Calix (NYSE:CALX) Sets New 12-Month High - Should You Buy?

Key Points

• Calix, Inc. (NYSE:CALX) shares hit a new 52-week high at $57.92, indicating strong trading activity with a current price of $57.69.
• Analysts have raised price targets for Calix, with Rosenblatt Securities setting a target of $65.00 and a consensus rating of "Moderate Buy" with an average price target of $59.25.
• Calix reported $0.33 EPS in its latest quarterly earnings, exceeding the consensus estimate, and its revenue grew by 22.1% year-over-year.

Calix, Inc (NYSE:CALX - Get Free Report) reached a new 52-week high during mid-day trading on Monday . The company traded as high as $57.92 and last traded at $57.69, with a volume of 266454 shares. The stock had previously closed at $56.06.

Analyst Ratings Changes

CALX has been the topic of a number of research reports. Wolfe Research initiated coverage on shares of Calix in a research note on Monday, July 7th. They issued a "peer perform" rating on the stock. UBS Group reaffirmed a "buy" rating on shares of Calix in a research note on Tuesday, April 22nd. Roth Capital set a $50.00 price target on Calix and gave the company a "buy" rating in a research note on Tuesday, April 22nd. Wall Street Zen raised Calix from a "hold" rating to a "strong-buy" rating in a research report on Saturday, July 26th. Finally, Needham & Company LLC increased their price objective on Calix from $60.00 to $70.00 and gave the stock a "buy" rating in a report on Tuesday, July 22nd. Two research analysts have rated the stock with a hold rating, four have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $59.25.

Calix Price Performance

The stock has a market capitalization of $3.73 billion, a price-to-earnings ratio of -142.76 and a beta of 1.27. The company's 50-day simple moving average is $51.55 and its 200-day simple moving average is $42.93.

Calix (NYSE:CALX - Get Free Report) last released its quarterly earnings results on Monday, July 21st. The communications equipment provider reported $0.33 EPS for the quarter, beating the consensus estimate of ($0.08) by $0.41. Calix had a negative net margin of 3.09% and a negative return on equity of 3.21%. The business had revenue of $241.90 million for the quarter, compared to the consensus estimate of $223.81 million. During the same period in the prior year, the company posted $0.09 earnings per share. Calix's revenue was up 22.1% compared to the same quarter last year. Research analysts expect that Calix, Inc will post -0.43 earnings per share for the current year.

Calix announced that its board has initiated a stock buyback program on Monday, April 21st that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the communications equipment provider to reacquire up to 4.5% of its stock through open market purchases. Stock buyback programs are often a sign that the company's management believes its stock is undervalued.

Insider Buying and Selling at Calix

In related news, CFO Cory Sindelar sold 10,000 shares of the stock in a transaction that occurred on Wednesday, July 23rd. The shares were sold at an average price of $56.00, for a total value of $560,000.00. Following the completion of the transaction, the chief financial officer owned 76,285 shares of the company's stock, valued at $4,271,960. This represents a 11.59% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Carl Russo sold 25,000 shares of the firm's stock in a transaction that occurred on Monday, July 28th. The shares were sold at an average price of $55.40, for a total transaction of $1,385,000.00. Following the completion of the sale, the director owned 2,114,188 shares in the company, valued at $117,126,015.20. This represents a 1.17% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 45,000 shares of company stock worth $2,465,000. Corporate insiders own 16.90% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Principal Financial Group Inc. grew its holdings in Calix by 2.4% during the 1st quarter. Principal Financial Group Inc. now owns 294,539 shares of the communications equipment provider's stock worth $10,438,000 after acquiring an additional 7,030 shares during the last quarter. Teacher Retirement System of Texas bought a new stake in shares of Calix in the 1st quarter valued at about $922,000. D. E. Shaw & Co. Inc. acquired a new stake in shares of Calix in the fourth quarter valued at about $3,844,000. GAMMA Investing LLC lifted its stake in shares of Calix by 4,397.2% in the first quarter. GAMMA Investing LLC now owns 23,745 shares of the communications equipment provider's stock worth $842,000 after acquiring an additional 23,217 shares during the period. Finally, Nuveen Asset Management LLC lifted its stake in shares of Calix by 7.4% in the fourth quarter. Nuveen Asset Management LLC now owns 432,623 shares of the communications equipment provider's stock worth $15,086,000 after acquiring an additional 29,754 shares during the period. 98.14% of the stock is currently owned by institutional investors.

Calix Company Profile

Calix, Inc, together with its subsidiaries, engages in the provision of cloud and software platforms, and systems and services in the United States, rest of Americas, Europe, the Middle East, Africa, and the Asia Pacific. Its cloud and software platforms, and systems and services enable broadband service providers (BSPs) to provide a range of services.