2
Apr 12, 202637.129.535.035.072.520.7-0.4

FEIM — Pillar Breakdown

Quality

29.5/100 (25%)

Frequency Electronics, Inc. currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityModerate

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

35.0/100 (20%)

Frequency Electronics, Inc. shows steady but unspectacular growth, typical for mature companies.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Forward EPS GrowthWeak

Analyst consensus for future earnings growth.

Risk

72.5/100 (15%)

Frequency Electronics, Inc. maintains a reasonable risk profile with manageable debt levels.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageStrong

Earnings capacity relative to interest payments.

Valuation

10.0/100 (15%)

Frequency Electronics, Inc. appears expensively valued relative to its fundamentals and growth prospects.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

EV/EBITDA vs SectorWeak

Enterprise value multiple relative to sector median.

Moat

35/100 (25%)

Frequency Electronics, Inc. possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for FEIM.

Score Composition

Quality
29.5×25%7.4
Growth
35.0×20%7.0
Risk
72.5×15%10.9
Valuation
10.0×15%1.5
Moat
35.0×25%8.8
Total
35.5Below Average

Financial Data

More Stock Analysis

How is the FEIM UQS Score Calculated?

The UQS (Unified Quality Score) for Frequency Electronics, Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Frequency Electronics, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Frequency Electronics, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.