Goldman Sachs maintained a Neutral rating on Calix CALX and lowered its price target from $7 to $6.
Goldman Sachs commented, “Calix no longer expects a return to normal Tier 3 spending at least through year-end, as guidance for flat sequential 3Q revenues implies a second consecutive yoy revenue decline. We believe this is partly because Broadband Stimulus (BBS)-driven spend is proving to be substitutive to service providers' runrate capex rather than additive. We estimate Calix's base US business (ex-BBS) declined about 18% yoy in 2Q and will decline another 7% yoy in 3Q and 4Q, as a result offsetting potential gains from BBS.”
Calix closed at $4.61 on Tuesday.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in