Ceragon Networks (CRNT)
NASDAQ:CRNT
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Ceragon Networks
(NASDAQ:CRNT)
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Rating:62Neutral
Price Target:
$2.50
▲(12.61% Upside)
Action:ReiteratedDate:02/18/26
The score is driven primarily by solid balance-sheet positioning and strong recent cash generation, which partially offset earnings volatility and 2025 revenue/profit declines. Technical indicators are neutral-to-soft, and valuation is a major constraint due to the very high P/E. The latest earnings call adds some support via reiterated 2026 growth and margin improvement guidance, but near-term margin and demand risks remain meaningful.
Positive Factors
Balance-sheet resilience
Low absolute debt and materially higher equity provide durable financial flexibility. This capital structure reduces refinancing risk, supports funding product launches and backlog execution, and allows the company to sustain investment through telecom capex cycles without relying heavily on external financing.
Negative Factors
Revenue volatility & decline
Sharp top-line reversal undermines confidence in demand durability. Cyclical telecom capex and timing shifts make revenue lumpy; persistent declines would strain margins and limit reinvestment capacity, increasing execution risk for growth plans and making multi-quarter recovery uncertain.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance-sheet resilience
Low absolute debt and materially higher equity provide durable financial flexibility. This capital structure reduces refinancing risk, supports funding product launches and backlog execution, and allows the company to sustain investment through telecom capex cycles without relying heavily on external financing.
Read all positive factors
Ceragon Networks (CRNT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$199.56M
Dividend YieldN/A
Average Volume (3M)401.05K
Price to Earnings (P/E)―
Beta (1Y)1.18
Revenue Growth-3.78%
EPS Growth-92.62%
CountryUS
Employees1,056
SectorTechnology
Sector Strength88
IndustryCommunication Equipment
Share Statistics
EPS (TTM)0.02
Shares Outstanding89,889,970
10 Day Avg. Volume416,251
30 Day Avg. Volume401,050
Financial Highlights & Ratios
PEG Ratio0.83
Price to Book (P/B)1.09
Price to Sales (P/S)0.56
P/FCF Ratio10.51
Enterprise Value/Market Cap1.01
Enterprise Value/Revenue0.60
Enterprise Value/Gross Profit1.77
Enterprise Value/Ebitda9.11
Forecast
1Y Price Target
$3.25Price Target Upside46.40% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)0.16
Revenue Forecast (FY)$364.24M
Ceragon Networks Business Overview & Revenue Model
Company Description
Ceragon Networks Ltd. provides wireless backhaul and fronthaul solutions that enable cellular operators and other wireless service providers. Its solutions use microwave and millimeter wave radio technology to transfer telecommunication traffic be...
How the Company Makes Money
Ceragon Networks generates revenue through the sale of its wireless backhaul and fronthaul equipment, including microwave radios and related software solutions. Key revenue streams include direct sales to telecommunications operators and enterpris...
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.
Data provided by:
The Fly
The FlyCeragon Networks Earnings Call Summary
Earnings Call Date:Feb 17, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 04, 2026
Earnings Call Sentiment Neutral
The call presented a mix of notable operational and financial progress — improved cash generation, stronger net cash position, meaningful reduction in receivables, early 2026 demand signals, product roadmap visibility and reiterated guidance — alongside significant near-term revenue and profitability declines in 2025, elevated expense ratios, and component cost pressure. Management emphasized disciplined execution, conversion focus, and mitigation plans for memory costs while maintaining guidance for 2026 growth and modest margin improvement.Positive Updates
Q4 Revenue and EPS in Line with Guidance
Q4 2025 revenue of $82.3M matched the previously provided range; non-GAAP EPS was $0.02, confirming the preliminary update shared in January.
Negative Updates
Significant Revenue Decline in Q4
Q4 2025 revenue fell 23% YoY from $106.9M to $82.3M, reflecting continued demand pressures in certain regions and timing of orders.
Read all updates
Q4-2025 Updates
Positive
Negative
Q4 Revenue and EPS in Line with Guidance
Q4 2025 revenue of $82.3M matched the previously provided range; non-GAAP EPS was $0.02, confirming the preliminary update shared in January.
Read all positive updates
Company Guidance
Management reiterated 2026 revenue guidance of $355 million to $385 million (midpoint $370M, ~9.3% above 2025’s $338.7M), expects roughly a 1 percentage-point improvement in non‑GAAP gross margin at the midpoint, and targets non‑GAAP operating margins of about 6.5%–7.5% at the midpoint; this outlook assumes advancing North America backlog, a baseline $100M annualized contribution from India, additional demand from two existing customers, potential timely RFP wins and recoveries in other regions, four planned product launches (some with initial 2026 revenue), and the January currency assumptions (management noted a 1% FX move would change operating margin by ~0.1 percentage point).Ceragon Networks Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
72
Positive
Cash Flow
78
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 338.73M | 394.19M | 347.18M | 295.17M | 290.77M |
| Gross Profit | 114.55M | 136.85M | 119.87M | 93.06M | 88.38M |
| EBITDA | 25.38M | 45.34M | 30.25M | -1.19M | 13.08M |
| Net Income | -2.09M | 24.06M | 6.22M | -19.69M | -14.83M |
Balance Sheet | |||||
| Total Assets | 317.04M | 345.00M | 298.52M | 289.32M | 292.56M |
| Cash, Cash Equivalents and Short-Term Investments | 38.37M | 35.31M | 28.24M | 22.95M | 17.08M |
| Total Debt | 49.66M | 41.11M | 50.20M | 54.43M | 36.37M |
| Total Liabilities | 144.29M | 178.67M | 164.51M | 169.53M | 155.41M |
| Stockholders Equity | 172.75M | 166.32M | 134.02M | 119.78M | 137.15M |
Cash Flow | |||||
| Free Cash Flow | 17.95M | 9.73M | 17.99M | -17.32M | -24.61M |
| Operating Cash Flow | 31.56M | 26.20M | 30.89M | -4.89M | -15.02M |
| Investing Cash Flow | -24.00M | -16.46M | -20.87M | -12.42M | -9.39M |
| Financing Cash Flow | -5.51M | -1.52M | -4.86M | 23.11M | 14.53M |
Ceragon Networks Technical Analysis
Negative
2.22
Price Trends
2.29
Negative
2.21
Positive
2.24
Negative
Market Momentum
>-0.01
Negative
46.97
Neutral
70.32
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRNT, the sentiment is Negative. The current price of 2.22 is below the 20-day moving average (MA) of 2.26, below the 50-day MA of 2.29, and below the 200-day MA of 2.24, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.97 is Neutral, neither overbought nor oversold. The STOCH value of 70.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CRNT.
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 |
|---|---|---|---|---|---|---|---|
64 Neutral | $55.18M | 16.83 | 21.08% | ― | -5.65% | 88.68% | |
63 Neutral | $306.43M | 12.04 | 5.54% | ― | 10.89% | ― | |
62 Neutral | $199.56M | -90.22 | -1.22% | ― | -3.78% | -92.62% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
55 Neutral | $228.93M | 31.48 | 4.98% | 4.28% | 0.15% | 17.21% | |
55 Neutral | $221.08M | -43.34 | -12.36% | ― | -26.85% | -93.91% | |
55 Neutral | $185.87M | 185.41 | -9.51% | ― | -17.45% | 76.52% |
* Technology Sector Average
CRNT
Ceragon Networks
2.22
-0.17
-7.11%
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Ceragon Networks Corporate Events
Ceragon Networks Posts 2025 Results, Reiterates 2026 Guidance as Cash Position Improves
Feb 17, 2026
Ceragon Networks reported fourth-quarter and full-year 2025 results on February 17, 2026, showing revenue declines but continued non-GAAP profitability and improved cash generation. The company ended 2025 with $338.7 million in revenue, a GAAP net...
Ceragon Networks Sets February 17, 2026 Date to Report Q4 and Full-Year 2025 Results
Feb 3, 2026
On February 3, 2026, Ceragon Networks filed a Form 6-K with the U.S. Securities and Exchange Commission noting, among other items, a company announcement that it plans to release its financial results for the fourth quarter and full year ended Dec...
Ceragon Networks Lifts 2026 Outlook After North American Order Deferral Boosts Backlog
Jan 8, 2026
On January 8, 2026, Ceragon Networks issued a business update indicating that it expects preliminary fourth-quarter 2025 revenue of $81 million to $83 million, after a large North American customer deferred certain scheduled deliveries from Decemb...
Ceragon Networks to Present at 28th Annual Needham Growth Conference in New York
Jan 5, 2026
On January 5, 2026, Ceragon Networks announced that its management team will participate in the 28th Annual Needham Growth Conference in New York, scheduled for January 13–14, 2026, including a fireside chat on Wednesday, January 14 at 10:15...
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.