Calix (NYSE:CALX) Cut to “Strong Sell” at Zacks Research

Zacks Research cut shares of Calix (NYSE:CALX) from a hold rating to a strong sell rating in a research report report published on Monday,Zacks.com reports.

CALX has been the subject of several other research reports. Wall Street Zen cut shares of Calix from a “strong-buy” rating to a “buy” rating in a research report on Saturday, July 18th. Needham & Company LLC reduced their target price on Calix from $70.00 to $62.00 and set a “buy” rating on the stock in a report on Thursday, April 23rd. Weiss Ratings cut shares of Calix from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday, July 2nd. JPMorgan Chase & Co. lowered their target price on shares of Calix from $70.00 to $65.00 and set an “overweight” rating for the company in a research note on Wednesday, April 22nd. Finally, Northland Securities raised Calix from a “market perform” rating to an “outperform” rating and set a $52.00 price target on the stock in a research report on Tuesday. Seven analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $63.86.

Calix Price Performance

CALX stock opened at $35.92 on Monday. The business has a fifty day moving average price of $38.45 and a 200 day moving average price of $46.25. The stock has a market capitalization of $2.29 billion, a price-to-earnings ratio of 48.55 and a beta of 1.23. Calix has a fifty-two week low of $34.26 and a fifty-two week high of $71.22.

Calix (NYSE:CALX) last issued its quarterly earnings results on Monday, July 20th. The communications equipment provider reported $0.47 earnings per share for the quarter, beating analysts’ consensus estimates of $0.40 by $0.07. The business had revenue of $293.33 million during the quarter, compared to analyst estimates of $289.96 million. Calix had a net margin of 4.61% and a return on equity of 6.17%. Calix’s revenue for the quarter was up 21.3% compared to the same quarter last year. During the same quarter last year, the business posted $0.33 earnings per share. Calix has set its Q3 2026 guidance at 0.370-0.450 EPS. On average, equities analysts expect that Calix will post 0.83 earnings per share for the current fiscal year.

Calix declared that its board has authorized a stock repurchase plan on Tuesday, April 21st that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the communications equipment provider to repurchase up to 3% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In related news, Director Carl Russo sold 25,000 shares of the business’s stock in a transaction on Monday, April 27th. The shares were sold at an average price of $43.26, for a total transaction of $1,081,500.00. Following the transaction, the director directly owned 1,644,188 shares in the company, valued at approximately $71,127,572.88. The trade was a 1.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 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 modified their holdings of CALX. Farther Finance Advisors LLC raised its holdings in shares of Calix by 63.0% in the 4th quarter. Farther Finance Advisors LLC now owns 551 shares of the communications equipment provider’s stock valued at $29,000 after purchasing an additional 213 shares during the period. Raymond James Financial Inc. acquired a new position in Calix during the second quarter worth approximately $30,000. Caitong International Asset Management Co. Ltd raised its stake in 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 valued at $39,000 after buying an additional 742 shares during the period. Strive Financial Group LLC acquired a new stake in shares of Calix in the fourth quarter valued at approximately $40,000. Finally, Harbor Investment Advisory LLC acquired a new stake in shares of Calix in the second quarter valued at approximately $31,000. Institutional investors own 98.14% of the company’s stock.

Key Stories Impacting Calix

Here are the key news stories impacting Calix this week:

• Positive Sentiment: Calix reported strong Q2 results, beating estimates with revenue of $293.3 million and EPS of $0.47, supported by record software gains and growth in recurring services. Analysts at JPMorgan and Northland also maintained bullish views, even as they trimmed price targets. Calix Inc (CALX) Q2 2026 Earnings Call Highlights: Record Revenue and Strategic Growth Amid …
• Neutral Sentiment: The company’s AI-broadband strategy and broader push into software and recurring revenue remain a long-term growth story, but investors are still weighing execution and margin pressure. Calix AI Broadband Strategy Shows Where Fiber Networks Are Heading
• Neutral Sentiment: Multiple law firms issued deadline reminders about an already filed securities class action, with the lead plaintiff deadline set for July 27, 2026. These notices do not change fundamentals, but they can keep sentiment fragile until the case progresses. CALX DEADLINE ALERT: ROSEN, A HIGHLY RECOGNIZED LAW FIRM, Encourages Calix, Inc. Investors to Secure Counsel Before Important July 27 Deadline in Securities Class Action – CALX
• Neutral Sentiment: Calix also faced mixed analyst commentary, including a JPMorgan price-target cut and a Zacks downgrade, although both still highlighted meaningful upside from current levels. Analyst rating and price target updates
• Negative Sentiment: The biggest near-term concern is margin compression: management warned that rising memory costs tied to AI demand are pressuring gross margins in Q3, overshadowing the strong revenue beat and helping drive the stock lower. Calix Slides as Margin Outlook Overshadows Record Q2 Results

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.