Zacks Research Downgrades Clearfield (NASDAQ:CLFD) to Hold

Clearfield (NASDAQ:CLFD) was downgraded by equities researchers at Zacks Research from a “strong-buy” rating to a “hold” rating in a note issued to investors on Monday,Zacks.com reports.

CLFD has been the topic of several other research reports. Northland Securities raised shares of Clearfield from a “market perform” rating to an “outperform” rating and set a $45.00 target price on the stock in a research report on Wednesday, November 26th. Lake Street Capital decreased their price objective on shares of Clearfield from $52.00 to $41.00 and set a “buy” rating for the company in a research report on Wednesday, November 26th. UBS Group restated a “buy” rating on shares of Clearfield in a research report on Wednesday, November 26th. Needham & Company LLC lowered their price objective on Clearfield from $50.00 to $45.00 and set a “buy” rating on the stock in a report on Wednesday, November 26th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Clearfield in a research note on Wednesday, January 21st. Five analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $43.50.

Clearfield Price Performance

Shares of CLFD stock traded up $0.07 during mid-day trading on Monday, hitting $31.47. 14,021 shares of the stock traded hands, compared to its average volume of 142,699. Clearfield has a 52-week low of $23.78 and a 52-week high of $46.76. The stock has a market cap of $435.85 million, a P/E ratio of -62.57 and a beta of 1.94. The stock’s fifty day moving average is $30.22 and its two-hundred day moving average is $32.72.

Clearfield (NASDAQ:CLFD) last posted its earnings results on Wednesday, February 4th. The communications equipment provider reported ($0.02) EPS for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.02. Clearfield had a negative net margin of 3.93% and a positive return on equity of 1.72%. The company had revenue of $34.34 million during the quarter, compared to analysts’ expectations of $31.77 million. Clearfield has set its FY 2026 guidance at 0.480-0.620 EPS and its Q2 2026 guidance at -0.100–0.020 EPS. As a group, equities analysts forecast that Clearfield will post -0.29 EPS for the current fiscal year.

Clearfield announced that its board has approved a stock repurchase plan on Tuesday, November 25th that authorizes the company to repurchase $85.00 million in shares. This repurchase authorization authorizes the communications equipment provider to reacquire up to 22% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling

In related news, Chairman Ronald G. Roth bought 10,000 shares of the company’s stock in a transaction on Monday, December 15th. The stock was bought at an average cost of $30.06 per share, for a total transaction of $300,600.00. Following the acquisition, the chairman directly owned 1,279,264 shares in the company, valued at $38,454,675.84. This represents a 0.79% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 17.80% of the company’s stock.

Institutional Investors Weigh In On Clearfield

A number of hedge funds have recently modified their holdings of the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Clearfield by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 7,222 shares of the communications equipment provider’s stock worth $215,000 after purchasing an additional 312 shares during the period. Creative Planning raised its position in shares of Clearfield by 4.8% during the 3rd quarter. Creative Planning now owns 12,207 shares of the communications equipment provider’s stock valued at $420,000 after buying an additional 563 shares during the period. Dorsey & Whitney Trust CO LLC raised its position in shares of Clearfield by 5.7% during the 2nd quarter. Dorsey & Whitney Trust CO LLC now owns 11,895 shares of the communications equipment provider’s stock valued at $516,000 after buying an additional 645 shares during the period. Drum Hill Capital LLC lifted its holdings in Clearfield by 1.4% in the fourth quarter. Drum Hill Capital LLC now owns 49,912 shares of the communications equipment provider’s stock valued at $1,455,000 after acquiring an additional 713 shares during the last quarter. Finally, BNP Paribas Financial Markets lifted its holdings in Clearfield by 6.3% in the third quarter. BNP Paribas Financial Markets now owns 14,027 shares of the communications equipment provider’s stock valued at $482,000 after acquiring an additional 834 shares during the last quarter. Hedge funds and other institutional investors own 88.73% of the company’s stock.

About Clearfield

Clearfield, Inc (NASDAQ: CLFD) is a Minneapolis-based company specializing in fiber management products for broadband network deployments. The company’s core offerings include fiber distribution hubs, enclosures, splice trays, patching panels and connectivity accessories designed to simplify installation and maintenance of fiber-optic networks. Clearfield’s modular FieldSmart™ platform provides a scalable approach for service providers, utilities and enterprise organizations looking to expand or upgrade their fiber infrastructure.

Clearfield serves a diverse customer base that includes cable and internet service providers, telecommunications operators, wireless carriers, utilities and municipalities.