Quality Investor

IDT Corporation

Rank #41Capital ReturnWatchlistCompare with other stocks

IDT · NYSE · Communication Services

IDT Corporation (IDT) — Rank #41 by gross profitability (GP/assets 0.65) · ROE 23.0% · Piotroski F-Score N/A.

As-of 2026-10-30 · CIK 0001005731 · all metrics point-in-time as of the filing date.

About

IDT Corporation, together with its subsidiaries, provides fintech and communications solutions in the United States, the United Kingdom, and internationally.

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It operates in four segments: National Retail Solutions, Fintech, Net2phone, and Traditional Communications. The company operates point of sale, a terminal-based platform which provides independent retailers with store management software, electronic payment processing, and other ancillary merchant services; and marketers with retail media advertising and transaction data. It also offers BOSS Money for international money remittance, and related value and payment transfer services, as well as net2phone solutions comprising unified communications as a service; contact center as a service under the uContact brand; net2phone AI, which delivers customer experiences across sales, support, and administrative tasks; and net2phone Coach, a workforce intelligence and coaching platform. In addition, the company provides IDT Digital Payments, which enables businesses, entrepreneurs, and developers to offer prepaid digital offerings, including mobile airtime top-up, mobile data bundles, digital gift cards, and eSIMs through its Zendit platform; and BOSS Revolution, which offers international long-distance voice calling to immigrant communities. Further, it provides IDT Global, a wholesale provider of international voice, SMS termination, and outsourced traffic management solutions to telecoms; and IDT Express, a mobile self-service portal paired with dedicated account managers backed by customer support.

IDT Corporation was incorporated in 1978 and is headquartered in Newark, New Jersey.

Industry
Telecom Services
Sector
Communication Services
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
July 31
Website
idt.net

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

1,965

Industry

Telecom Services

Exchange

NYSE

11/11

Flags passed

IDT passes 11/11 quality flags

  • PASS
    Gross margin holding
  • PASS
    Dilution within 2%
  • PASS
    FCF not negative from investment
  • PASS
    Disclosure consistent
  • PASS
    Revenue not declining
  • PASS
    Operating margin holding
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Revenue growth accelerating · Operating leverage expanding

No data Balance sheet — not counted as a pass.

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.65
Return on equity
23.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.90
Current ratio
1.86×
Net cash
$226.75M

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
0.8%

Growth

2/2 pass
Revenue growth
5.4%
Piotroski F-Score
N/A
Share dilution
-1.1%

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Does it make money well?

No warning flags · GP/assets 0.65

Gross profitability (GP / assets)

0.65

Primary signal (Novy-Marx).

Return on equity

23.0%

Gross margin

38.3%

Revenue growth (YoY)

5.4%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2023202420252026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

1.6%

Revenue CAGR (5Y)

-2.2%

Earnings CAGR (3Y)

28.9%

FCF CAGR (3Y)

28.3%

Cash Flow Health

Is the cash real?

No warning flags · FCF 22% below net income

Free cash flow

$67.96M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

-21.6%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.8%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

No warning flags · net cash $226.75M

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.90

Current ratio

1.86×

Quick ratio

0.80×

Net cash

$226.75M

Cash & equivalents minus total debt.

Piotroski F-Score

N/A

Only 8/9 components determinable.

Valuation

Is the price reasonable?

No warning flags

Dividend safety

Composite score

3.2 / 5

Good
Payout ratio
7.5%5/5 Strong
FCF coverage
10.45×5/5 Strong
Dividend growth streak
2 yr1/5 Weak
Balance-sheet health
D/E 0.90 · IC N/A2/5 Fair

Capital allocation quality

Composite score

2.3 / 5

Fair
Share count trend(net buybacks)
-1.1%3/5 Good
Buyback timing
N/AN/A
Dividend growth consistency
2 yr1/5 Weak
Net debt trajectory
-0.8%3/5 Good

Lifecycle Phase History

20212026
Capital Return
Value

Price History

IDT+55.8% · +9.2% CAGRSPY+82.9% · +12.8% CAGR