NYSE:CALX—A High-Growth Stock Gearing Up for Its Next Upward Move.

Last update: Jan 15, 2024

In this article, we'll take a closer look at CALIX INC (NYSE:CALX) as a potential candidate for growth investing. While it's important for investors to conduct their own research, CALIX INC has piqued our interest by appearing on our strong growth and breakout radar. Let's explore further.

Growth Insights: NYSE:CALX

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NYSE:CALX, the assigned 8 reflects its growth potential:

CALX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.38%, which is quite impressive.
CALX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 165.27% yearly.
CALX shows a strong growth in Revenue. In the last year, the Revenue has grown by 27.46%.
The Revenue has been growing by 11.20% on average over the past years. This is quite good.
The Earnings Per Share is expected to grow by 21.20% on average over the next years. This is a very strong growth
Based on estimates for the next years, CALX will show a quite strong growth in Revenue. The Revenue will grow by 13.31% on average per year.

Health Examination for NYSE:CALX

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:CALX has achieved a 8 out of 10:

An Altman-Z score of 10.85 indicates that CALX is not in any danger for bankruptcy at the moment.
CALX has a Altman-Z score of 10.85. This is amongst the best in the industry. CALX outperforms 96.55% of its industry peers.
There is no outstanding debt for CALX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
A Current Ratio of 4.22 indicates that CALX has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.22, CALX belongs to the top of the industry, outperforming 84.48% of the companies in the same industry.
CALX has a Quick Ratio of 3.14. This indicates that CALX is financially healthy and has no problem in meeting its short term obligations.
CALX has a Quick ratio of 3.14. This is amongst the best in the industry. CALX outperforms 86.21% of its industry peers.

Analyzing Profitability Metrics

ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NYSE:CALX, the assigned 5 is noteworthy for profitability:

Looking at the Return On Assets, with a value of 5.16%, CALX is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
CALX has a Return On Equity of 6.37%. This is in the better half of the industry: CALX outperforms 72.41% of its industry peers.
With a decent Return On Invested Capital value of 4.89%, CALX is doing good in the industry, outperforming 65.52% of the companies in the same industry.
The Profit Margin of CALX (4.69%) is better than 65.52% of its industry peers.
With a decent Operating Margin value of 4.98%, CALX is doing good in the industry, outperforming 62.07% of the companies in the same industry.
With a decent Gross Margin value of 51.99%, CALX is doing good in the industry, outperforming 75.86% of the companies in the same industry.
In the last couple of years the Gross Margin of CALX has grown nicely.

Looking at the Setup

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, NYSE:CALX has a 8 as its setup rating, indicating its current consolidation status.

CALX has only a medium technical rating, but it does show a decent setup pattern. Prices have been consolidating lately. A pullback is taking place, which may present a nice opportunity for an entry. There is a support zone below the current price at 42.34, a Stop Loss order could be placed below this zone.

More Strong Growth stocks can be found in our Strong Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of CALX

Check the latest full technical report of CALX for a complete technical analysis.

Keep in mind

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.