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Will Top-Line Expansion Aid Cambium (CMBM) Q4 Earnings?
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Cambium Networks Corporation (CMBM - Free Report) is scheduled to report fourth-quarter 2022 results on Feb 16, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 110.5%. CMBM pulled off a trailing four-quarter earnings surprise of 109.3%, on average. Backed by continuous innovation and strengthening of its business portfolio, the leading global provider of wireless networking solutions is likely to have witnessed higher revenues year over year.
Factors at Play
During the fourth quarter, CMBM introduced ‘Cambium One Network’, enabling Internet service providers (ISP) to operate with enhanced efficiency by reducing network complexity and automating and optimizing the processes. Cambium One Network’s automation speeds up deployment and reduces troubleshooting. Also, service providers will have insights into customers’ broadband consumption habits. Cambium’s cnMaestro cloud management monitors and manages many elements from a single window. The addition of a 6 Hz fixed wireless solution minimizes the problem of spectrum congestion in the 5 GHz bands. These features will enable ISPs to reduce costs and optimize their time and effort. The company's fourth-quarter earnings are likely going to benefit from this.
In the to-be-reported quarter, Cambium came up with cnWave 60 GHz V2000 client node, a simple, fast, lower latency blended with higher reliability that delivers low-cost wireless gigabyte connectivity. V2000, a part of the Cambium One Network, is specifically designed to support municipalities, businesses, and service providers who want to provide residential Internet access, deploy building-to-building connections or backhaul Wi-Fi and video cameras. The most recent addition to the Cambium One Network, the ePMP 4600, will assist in bridging the digital divide in suburban and rural areas. It enables service providers to utilize the complete 6 GHz spectrum, is easily deployable and ensures high bandwidth, low latency and affordability. These are likely to have translated into higher revenues in the quarter.
During the December quarter, Cambium introduced four new indoor and outdoor access points (APs), which will be integrated with the latest WIFI technology to enhance performance and ensure cost-effectiveness. These APs are powered by the Qualcomm Networking Pro Series and other Qualcomm Wi-Fi 6 and 6E Platforms, minimizing the labor and time needed during deployment. They can also be utilized in various setups, including hospitality, education, healthcare and multi-dwelling units. Superior hardware performance, competitive pricing and direct support from the Cambium team make it easier for organizations to deliver consistent and great user experiences. This further strengthens the company’s enterprise networking portfolio and is likely to have boosted its top-line performance in the fourth quarter.
For the December quarter, the Zacks Consensus Estimate for total revenues is pegged at $82 million, which indicates growth from the year-ago quarter’s reported figure of $79 million. The consensus estimate for adjusted earnings per share stands at 25 cents, suggesting growth from 16 cents reported in the prior year.
Earnings Whispers
Our proven model predicts earnings beat for Cambium in the fourth quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is exactly the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 2.46%, with the former pegged at 26 cents and the latter at 25 cents. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Cambium Networks Corporation Price and EPS Surprise
Here are some other companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season:
The Earnings ESP for NICE Systems Ltd. (NICE - Free Report) is +1.98% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Feb 23.
The Earnings ESP for BeiGene (BGNE - Free Report) is +4.19% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Feb 24.
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Will Top-Line Expansion Aid Cambium (CMBM) Q4 Earnings?
Cambium Networks Corporation (CMBM - Free Report) is scheduled to report fourth-quarter 2022 results on Feb 16, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 110.5%. CMBM pulled off a trailing four-quarter earnings surprise of 109.3%, on average. Backed by continuous innovation and strengthening of its business portfolio, the leading global provider of wireless networking solutions is likely to have witnessed higher revenues year over year.
Factors at Play
During the fourth quarter, CMBM introduced ‘Cambium One Network’, enabling Internet service providers (ISP) to operate with enhanced efficiency by reducing network complexity and automating and optimizing the processes. Cambium One Network’s automation speeds up deployment and reduces troubleshooting. Also, service providers will have insights into customers’ broadband consumption habits. Cambium’s cnMaestro cloud management monitors and manages many elements from a single window. The addition of a 6 Hz fixed wireless solution minimizes the problem of spectrum congestion in the 5 GHz bands. These features will enable ISPs to reduce costs and optimize their time and effort. The company's fourth-quarter earnings are likely going to benefit from this.
In the to-be-reported quarter, Cambium came up with cnWave 60 GHz V2000 client node, a simple, fast, lower latency blended with higher reliability that delivers low-cost wireless gigabyte connectivity. V2000, a part of the Cambium One Network, is specifically designed to support municipalities, businesses, and service providers who want to provide residential Internet access, deploy building-to-building connections or backhaul Wi-Fi and video cameras. The most recent addition to the Cambium One Network, the ePMP 4600, will assist in bridging the digital divide in suburban and rural areas. It enables service providers to utilize the complete 6 GHz spectrum, is easily deployable and ensures high bandwidth, low latency and affordability. These are likely to have translated into higher revenues in the quarter.
During the December quarter, Cambium introduced four new indoor and outdoor access points (APs), which will be integrated with the latest WIFI technology to enhance performance and ensure cost-effectiveness. These APs are powered by the Qualcomm Networking Pro Series and other Qualcomm Wi-Fi 6 and 6E Platforms, minimizing the labor and time needed during deployment. They can also be utilized in various setups, including hospitality, education, healthcare and multi-dwelling units. Superior hardware performance, competitive pricing and direct support from the Cambium team make it easier for organizations to deliver consistent and great user experiences. This further strengthens the company’s enterprise networking portfolio and is likely to have boosted its top-line performance in the fourth quarter.
For the December quarter, the Zacks Consensus Estimate for total revenues is pegged at $82 million, which indicates growth from the year-ago quarter’s reported figure of $79 million. The consensus estimate for adjusted earnings per share stands at 25 cents, suggesting growth from 16 cents reported in the prior year.
Earnings Whispers
Our proven model predicts earnings beat for Cambium in the fourth quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is exactly the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 2.46%, with the former pegged at 26 cents and the latter at 25 cents. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Cambium Networks Corporation Price and EPS Surprise
Cambium Networks Corporation price-eps-surprise | Cambium Networks Corporation Quote
Zacks Rank: Cambium has a Zacks Rank #3.
Other Stocks to Consider
Here are some other companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season:
Splunk Inc. is set to release quarterly numbers on Mar 1. It has an Earnings ESP of +0.39% and carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Earnings ESP for NICE Systems Ltd. (NICE - Free Report) is +1.98% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Feb 23.
The Earnings ESP for BeiGene (BGNE - Free Report) is +4.19% and it carries a Zacks Rank of 2. The company is set to report quarterly numbers on Feb 24.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.