SAN JOSE, Calif.--(BUSINESS WIRE)---- $CALX #calix--Calix, Inc. (NYSE: CALX) today announced that Helexon has selected Calix to support one of the largest rural broadband buildouts underway in the United States, with a multi-year deployment planned to deliver thousands of miles of fiber across Illinois, Indiana, Kentucky, and Michigan. This expansion will be supported by funding from the Broadband Equity Access and Deployment (BEAD) Program. Executing a buildout of this scale requires more than network infr ...

Core Insights - Calix, Inc. has launched Calix One™, an evolved platform that integrates its entire portfolio, including appliances, cloud software, AI-powered agents, and managed services [1] Group 1: Product Launch - Calix One™ represents the next evolution of Calix's platform, unifying various offerings into a single framework [1] - The platform is designed to simplify agentic-driven business and operations workflow transformations for communication service providers [1] Group 2: Technology Integration - The new platform incorporates Calix's full portfolio, which includes appliances, cloud software, and AI-powered agents [1] - Calix Agent Workforce Cloud™ is a key component of the integrated platform, enhancing operational efficiency [1]

Shares of Calix (CALX) have been struggling lately and have lost 8.2% over the past four weeks. However, a hammer chart pattern was formed in its last trading session, which could mean that the stock found support with bulls being able to counteract the bears. So, it could witness a trend reversal down the road.The formation of a hammer pattern is considered a technical indication of nearing a bottom with likely subsiding of selling pressure. But this is not the only factor that makes a bullish case for the ...

Core Insights - The artificial intelligence (AI) infrastructure segment is expected to maintain strong momentum in 2026, driven by robust demand, despite concerns over the high valuations of major AI companies [2][3]. Company Summaries Calix Inc. (CALX) - Calix reported adjusted earnings of $0.39 per share for Q4 2025, exceeding the Zacks Consensus Estimate of $0.38, and significantly up from $0.08 per share a year ago [4]. - Quarterly revenues reached $272.45 million, surpassing the Zacks Consensus Estimate by 0.90% [4]. - The company has integrated AI into its cloud platform to enhance operations and service delivery for broadband providers, with major clients including Lumen Technologies and Verizon [6]. - Calix's expected revenue and earnings growth rates for the current year are 15.6% and 41.5%, respectively, with a 4.9% improvement in the earnings estimate over the last 30 days [7]. Teradata Corp. (TDC) - Teradata reported adjusted earnings of $0.74 per share for Q4 2025, beating the Zacks Consensus Estimate of $0.55, and up from $0.53 per share a year ago [8]. - Total revenues were $421 million, exceeding the Zacks Consensus Estimate by 6.52% [8]. - The company is expected to benefit from improved annual recurring revenue (ARR) growth, cost savings, and productivity measures, which will drive free cash flow [9]. - Teradata's innovative AI capabilities and new product rollouts are anticipated to enhance its analytics offerings and drive long-term growth [10][12]. - The expected revenue and earnings growth rates for Teradata are -2.1% and -3.9%, respectively, with a 0.4% improvement in the earnings estimate over the last 90 days [13]. Lumen Technologies Inc. (LUMN) - Lumen reported adjusted earnings of $0.23 per share for Q4 2025, contrasting with a loss of $0.21 per share as per the Zacks Consensus Estimate, and an adjusted loss of $0.09 per share in the prior year [14]. - Total revenues were $3.041 billion, down 8.7% year over year, and missed the Zacks Consensus Estimate by 1.4% [14]. - The company is focusing on AI-driven solutions, securing $13 billion in Private Connectivity Fabric (PCF) deals by the end of 2025, with revenues of $41 million and $116 million recognized in Q4 and full-year 2025, respectively [15][16]. - Lumen's active customers for its network-as-a-service (NaaS) platform grew by 29% quarter over quarter, indicating strong demand for its services [17]. - The expected revenue and earnings growth rates for Lumen are -12.4% and 15.4%, respectively, with a significant improvement in the earnings estimate of over 100% in the last seven days [18].

Industry Overview - The momentum of the artificial intelligence (AI) infrastructure segment is expected to continue into 2026, supported by a bullish demand scenario [1] - Concerns exist regarding the overstretched valuations of major AI companies, including both infrastructure developers and application implementers [1] Company Highlights Calix Inc. (CALX) - Calix reported quarterly adjusted earnings of $0.39 per share, surpassing the Zacks Consensus Estimate of $0.38, and showing significant growth from $0.08 per share a year ago [6] - Quarterly revenues reached $272.45 million, exceeding the Zacks Consensus Estimate by 0.90% [6] - The company has integrated AI into its cloud platform to enhance operations and service delivery for broadband service providers [8] - Expected revenue and earnings growth rates for Calix are 15.6% and 41.5%, respectively, for the current year [9] Teradata Corp. (TDC) - Teradata reported quarterly adjusted earnings of $0.74 per share, beating the Zacks Consensus Estimate of $0.55, and up from $0.53 per share a year ago [11] - Total revenues were $421 million, exceeding the Zacks Consensus Estimate by 6.52% [11] - The company is expected to benefit from improved annual recurring revenue (ARR) growth, cost savings, and productivity measures [12] - Teradata's expected revenue and earnings growth rates are -2.1% and -3.9%, respectively, for the current year [16] Lumen Technologies Inc. (LUMN) - Lumen reported fourth-quarter adjusted earnings of $0.23 per share, contrasting with a Zacks Consensus Estimate of a loss of $0.21 [17] - Total revenues were $3.041 billion, down 8.7% year over year, and missed the Zacks Consensus Estimate by 1.4% [17] - The company secured $13 billion in AI-linked Private Connectivity Fabric (PCF) deals, boosting demand for its network-as-a-service (NaaS) solutions [18][19] - Lumen's expected revenue and earnings growth rates are -12.4% and 15.4%, respectively, for the current year [21]

Core Insights - Calix Inc. has launched the next generation of Calix Engagement Cloud on the Calix Platform, enhancing service providers' ability to deliver personalized offers to residential and business subscribers [1] - The new features of Engagement Cloud enable providers to target the right subscribers more efficiently and launch personalized campaigns aimed at increasing customer lifetime value (CLV) and average revenue [1] Company Developments - The latest enhancements to the Engagement Cloud provide a faster and clearer method for service providers to engage with subscribers [1] - The focus on personalized campaigns is expected to drive growth in customer lifetime value and average revenue for service providers [1]

Core Insights - Calix, Inc. announced that its President and CEO, Michael Weening, will deliver a keynote at the MWC26 Barcelona, focusing on the "Architects of the AI Age" session [1] Company Presence - Calix's participation at MWC, recognized as the world's largest and most influential connectivity event, follows the recent launch of its AInative platform, indicating a strategic push in the AI and connectivity space [1]

Core Insights - Calix (CALX) shares have declined by 11.9% following the release of its fourth-quarter 2025 results, primarily due to a disappointing outlook for the first quarter of 2026 [1][10] Financial Performance - In the fourth quarter of 2025, Calix reported non-GAAP earnings of 39 cents per share, exceeding the Zacks Consensus Estimate by 1.75%, compared to 8 cents in the same quarter the previous year [2][10] - Non-GAAP revenues reached $272.4 million, surpassing the consensus mark by 0.90%, and showed a 3% increase sequentially and a 32% increase year-over-year, driven by strong demand from broadband experience provider (BXP) customers [3][10] - Appliance revenues were $225.8 million, accounting for 82.9% of total revenues, reflecting a year-over-year increase of 35.8% and a 2% sequential increase [4] - Software and Services revenues amounted to $46.6 million, contributing 17.1% of total revenues, with a year-over-year increase of 17.2% and a 7% sequential increase [5] Margins and Expenses - The non-GAAP gross margin expanded by 250 basis points year-over-year to 58%, with the appliance gross margin at 57.4%, up 120 basis points sequentially and 380 basis points year-over-year [6] - The non-GAAP software and services gross margin was 61.3%, down 390 basis points sequentially and 240 basis points year-over-year, mainly due to dual cloud costs during the transition to the third-generation platform [7] - Sales and marketing expenses as a percentage of revenues decreased by 350 basis points to 21.9%, while research and development expenses decreased by 230 basis points to 17.3% [7][8] Cash Flow and Balance Sheet - As of December 31, 2025, cash and cash equivalents were $388.1 million, an increase from $339.6 million as of September 27, 2025 [9] - The company generated cash flow from operations of $46.046 million and free cash flow of $40 million in the reported quarter, compared to $32.314 million and $27 million in the previous quarter, respectively [11] Guidance - For the first quarter of 2026, Calix expects non-GAAP revenues between $275 million and $281 million, indicating a 2% growth at the midpoint from the prior quarter [12] - The company anticipates non-GAAP earnings between 34 cents and 40 cents per share, with a projected non-GAAP gross margin between 56.25% and 58.25%, reflecting a decline of 75 basis points from the previous quarter [13]

Core Viewpoint - Calix (CALX) has experienced significant selling pressure, resulting in an 11.9% decline over the past four weeks, but analysts anticipate improved earnings in the near future [1] Group 1: Technical Analysis - The Relative Strength Index (RSI) is utilized to determine if CALX is oversold, with a reading of 29.34 indicating potential exhaustion of selling pressure [2][5] - Stocks oscillate between overbought and oversold conditions, and the RSI helps identify potential price reversals, suggesting that CALX may present entry opportunities for investors [3] Group 2: Fundamental Indicators - Analysts have raised earnings estimates for CALX by 10.1% over the last 30 days, indicating a positive trend that typically leads to price appreciation [7] - CALX holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks, further supporting the potential for a near-term turnaround [8]

Core Viewpoint - Calix (CALX) shows potential for significant upside, with a mean price target of $82 indicating a 54.8% increase from its current price of $52.96 [1] Price Targets and Estimates - The mean estimate consists of six short-term price targets with a standard deviation of $6, where the lowest estimate is $75.00 (41.6% increase) and the highest is $90.00 (69.9% increase) [2] - A low standard deviation suggests a strong agreement among analysts regarding the stock's price movement [9] Analyst Sentiment and Earnings Estimates - Analysts are optimistic about CALX's earnings prospects, as indicated by a positive trend in earnings estimate revisions, which have increased by 10.1% over the past month [11][12] - CALX holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [13] Caution on Price Targets - Solely relying on consensus price targets for investment decisions may not be wise, as analysts' price targets can often be overly optimistic due to business incentives [3][8][10]