Calix (CALX) opened 2026 with Q1 revenue of US$280.0 million and basic EPS of US$0.17, supported by net income of US$11.2 million, while the trailing twelve month picture shows revenue of about US$1.1 billion and EPS of US$0.50. Over recent quarters, the company has seen revenue move from US$220.2 million and EPS of a US$0.07 loss in Q1 2025 to US$279.0 million and EPS of US$0.17 in Q1 2026, with the trailing EPS shifting from a US$0.52 loss to a US$0.50 profit as net income went from a US$34.6 million loss to a US$33.9 million profit. For investors, that turn in profitability sets up this earnings release as a key checkpoint on how durable Calix's margin profile might now be.

See our full analysis for Calix.

With the latest numbers on the table, the next step is to see how this profitability shift lines up with the widely followed Calix narratives and where the data may push back against them.

Profits Return With US$33.9m TTM Net Income

• Over the last twelve months, Calix moved from a trailing net loss of US$34.6 million and basic EPS of US$0.52 loss to trailing net income of US$33.9 million and basic EPS of US$0.50, with Q1 2026 itself contributing net income of US$11.2 million on US$280.0 million of revenue.
• What stands out against the bullish view of earnings growing about 51.3% per year is how recent this shift is, with five year reported earnings having declined at an average rate of 57.6% per year, so:
  • The turn to a US$33.9 million trailing profit supports the bullish focus on earnings growth, yet the long run decline highlights how short the current profitable period is.
  • Forecasts that assume higher margins benefit from the recent profit, but the earlier multi year decline shows the business has previously operated at a loss for an extended stretch.

Analysts who back the optimistic case are watching whether this new profitability phase really sticks once broadband funding and AI driven software adoption play through, so it can resemble a lasting earnings base rather than a short term swing. 🐂 Calix Bull Case

Revenue Climbs To US$1.1b TTM

• On a trailing basis, revenue is about US$1.1b compared with US$825.5 million a year earlier, while quarterly revenue has moved from US$206.1 million in Q4 2024 to US$279.98 million in Q1 2026, with forward projections calling for about 13.5% annual revenue growth.
• Bears point out that a large part of this story depends on broadband build programs and subscriber growth, and the numbers here create a mixed check on that concern:
  • The revenue ramp to roughly US$1.1b supports the idea that Calix is already serving more customer demand, which can help counter worries that BEAD and other programs are too slow to matter.
  • At the same time, the 13.5% forecast growth rate means bears can still question how much of the US$1 billion to US$1.5 billion BEAD opportunity will actually convert into future revenue beyond what is already in the trailing figures.

For a cautious reader, the key question is how much of the projected revenue growth is already reflected in today’s US$1.1b run rate and how much still depends on future broadband build capacity and subscriber additions. 🐻 Calix Bear Case

High 81.3x P/E And US$108.19 DCF Fair Value

• At a share price of US$42.65 and trailing EPS of US$0.50, Calix trades on a P/E of 81.3x, which is lower than the peer average of 87.4x but higher than the US Communications industry average of 49.4x, while a DCF fair value of US$108.19 in the dataset sits well above the current price.
• Consensus narrative expectations for growing earnings and margins are reflected in this setup, and the numbers highlight both support and friction for that view:
  • The DCF fair value of US$108.19 and analyst price target reference of US$67.00 both sit above the current US$42.65 price, which lines up with forecasts for 51.3% annual earnings growth and rising margins from 1.8% today.
  • However, the 81.3x trailing P/E and the history of earnings declining 57.6% per year over five years show why some investors may treat those valuation references cautiously, given that the current profit base is still relatively new.

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Calix on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

Sentiment around Calix is mixed, so it helps to look past the headlines and test the numbers yourself while optimism around potential rewards is fresh. To get a clearer picture of what the market is excited about, review the 3 key rewards.

See What Else Is Out There

Calix carries an 81.3x P/E on a relatively recent profit recovery after years of reported earnings decline, which can leave valuation risk feeling uncomfortable.

If that mix of rich pricing and patchy profit history makes you cautious, compare it with companies that look cheaper on fundamentals using the 61 high quality undervalued stocks.

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.