CommScope Triggers Six-Fold Rise In Retail Chatter With AI-Powered Q4 Beat As Stocktwits Sentiment Turns ‘Extremely Bullish’

CommScope Holding Co. Inc. (COMM) shares surged more than 26% in Wednesday’s regular session after its fourth-quarter results beat Wall Street estimates, drawing the attention of retail investors too.

CommScope reported earnings per share of $0.18 during Q4, far ahead of the estimated $0.02. During the same period last year, CommScope posted a loss of $0.34 per share.

The turnaround in CommScope’s performance was evident in its revenue, too – at $1.17 billion, it surpassed Wall Street expectations of $1.11 billion and rose notably from $923 million a year ago.

For the full year, CommScope’s revenue was $4.2 billion, lower than 2023’s $4.56 billion. On the flip side, its loss per share was $0.03 in 2024, significantly lower than the $0.37 loss in 2023.

“Despite a challenging start, and volatile market conditions, we stayed committed to what we could control to improve company performance and profitability,” said Chuck Treadway, CEO of CommScope, while calling 2024 a “transitional year” for the company.

He observed that hyperscale and data centers to support buildouts of generative artificial intelligence (AI) demand around the world delivered the “strongest growth” to the company’s topline.

It strengthened the balance sheet by repaying $2 billion of its debt using proceeds from the closure of two businesses. The company also refinanced a portion of its debt, maturing in 2025 and 2026 to 2029 and 2031, respectively.

CommScope’s Q4 performance not only sent its stock ripping during Wednesday’s trade, it also drove a surge in retail chatter on Stocktwits, which rose 520% in the last 24 hours.

Retail sentiment on the platform around the stock followed its performance, soaring into ‘extremely bullish’ (92/100) territory.

One user praised CommScope’s Q4 performance and opined that the stock will go up.

CommScope’s stock has more than tripled in the last year, gaining nearly 215% at the time of writing.

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Also See: ACM Research Sees Retail Chatter Spike Over 500% As Q4 Earnings Blow Past Estimates: Roth MKM Raises Price Target