Calix (CALX) to Report Q1 Earnings: What's in the Cards?

Zacks Equity Research
·3-min read

Calix, Inc. CALX is set to report first-quarter 2021 results on Apr 27, after the closing bell. In the last reported quarter, the company delivered a positive earnings surprise of 32.4%. It pulled off a trailing four-quarter earnings surprise of 77.1%, on average.

This San Jose, CA-based cloud and software platforms provider is expected to have recorded higher revenues year over year, driven by solid demand and ramp-up of new offerings. The company continues to benefit from the diversity of its products, services and customers.

Factors at Play

Calix is focused on providing the platforms that enable service providers to create services at a DevOps pace. During the first quarter, TransWorld Network, Corp. selected Calix’s end-to-end solutions and services to accelerate its fiber-network buildout across the United States. Utah-based telco cooperative, STRATA Networks, chose the entire Calix Revenue EDGE solution to provide a better Wi-Fi 6 experience to its members.

Novus Entertainment Inc. opted for the Intelligent Access EDGE and Revenue EDGE solutions to cost-effectively deliver the fastest residential broadband service in Western Canada. These developments are likely to have had a positive impact on the company’s top line.

For the March quarter, the Zacks Consensus Estimate for revenues is pegged at $150 million, indicating growth of 47.1% from the year-ago quarter’s reported figure. The consensus estimate for adjusted earnings per share is pegged at 20 cents, which suggests an increase of 600%.

What Our Model Says

Our proven model doesn’t conclusively predict an earnings beat for Calix this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Earnings ESP: Calix’s Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00% as both are pegged at 20 cents.

Calix, Inc Price and EPS Surprise

Calix, Inc Price and EPS Surprise
Calix, Inc Price and EPS Surprise

Calix, Inc price-eps-surprise | Calix, Inc Quote

Zacks Rank: Calix currently has a Zacks Rank #3.

Stocks to Consider

Here are some companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this quarter:

Great Western Bancorp, Inc. GWB is slated to release second-quarter fiscal 2021 results on Apr 29. It has an Earnings ESP of +5.46% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

United States Steel Corporation X is scheduled to release first-quarter 2021 results on Apr 29. The company has an Earnings ESP of +29.67% and a Zacks Rank #2.

Generac Holdings Inc. GNRC has an Earnings ESP of +1.94% and a Zacks Rank of 3. The company is set to report first-quarter 2021 results on Apr 29.

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