J.P. Morgan cuts PT on Cambium Networks on lower forecast, CFO exit

Cambium Networks

18/04/2022 18:11

** J.P. Morgan slashes PT on internet service provider
Cambium Networks Corp  CMBM.O  to $19 from $32 on lower Q1
forecast and CFO exit; maintains "neutral" rating 
    ** CMBM on Wednesday said it expects Q1 revenue between $61
mln and $63 mln vs previous outlook of $77.5 mln to $81.5 mln
 urn:newsml:reuters.com:*:nPncb3pxfa 
    ** Co also announced CFO Stephen Cumming's exit  urn:newsml:reuters.com:*:nPn7wZ2NGa
    ** Brokerage believes co's smaller scale is making it
tougher for management to execute in the current environment,
compared to larger peers in networking equipment and IT hardware
space
    ** Lowers revenue guidance for co to $290 mln for 2022 and
$376 mln for 2023 
    ** Brokerage also flags departure of CFO Cumming, adding
that co said it was because of personal reasons and not
execution challenges
    ** Six of 9 analysts rate the stock "buy" or higher, 3
"hold"; median PT is $44 - Refinitiv data
    ** As of last close, CMBM down 33.1% YTD 

 (Reporting by Vansh Agarwal)
 ((Vansh.Agarwal@thomsonreuters.com;))