Calnex Solutions (CLX) AI Stock Analysis

• Market Cap: £49.28M
• Dividend Yield: 1.92%
• Average Volume (3M): 124.09K
• Price to Earnings (P/E): 147.4
• Beta (1Y): 0.62
• Revenue Growth: 20.83%
• EPS Growth: N/A
• Country: UK
• Employees: 157
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): >-0.01
• Shares Outstanding: 87,991,640
• 10 Day Avg. Volume: 73,027
• 30 Day Avg. Volume: 124,093
• PEG Ratio: 0.18
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 2.17
• P/FCF Ratio: -129.01
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £115.00
• Price Target Upside: 132.32% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: 50.00p ▲(1.01% Upside)

Calnex Solutions' overall stock score is primarily influenced by its solid financial performance, characterized by strong revenue growth and a robust balance sheet. However, the stock faces challenges with bearish technical indicators and an overvalued P/E ratio, which weigh down the overall score. The absence of recent earnings call insights and notable corporate events means the score is heavily reliant on financial and technical analysis.

Positive Factors

Revenue Growth

Consistent revenue growth indicates the company's ability to expand its market presence and enhance product adoption, which is crucial for long-term success.

Gross Margin

High gross margins demonstrate effective cost control, allowing the company to reinvest in growth initiatives and maintain competitive pricing.

Balance Sheet Health

Low leverage provides financial stability and flexibility, enabling the company to navigate economic fluctuations and invest in strategic opportunities.

Negative Factors

Net Profit Margin

Low net profit margins indicate difficulties in converting sales into profits, which could hinder the company's ability to generate shareholder value over time.

Free Cash Flow

Negative free cash flow suggests challenges in sustaining cash generation, which could limit the company's ability to fund growth and pay down debt.

Profitability

Low return on equity indicates that the company is not efficiently generating profits from its equity base, which may affect investor confidence and capital raising.

Calnex Solutions Business Overview & Revenue Model

Company Description

Calnex Solutions (CLX) is a leading provider of test and measurement solutions for the telecommunications and data center industries. The company specializes in high-performance equipment designed to validate and ensure the reliability of network performance and timing synchronization in complex networks. Core products include network test solutions, time synchronization test equipment, and software platforms that cater to a wide range of applications, from 5G networks to cloud computing environments.

How the Company Makes Money

Calnex Solutions generates revenue primarily through the sale of its test and measurement equipment, which includes both hardware and software solutions. The company offers a range of products tailored to various sectors, including telecommunications, data centers, and enterprise networking. Revenue streams are bolstered by recurring income from software licenses, maintenance contracts, and customer support services. Additionally, Calnex may enter strategic partnerships with telecommunications providers and technology firms, enhancing its market reach and driving sales through collaborative projects. The demand for advanced network testing in emerging technologies, such as 5G and IoT, also contributes significantly to the company's financial performance.

Calnex Solutions Financial Statement Overview

Summary

Calnex Solutions demonstrates solid revenue growth and strong gross margins, indicating effective cost management. The balance sheet is robust with low leverage, providing financial stability. However, profitability and cash flow management remain areas for improvement, as reflected in the low net profit margin and negative free cash flow. Overall, the company is on a stable financial footing with opportunities to enhance profitability and cash flow.

Income Statement

Calnex Solutions has shown a positive revenue growth rate of 16.47% in the latest year, indicating a recovery from the previous year's decline. The gross profit margin improved significantly to 74.86%, reflecting strong cost management. However, the net profit margin remains low at 1.83%, suggesting challenges in translating revenue growth into net income. The EBIT and EBITDA margins have improved, but the overall profitability is still modest.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.044, indicating low leverage and financial stability. The return on equity is modest at 1.23%, reflecting limited profitability. The equity ratio is healthy, suggesting a strong capital structure. Overall, the balance sheet reflects stability with room for improved returns.

Cash Flow

Operating cash flow has improved significantly, but free cash flow remains negative, indicating potential cash management issues. The operating cash flow to net income ratio is strong, suggesting good cash generation relative to net income. However, the negative free cash flow growth rate and ratio to net income highlight challenges in sustaining cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.39M	18.39M	16.27M	27.45M	22.05M	17.98M
Gross Profit	9.49M	13.76M	8.17M	16.41M	13.26M	11.21M
EBITDA	900.00K	5.74M	4.22M	11.29M	8.61M	6.15M
Net Income	337.00K	337.00K	40.00K	5.91M	4.54M	3.45M
Balance Sheet
Total Assets	38.48M	38.48M	37.00M	38.75M	31.14M	24.28M
Cash, Cash Equivalents and Short-Term Investments	10.91M	10.91M	11.87M	19.10M	15.36M	12.67M
Total Debt	1.22M	1.22M	415.00K	691.00K	857.00K	566.00K
Total Liabilities	11.04M	11.04M	9.66M	11.39M	9.32M	7.12M
Stockholders Equity	27.44M	27.44M	27.34M	27.36M	21.83M	17.16M
Cash Flow
Free Cash Flow	4.55M	-309.00K	-6.49M	6.57M	3.14M	5.71M
Operating Cash Flow	4.58M	4.58M	-784.00K	11.27M	7.35M	9.05M
Investing Cash Flow	-4.89M	-4.57M	-3.84M	-6.98M	-5.71M	-3.34M
Financing Cash Flow	-967.00K	-967.00K	-1.09M	-563.00K	-448.00K	3.30M

Calnex Solutions Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 49.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CLX, the sentiment is Negative. The current price of 49.5 is below the 20-day moving average (MA) of 54.41, below the 50-day MA of 56.56, and below the 200-day MA of 52.11, indicating a bearish trend. The MACD of -2.10 indicates Positive momentum. The RSI at 30.95 is Neutral, neither overbought nor oversold. The STOCH value of 9.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CLX.

Calnex Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FTC	73 Outperform	£283.49M	20.09	55.98%	―	121.45%	345.83%
MWE	71 Outperform	£41.37M	11.57	17.41%	3.87%	1.08%	10.37%
NXQ	66 Neutral	£53.04M	-23.54	-3.85%	4.18%	-27.57%	-130.10%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CML	57 Neutral	£48.95M	-2,681.82	2.28%	1.98%	-21.33%	-11.35%
CLX	55 Neutral	£49.28M	147.37	2.36%	1.92%	20.83%	―
CYAN	48 Neutral	£21.84M	-5.21	-26.82%	―	-24.31%	14.89%

Calnex Solutions Corporate Events

Calnex Solutions to Announce Interim Results and Host Investor Presentations

Calnex Solutions announced it will release its unaudited results for the six months ending 30 September 2025 on 18 November 2025. The company will host presentations for analysts and investors to discuss these results, highlighting its commitment to transparency and stakeholder engagement. This announcement underscores Calnex’s strategic focus on maintaining strong communication with its investors and analysts, which is crucial for its positioning in the competitive telecommunications and cloud computing markets.

The most recent analyst rating on (GB:CLX) stock is a Hold with a £56.00 price target. To see the full list of analyst forecasts on Calnex Solutions stock, see the GB:CLX Stock Forecast page.

Calnex Solutions Expands Share Capital with New Issuance

Calnex Solutions, a leader in test and measurement solutions for telecommunications and cloud computing, has issued 33,334 new ordinary shares following the exercise of options under its equity incentive schemes. These shares will be admitted to trading on AIM, increasing the company’s total share capital to 87,991,636 ordinary shares. This issuance allows shareholders to adjust their holdings in accordance with UK Financial Conduct Authority’s rules, reflecting Calnex’s ongoing commitment to expanding its market presence and shareholder base.

The most recent analyst rating on (GB:CLX) stock is a Hold with a £61.00 price target. To see the full list of analyst forecasts on Calnex Solutions stock, see the GB:CLX Stock Forecast page.

Calnex Solutions Expands Share Capital with New Issuance

Calnex Solutions, a leader in test and measurement solutions for telecommunications and cloud computing markets, has issued 66,666 new ordinary shares following the exercise of options under its equity incentive schemes. These shares will be admitted to trading on AIM, increasing the company’s total issued share capital to 87,958,302 ordinary shares with voting rights, impacting shareholder calculations under UK financial regulations.

The most recent analyst rating on (GB:CLX) stock is a Hold with a £61.00 price target. To see the full list of analyst forecasts on Calnex Solutions stock, see the GB:CLX Stock Forecast page.

Calnex Solutions Announces Successful AGM Resolutions

Calnex Solutions, a leader in test and measurement solutions for telecommunications and cloud computing, announced the successful passing of all resolutions at their recent Annual General Meeting. This outcome reflects strong shareholder support and positions the company well for continued growth and stability in its market, benefiting stakeholders and reinforcing its industry standing.

The most recent analyst rating on (GB:CLX) stock is a Buy with a £115.00 price target. To see the full list of analyst forecasts on Calnex Solutions stock, see the GB:CLX Stock Forecast page.

Calnex Solutions Strengthens Market Position with Strategic Developments

Calnex Solutions, a leader in test and measurement solutions for telecommunications and cloud computing, announced strategic developments ahead of its AGM. The company is strengthening its sales and marketing teams and expanding its partner network, particularly in North America, to capitalize on growth in the cloud and defense markets. The installation of test instrumentation in customer-facing labs aims to enhance engagement with US Federal customers. Despite a stable telecoms market, Calnex’s diverse market presence and strong balance sheet position it well for anticipated performance in line with market expectations for FY26.

The most recent analyst rating on (GB:CLX) stock is a Buy with a £115.00 price target. To see the full list of analyst forecasts on Calnex Solutions stock, see the GB:CLX Stock Forecast page.