Calix (NYSE:CALX) Downgraded by Wall Street Zen to "Buy"

Key Points

• Wall Street Zen downgraded Calix from a "strong-buy" to a "buy", and overall coverage shows six Buys and three Holds, producing a consensus of Moderate Buy with an average price target of $77.50.
• Calix beat the quarter with $0.39 EPS (vs. $0.38 est.) and $272.4M revenue (up 32.2% YoY), set Q1 2026 guidance of $0.34–$0.40 EPS, but sell-side analysts still project a full-year EPS of - $0.43 on average.
• The board authorized a $125 million share repurchase program to buy up to about 3.4% of outstanding shares, a move typically interpreted as management viewing the stock as undervalued.

Calix (NYSE:CALX - Get Free Report) was downgraded by Wall Street Zen from a "strong-buy" rating to a "buy" rating in a note issued to investors on Sunday.

CALX has been the subject of several other reports. Zacks Research downgraded shares of Calix from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 16th. Weiss Ratings raised shares of Calix from a "sell (d-)" rating to a "hold (c-)" rating in a report on Monday, February 23rd. Craig Hallum set a $60.00 target price on Calix in a research note on Friday, January 30th. JPMorgan Chase & Co. raised Calix from a "neutral" rating to an "overweight" rating and lifted their price target for the stock from $75.00 to $90.00 in a research report on Thursday, January 15th. Finally, Needham & Company LLC dropped their price target on Calix from $82.00 to $70.00 and set a "buy" rating on the stock in a research note on Thursday, January 29th. Six investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $77.50.

Calix Price Performance

Shares of NYSE:CALX opened at $50.11 on Friday. Calix has a 1-year low of $29.50 and a 1-year high of $71.22. The company has a market capitalization of $3.29 billion, a P/E ratio of 200.46 and a beta of 1.49. The firm's 50 day simple moving average is $52.32 and its two-hundred day simple moving average is $56.21.

Calix (NYSE:CALX - Get Free Report) last released its earnings results on Wednesday, January 28th. The communications equipment provider reported $0.39 EPS for the quarter, topping analysts' consensus estimates of $0.38 by $0.01. The company had revenue of $272.40 million during the quarter, compared to analysts' expectations of $267.36 million. Calix had a net margin of 1.79% and a return on equity of 2.31%. Calix's revenue for the quarter was up 32.2% on a year-over-year basis. During the same period last year, the business earned $0.08 EPS. Calix has set its Q1 2026 guidance at 0.340-0.400 EPS. On average, sell-side analysts anticipate that Calix will post -0.43 earnings per share for the current fiscal year.

Calix announced that its board has authorized a share buyback program on Wednesday, January 28th that allows the company to repurchase $125.00 million in outstanding shares. This repurchase authorization allows the communications equipment provider to reacquire up to 3.4% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company's board of directors believes its shares are undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Clearstead Advisors LLC boosted its holdings in Calix by 139.3% in the third quarter. Clearstead Advisors LLC now owns 438 shares of the communications equipment provider's stock valued at $27,000 after purchasing an additional 255 shares during the last quarter. Farther Finance Advisors LLC raised its stake in shares of Calix by 63.0% during the 4th quarter. Farther Finance Advisors LLC now owns 551 shares of the communications equipment provider's stock valued at $29,000 after buying an additional 213 shares during the last quarter. Raymond James Financial Inc. acquired a new position in shares of Calix in the 2nd quarter valued at about $30,000. Whittier Trust Co. lifted its holdings in shares of Calix by 541.0% in the 3rd quarter. Whittier Trust Co. now owns 641 shares of the communications equipment provider's stock valued at $38,000 after buying an additional 541 shares during the period. Finally, Caitong International Asset Management Co. Ltd boosted its stake in shares of Calix by 24,733.3% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 745 shares of the communications equipment provider's stock worth $39,000 after buying an additional 742 shares during the last quarter. 98.14% of the stock is currently owned by institutional investors and hedge funds.

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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