• Calix, Inc. has reported its fourth-quarter 2025 results, returning to profitability on US$272.45 million in revenue, issued first-quarter 2026 revenue guidance of US$275 million to US$281 million, expanded its share repurchase authorization to US$425 million, and highlighted its agentic AI platform ahead of a March 2026 MWC Barcelona keynote.
• Together, the earnings improvement, higher buyback capacity, and revenue outlook suggest management is emphasizing both shareholder returns and long-term broadband and AI platform growth opportunities.
• With management pairing stronger profitability with an expanded US$425 million buyback plan, we will examine how this shapes Calix’s investment narrative.

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What Is Calix's Investment Narrative?

For Calix, you really have to buy into two things: that broadband providers will keep leaning on its cloud and managed Wi Fi platform, and that Calix can turn that demand into durable profitability. The latest quarter helps that case a bit: the company moved back into the black, lifted first quarter 2026 revenue guidance to US$275 million to US$281 million, and expanded its buyback authorization to US$425 million, after already retiring about 7.66% of its shares under the prior program. Coupled with the upcoming MWC Barcelona keynote around its agentic AI platform, these updates support the near term catalyst around AI enabled services, without fundamentally changing the bigger risk that Calix still trades on a richer sales multiple than many peers while relying on continued broadband investment.

However, one risk in particular is easy to overlook and investors should understand it. Calix's shares have been on the rise but are still potentially undervalued. Find out how large the opportunity might be.

Exploring Other Perspectives

The Simply Wall St Community’s five fair value estimates for Calix span roughly US$43 to US$111 per share, underlining how far apart individual views can be. Set against Calix’s richer price to sales ratio and dependence on broadband and AI adoption, this spread shows why it can help to weigh several contrasting opinions before deciding how its story fits in your portfolio.

Explore 5 other fair value estimates on Calix - why the stock might be worth over 2x more than the current price!

Build Your Own Calix Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Calix research is our analysis highlighting 4 key rewards that could impact your investment decision.
• Our free Calix research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Calix's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.