Ceragon(CRNT, $5.71)shares got rating cut to underperform from buy from Needham
Shares of Israeli cellphone communications equipment maker Ceragon Networks got a double downgrade from analysts at Needham.
Needham analysts lowered their rating on the shares to underperform from buy, amid valuation concerns. The stock has rallied more than 120% year to date.
Needham analyst Alex Henderson says the firm "cannot justify the current valuation,". The analyst mentioned further that even a buyout would be unlikely to justify recent moves.
Ceragon shares climbed more than +30% on Tuesday, and has more than doubled over the past three trading days.
Ceragon gained 33% on Tuesday as ARK Israel Innovative Technology ETF (IZRL) added 44,380 shares of Ceragon, bringing its total holdings to nearly 856,000 shares( according to Bloomberg).
CRNT in upward trend: price rose above 50-day moving average on June 23, 2025
CRNT moved above its 50-day moving average on June 23, 2025 date and that indicates a change from a downward trend to an upward trend. In of 32 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 26, 2025. You may want to consider a long position or call options on CRNT as a result. In of 80 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for CRNT just turned positive on June 25, 2025. Looking at past instances where CRNT's MACD turned positive, the stock continued to rise in of 49 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CRNT advanced for three days, in of 247 cases, the price rose further within the following month. The odds of a continued upward trend are .
CRNT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CRNT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.960) is normal, around the industry mean (9.954). P/E Ratio (43.857) is within average values for comparable stocks, (96.587). Projected Growth (PEG Ratio) (0.979) is also within normal values, averaging (1.815). CRNT has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.042). P/S Ratio (0.756) is also within normal values, averaging (18.207).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. CRNT’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CRNT’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 79, placing this stock worse than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a provider of high-capacity LTE-ready wireless backhaul solutions
Industry TelecommunicationsEquipment
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