Calix (NYSE:CALX) Announces Quarterly Earnings Results, Beats Expectations By $0.07 EPS

Key Points

• Calix beat earnings expectations for the quarter, reporting EPS of $0.47 versus the $0.40 consensus estimate. Revenue also came in slightly above forecasts at $293.33 million.
• The stock fell 1.9% after the report, trading at $38.38 during the session. Calix also remains well below its 200-day moving average and far under its 12-month high.
• The company continues shareholder-friendly actions, with its board authorizing a $100 million share repurchase program that could buy back up to 3% of outstanding shares.

Calix (NYSE:CALX - Get Free Report) released its quarterly earnings results on Monday. The communications equipment provider reported $0.47 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.07, FiscalAI reports. The firm had revenue of $293.33 million for the quarter, compared to analysts' expectations of $289.96 million. Calix had a return on equity of 4.30% and a net margin of 3.20%.

Calix Stock Down 1.9%

Shares of CALX traded down $0.76 during mid-day trading on Monday, reaching $38.38. 1,640,576 shares of the stock traded hands, compared to its average volume of 1,102,182. The firm has a market cap of $2.45 billion, a price-to-earnings ratio of 79.96 and a beta of 1.23. The stock has a fifty day simple moving average of $38.71 and a 200 day simple moving average of $46.58. Calix has a 12-month low of $34.86 and a 12-month high of $71.22.

Calix announced that its board has initiated a stock repurchase program on Tuesday, April 21st that allows the company to buyback $100.00 million in shares. This buyback authorization allows the communications equipment provider to purchase up to 3% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's leadership believes its shares are undervalued.

Analyst Ratings Changes

CALX has been the topic of several analyst reports. Rosenblatt Securities reiterated a "buy" rating and issued a $70.00 price objective on shares of Calix in a research note on Wednesday, June 10th. Weiss Ratings lowered shares of Calix from a "hold (c)" rating to a "hold (c-)" rating in a research report on Thursday, July 2nd. Needham & Company LLC dropped their target price on Calix from $70.00 to $62.00 and set a "buy" rating on the stock in a research report on Thursday, April 23rd. JPMorgan Chase & Co. cut their price objective on Calix from $70.00 to $65.00 and set an "overweight" rating for the company in a research report on Wednesday, April 22nd. Finally, Zacks Research upgraded Calix from a "strong sell" rating to a "hold" rating in a research report on Friday, May 15th. Six equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $67.00.

Insider Transactions at Calix

In other Calix news, Director Carl Russo sold 25,000 shares of the firm's stock in a transaction that occurred on Monday, April 27th. The shares were sold at an average price of $43.26, for a total value of $1,081,500.00. Following the sale, the director owned 1,644,188 shares in the company, valued at approximately $71,127,572.88. This trade represents a 1.50% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 17.44% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Fuller & Thaler Asset Management Inc. bought a new stake in Calix during the fourth quarter worth $57,915,000. Arrowstreet Capital Limited Partnership raised its position in shares of Calix by 214.3% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,274,426 shares of the communications equipment provider's stock worth $78,212,000 after acquiring an additional 868,987 shares in the last quarter. Alyeska Investment Group L.P. acquired a new stake in Calix in the fourth quarter valued at approximately $19,856,000. Trexquant Investment LP increased its position in shares of Calix by 2,530.0% during the 4th quarter. Trexquant Investment LP now owns 309,838 shares of the communications equipment provider's stock valued at $16,400,000 after purchasing an additional 298,057 shares during the last quarter. Finally, Cubist Systematic Strategies LLC increased its position in Calix by 1,166.0% in the second quarter. Cubist Systematic Strategies LLC now owns 290,026 shares of the communications equipment provider's stock worth $15,427,000 after buying an additional 267,118 shares during the last quarter. Institutional investors own 98.14% of the company's stock.

About Calix

Calix, Inc is a provider of cloud and software platforms, systems, and services that enable broadband service providers to transform their networks and subscriber experiences. The company's flagship Calix Cloud platform delivers real-time analytics, automation and intelligence designed to simplify network operations, improve service agility and drive revenue growth. Calix also offers a comprehensive suite of premises and access systems, including broadband access nodes, fiber-to-the-home optics and residential gateways under the GigaSpire brand.

Through its software-defined network architecture, Calix helps service providers virtualize key network functions and introduce new services with minimal capital expenditure.

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