Calix (NYSE:CALX) Rating Lowered to Strong Sell at Zacks Research

Calix (NYSE:CALX) was downgraded by equities researchers at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Monday,Zacks.com reports.

Other analysts have also issued research reports about the company. Rosenblatt Securities decreased their price objective on Calix from $70.00 to $55.00 and set a “buy” rating on the stock in a report on Tuesday. Weiss Ratings lowered Calix from a “hold (c)” rating to a “hold (c-)” rating in a research note on Thursday, July 2nd. Needham & Company LLC reduced their target price on Calix from $70.00 to $62.00 and set a “buy” rating for the company in a research report on Thursday, April 23rd. Northland Securities upgraded shares of Calix from a “market perform” rating to an “outperform” rating and set a $52.00 price target on the stock in a research note on Tuesday. Finally, Wall Street Zen lowered shares of Calix from a “strong-buy” rating to a “buy” rating in a report on Saturday. Seven research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Calix currently has a consensus rating of “Moderate Buy” and an average target price of $64.86.

Calix Stock Performance

CALX opened at $37.38 on Monday. The firm has a market cap of $2.38 billion, a P/E ratio of 50.51 and a beta of 1.23. The business has a 50 day moving average price of $38.54 and a 200 day moving average price of $46.37. Calix has a twelve month low of $34.26 and a twelve month high of $71.22.

Calix (NYSE:CALX) last posted its quarterly earnings data on Monday, July 20th. The communications equipment provider reported $0.47 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.40 by $0.07. The business had revenue of $293.33 million during the quarter, compared to the consensus estimate of $289.96 million. Calix had a net margin of 4.61% and a return on equity of 5.99%. Calix’s quarterly revenue was up 21.3% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.33 EPS. Calix has set its Q3 2026 guidance at 0.370-0.450 EPS. As a group, analysts anticipate that Calix will post 0.83 earnings per share for the current fiscal year.

Calix announced that its board has authorized a stock repurchase plan on Tuesday, April 21st that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the communications equipment provider to purchase up to 3% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its stock is undervalued.

Insider Activity

In other news, Director Carl Russo sold 25,000 shares of the stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $43.26, for a total value of $1,081,500.00. Following the completion of the transaction, the director directly owned 1,644,188 shares of the company’s stock, valued at approximately $71,127,572.88. This represents a 1.50% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 17.44% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. 4D Advisors LLC acquired a new stake in shares of Calix during the 4th quarter worth about $6,087,000. GSA Capital Partners LLP boosted its position in Calix by 167.0% in the fourth quarter. GSA Capital Partners LLP now owns 53,867 shares of the communications equipment provider’s stock valued at $2,851,000 after buying an additional 33,691 shares in the last quarter. Geode Capital Management LLC boosted its position in Calix by 5.4% in the fourth quarter. Geode Capital Management LLC now owns 1,445,338 shares of the communications equipment provider’s stock valued at $76,513,000 after buying an additional 74,235 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its stake in Calix by 397,798.9% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 350,151 shares of the communications equipment provider’s stock worth $18,533,000 after buying an additional 350,063 shares during the last quarter. Finally, Intech Investment Management LLC grew its stake in Calix by 129.7% during the fourth quarter. Intech Investment Management LLC now owns 101,074 shares of the communications equipment provider’s stock worth $5,350,000 after buying an additional 57,065 shares during the last quarter. 98.14% of the stock is owned by institutional investors.

Calix News Roundup

Here are the key news stories impacting Calix this week:

• Positive Sentiment: Calix beat Q2 expectations, reporting EPS of $0.47 versus $0.40 expected and revenue of $293.3 million versus $290.0 million expected, with sales up 21.3% year over year. Calix Releases Second Quarter 2026 Financial Results
• Positive Sentiment: The company’s AI broadband strategy and growing recurring software/services mix are being viewed as long-term positives, and Northland Securities upgraded CALX to outperform with a $52 target. Northland upgrade and target update
• Neutral Sentiment: Analysts and commentary highlighted that Calix is expanding beyond hardware into AI-native broadband software and recurring services, but execution remains a key watch item. Calix AI Broadband Strategy Shows Where Fiber Networks Are Heading
• Negative Sentiment: Third-quarter guidance pointed to gross margin pressure as AI-driven memory costs rise, with Calix warning that component costs are squeezing appliance margins and only partly being offset by surcharges. Calix shares fall 7% after Q2 beat as AI-driven memory costs squeeze margins
• Negative Sentiment: Multiple class-action lawsuit reminders and a July 27 lead-plaintiff deadline add legal uncertainty and can weigh on sentiment. Investor Alert Pomerantz Law Firm

Calix Company Profile

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.