Ceragon Networks (CRNT) Stock Forecast & Price Target

Ceragon Networks is well positioned by accelerating demand in India, where sales rose 83% y/y to $45.1MM and bookings topped $120MM thus far for 2026, supporting a strong runway for 4G, 5G, and FWA upgrades. The company’s 2Q26 revenue of $93.9MM grew 14% y/y and beat consensus by a wide margin, while EPS of $0.02 also exceeded expectations, showing operating leverage despite gross margin pressure from higher component costs and unfavorable geographic mix. Its positive outlook is further reinforced by a healthier pipeline in North America and EMEA, including a new NA tier 1 win and the highest EMEA bookings in almost three years, which should support future revenue growth as supply constraints ease.

Ceragon Networks is facing deteriorating fundamentals as North America sales, 22% of revenue, fell 24% y/y to $20.7MM and India sales, 35% of revenue, declined 30% y/y to $29.8MM, underscoring broad-based weakness in its core markets. Component supply delays are shifting revenue from 2Q into 3Q and even 2H26 while also pressuring gross margin through an unfavorable India mix, higher component costs, and FX headwinds. Although FY26 revenue guidance of $355MM-$385MM implies about 9% y/y growth, the company cut NG operating margin guidance to 5.0%-6.0% from 6.5%-7.5%, and cash from operations fell to $5.1MM with free cash flow down to $1.7MM.