Ceragon Networks: Post-Earnings Selloff Provides Long-Term Buying Opportunity

(6min)

Summary

  • Ceragon Networks Ltd. reported Q4/2024 results largely in line with expectations, with revenue growth driven by strong contributions from India and the Asia-Pacific region.
  • On the flip side, weakness in Tier 1 carrier spending resulted in North American revenue declining to its lowest level recently. However, bookings in North America increased on.
  • However, shares sold off as challenging market conditions resulted in management providing a rather disappointing outlook for 2025.
  • While the disappointing outlook for 2025 will likely keep the stock in the penalty box for the next couple of quarters, I consider the post-earnings sell-off a long-term buying opportunity.
  • Consequently, I am initiating coverage of Ceragon Networks stock with a “Buy” rating and a one-year price target of $6.
  • Looking for a helping hand in the market? Members of Value Investor's Edge get exclusive ideas and guidance to navigate any climate. Learn More »

Telecommunication Tower for 2G 3G 4G 5G network during sunset. Antenna, BTS, microwave, repeater, base station, IOT. Technology concept in internet and mobile communication

Jaiz Anuar

On Tuesday, wireless backhaul solutions provider Ceragon Networks Ltd. (NASDAQ:CRNT) or “Ceragon” reported fourth quarter and full-year 2024 results largely in line with expectations.

Despite challenging overall market conditions, persistent progress in India and a strong contribution from the Asia-Pacific (“APAC”) region helped

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