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Ceragon Networks
(NASDAQ:CRNT)
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Rating:55Neutral
Price Target:
$2.50
▲(17.37% Upside)
Action:Reiterated
Date:07/22/26
The score is primarily driven by resilient cash generation and a manageable balance sheet, supported by reiterated guidance and strong bookings from the latest earnings call. Offsetting these positives are weakened profitability (TTM loss and margin compression) and a technically weak price trend, while valuation is less informative due to a negative P/E and no dividend support.
Positive Factors
Strong free cash flow
Sustained positive operating and free cash flow provides durable financial flexibility. Over 2–6 months this enables funding product development, absorbing timing shifts in project revenues, and supporting working capital without reliance on external financing, strengthening operational resilience.
Negative Factors
Margin and profitability weakness
Material margin compression and a slight TTM net loss weaken return generation and limit reinvestment capacity. Persistently low operating margins would constrain the firm's ability to fund R&D, sales expansion, or absorb cost inflation without eroding equity returns over several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow
Sustained positive operating and free cash flow provides durable financial flexibility. Over 2–6 months this enables funding product development, absorbing timing shifts in project revenues, and supporting working capital without reliance on external financing, strengthening operational resilience.
Read all positive factors
Ceragon Networks Key Performance Indicators (KPIs)
Any
Revenue by Geography
Shows how Ceragon’s sales are distributed across regions, highlighting whether growth depends on a few markets or is broadly diversified. Heavy concentration in specific countries or regions can expose the company to local telecom capex cycles, currency swings, regulatory shifts, or geopolitical risk, while a more balanced footprint suggests steadier demand and better upside from global infrastructure spending. Regional trends also reveal where wireless backhaul demand is growing faster than fiber, pointing to markets with the strongest near-term opportunity or competitive pressure.
Shows how Ceragon’s sales are distributed across regions, highlighting whether growth depends on a few markets or is broadly diversified. Heavy concentration in specific countries or regions can expose the company to local telecom capex cycles, currency swings, regulatory shifts, or geopolitical risk, while a more balanced footprint suggests steadier demand and better upside from global infrastructure spending. Regional trends also reveal where wireless backhaul demand is growing faster than fiber, pointing to markets with the strongest near-term opportunity or competitive pressure.
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The FlyCeragon Networks (CRNT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$197.24M
Dividend YieldN/A
Average Volume (3M)695.44K
Price to Earnings (P/E)―
Beta (1Y)1.31
Revenue Growth-15.03%
EPS Growth-110.33%
CountryUS
Employees1,091
SectorTechnology
Sector Strength88
IndustryCommunication Equipment
Share Statistics
EPS (TTM)-0.02
Shares Outstanding90,893,690
10 Day Avg. Volume1,004,094
30 Day Avg. Volume695,437
Financial Highlights & Ratios
PEG Ratio0.83
Price to Book (P/B)1.09
Price to Sales (P/S)0.56
P/FCF Ratio13.35
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$3.75Price Target Upside76.06% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
EPS Forecast (FY)0.13
Revenue Forecast (FY)$364.73M
Ceragon Networks Business Overview & Revenue Model
Company Description
Ceragon Networks Ltd., an Israeli company headquartered in Rosh HaAyin, was incorporated in 1996 and was formerly known as Giganet Ltd. before adopting its current name in September 2000. The firm specializes in furnishing advanced wireless backha...
How the Company Makes Money
Ceragon primarily makes money by selling wireless backhaul equipment—most notably packet microwave and millimeter-wave radio hardware used to transport traffic between cell sites and the core network (and/or between network nodes). Revenue is gene...
Ceragon Networks Earnings Call Summary
Earnings Call Date:May 19, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 11, 2026
Earnings Call Sentiment Positive
The call balanced several encouraging operational and market developments — notably strong India bookings (~$86M), improved gross margin, positive free cash flow, new product POC success and reiterated 2026 guidance — against clear near-term headwinds including a semiconductor supply timing issue that shifts some North America revenue, currency-related financial expense increases, Q2 margin pressure from an India‑heavy mix, and a meaningful drop in non‑GAAP net income and EPS. Management communicated confidence in a Q3 recovery and maintained full‑year targets, and positioned recent challenges as largely temporary and non‑operational.Positive Updates
Strong India bookings and execution
Announced approximately $86 million in bookings in India (mainly from 2 leading operators); India represented $30.0M or 35% of Q1 revenue and company expects India to comfortably support a ~ $100M baseline for the year with potential upside.
Negative Updates
Sequential and year-over-year revenue softness
Q1 revenue was $85.0M, down 4.1% YoY from $88.7M in Q1 2025; management noted a supply-chain timing issue that will shift some expected North America revenue from Q2 into Q3.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong India bookings and execution
Announced approximately $86 million in bookings in India (mainly from 2 leading operators); India represented $30.0M or 35% of Q1 revenue and company expects India to comfortably support a ~ $100M baseline for the year with potential upside.
Read all positive updates
Company Guidance
Ceragon reiterated 2026 revenue guidance of $355–$385 million and said it is targeting a 1 percentage‑point improvement in non‑GAAP gross margin and a non‑GAAP operating margin of 6.5%–7.5% (both cited at the midpoint of the revenue range); Q1 provides the starting point with revenue of $85.0M, non‑GAAP EPS $0.01, non‑GAAP gross profit $30.6M (36.0% margin vs. 33.5% in Q1‑2025), non‑GAAP operating income $4.2M (4.9% margin), non‑GAAP net income $0.7M, positive free cash flow $2.8M, and regional revenue North America $31.3M / India $30.0M; management noted ~$86M of India bookings (plus ≈$10M of private‑network contracts), a temporary semiconductor supply issue shifting some expected North America Q2 revenue into Q3 (creating expected Q2 margin pressure due to a heavier India mix), industry cost headwinds (memory, copper/metals, freight), and FX headwinds (stronger ILS, weaker INR), while balance‑sheet metrics at quarter end included cash $39.2M, short‑term loans $17.1M (net cash $22.1M), inventory $56.5M, receivables $94.4M and DSO of 103 days.Ceragon Networks Financial Statement Overview
Summary
Income Statement
46
Neutral
Balance Sheet
68
Positive
Cash Flow
72
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 335.08M | 338.73M | 394.19M | 347.18M | 295.17M | 290.77M |
| Gross Profit | 115.25M | 114.55M | 136.85M | 119.87M | 93.06M | 88.38M |
| EBITDA | 21.87M | 21.57M | 45.34M | 30.25M | -1.19M | 13.08M |
| Net Income | -2.45M | -2.09M | 24.06M | 6.22M | -19.69M | -14.83M |
Balance Sheet | ||||||
| Total Assets | 307.35M | 317.04M | 345.00M | 298.52M | 289.32M | 292.56M |
| Cash, Cash Equivalents and Short-Term Investments | 39.16M | 38.37M | 35.31M | 28.24M | 22.95M | 17.08M |
| Total Debt | 33.57M | 49.66M | 41.11M | 50.20M | 54.43M | 36.37M |
| Total Liabilities | 135.86M | 144.29M | 178.67M | 164.51M | 169.53M | 155.41M |
| Stockholders Equity | 171.50M | 172.75M | 166.32M | 134.02M | 119.78M | 137.15M |
Cash Flow | ||||||
| Free Cash Flow | 21.48M | 14.13M | 9.73M | 17.99M | -17.32M | -24.61M |
| Operating Cash Flow | 37.32M | 31.56M | 26.20M | 30.89M | -4.89M | -15.02M |
| Investing Cash Flow | -18.54M | -24.00M | -16.46M | -20.87M | -12.42M | -9.39M |
| Financing Cash Flow | -8.22M | -5.51M | -1.52M | -4.86M | 23.11M | 14.53M |
Ceragon Networks Risk Analysis
Ceragon Networks disclosed 51 risk factors in its most recent earnings report. Ceragon Networks reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Ceragon Networks Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $25.50M | 14.95 | 32.21% | ― | 6652284.00% | ― | |
67 Neutral | $242.84M | 38.21 | 4.01% | 4.18% | 2.02% | -56.43% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
56 Neutral | $265.00M | 35.93 | 3.37% | ― | 0.23% | ― | |
55 Neutral | $197.24M | -79.49 | -1.43% | ― | -15.03% | -110.33% | |
55 Neutral | $239.99M | -32.23 | -8.79% | ― | -17.17% | 23.08% | |
42 Neutral | $114.43M | 10.99 | 17.85% | ― | -12.48% | 66.68% |
* Technology Sector Average
CRNT
Ceragon Networks
2.22
0.38
20.65%
AUDC
Audiocodes
9.90
0.61
6.53%
AVNW
Aviat Networks
21.05
0.17
0.81%
LTRX
Lantronix
5.83
2.86
96.30%
INSG
Inseego
5.31
-1.98
-27.13%
FIEE
FiEE
3.29
0.52
18.77%
Ceragon Networks Corporate Events
Ceragon Networks Sets August 11 Date for Q2 2026 Earnings Release and Investor Call
Jul 29, 2026
Ceragon Networks announced on July 29, 2026 that it will publish financial results for the second quarter ended June 30, 2026 before the market opens on Tuesday, August 11, 2026. The disclosure timetable underscores the company’s commitment ...
Ceragon Secures $120 Million in Indian Telecom Orders Year-to-Date
Jul 28, 2026
On July 28, 2026, Israel-based Ceragon Networks reported that it has booked approximately $120 million in orders year-to-date from operators in India, up from about $86 million disclosed in May. The orders, largely from two leading Indian mobile o...
Ceragon Nets Over $10 Million in Q2 Private Network Bookings as Critical Infrastructure Demand Rises
Jul 23, 2026
On July 23, 2026, Ceragon Networks reported that its private networks business secured more than $10 million in second-quarter bookings from selected customer projects across public safety, utilities and smart city applications. The wins, spanning...
Ceragon Wins Five-Year, $70 Million APAC Transport Deal
Jul 21, 2026
On July 21, 2026, Ceragon Networks announced it had secured a new five-year agreement worth approximately $70 million with a long-standing Tier-1 mobile operator in the Asia-Pacific region. The deal underscores the operator’s continued relia...
Ceragon Networks Shareholders Approve All Proposals at 2026 Annual Meeting
Jun 11, 2026
Ceragon Networks held its 2026 Annual General Meeting of Shareholders on June 11, 2026, in Israel, where investors voted on a slate of corporate proposals. According to the company, all items presented to shareholders at the meeting received appro...
Ceragon Networks Posts Q1 2026 Profit Improvement Despite Revenue Dip, Reaffirms 2026 Outlook
May 19, 2026
Ceragon Networks reported first-quarter 2026 results on May 19, 2026, showing revenue of $85.0 million, down 4.1% year-on-year, but with improved gross margin of 35.4% and a swing to GAAP operating income of $2.1 million. The company posted a GAAP...
Ceragon Networks Sets June 11, 2026 Annual Meeting to Vote on Executive Pay and Auditor Reappointment
May 6, 2026
Ceragon Networks has called its 2026 Annual General Meeting of Shareholders for June 11, 2026, in Rosh Ha’ayin, Israel, where investors will vote on key governance and compensation matters. The agenda includes approving revised compensation ...
Ceragon Books $86 Million in India Orders, Bolstering 2026 Outlook
May 5, 2026
On May 5, 2026, Israel-based Ceragon Networks reported that it has received and booked approximately $86 million in orders year-to-date from telecom operators in India, underscoring strong demand for its new IP-50EXA platform and next-generation m...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.