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Airgain secures multi-million dollar Wi-Fi 7 deal with North American MSO

EditorIsmeta Mujdragic
Published 05/15/2024, 11:03 AM
AIRG
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SAN DIEGO - Airgain, Inc. (NASDAQ: NASDAQ:AIRG), a provider of advanced wireless connectivity solutions, has announced a significant purchase order from a leading multi-service operator (MSO) in North America for its latest Wi-Fi 7 technology. The deal, which is valued at several million dollars, will unfold over multiple years, with the first shipment expected in the third quarter of 2024.

The company's Wi-Fi 7 design is touted to deliver increased capacity, enhanced performance, and faster wireless speeds. This technology is designed to meet the growing demand for high-quality wireless connectivity in consumer markets.

Lance Laing, Airgain's Vice President of US Sales, commented on the agreement, highlighting the importance of the long-term relationship with the MSO and the benefits for their customers. "This significant collaboration is great news for both the MSO and their customer," said Laing.

Airgain's portfolio serves three primary markets: enterprise, consumer, and automotive. The company is known for its embedded components, external antennas, and integrated systems that aim to streamline wireless connectivity across various devices and markets. Their mission is centered on connecting the world through optimized wireless solutions.

This information is based on a press release statement from Airgain, Inc.

InvestingPro Insights

Airgain, Inc. (NASDAQ: AIRG) has recently made headlines with its multi-million-dollar deal to supply the latest Wi-Fi 7 technology to a major North American MSO. While this deal underscores Airgain's potential for growth, an analysis of the company's financials through InvestingPro offers a nuanced view of its market position.

From a financial perspective, Airgain's market capitalization stands at a modest $55.44 million, reflecting its status as a smaller player in the competitive wireless technology sector. The company's P/E ratio, both current and adjusted for the last twelve months as of Q1 2024, is in negative territory at -4.48 and -4.61 respectively, indicating that investors are currently paying more for the stock than its earnings justify. This could be attributed to the company's lack of profitability over the last twelve months, as noted in InvestingPro Tips. However, its price to book ratio of 1.82 suggests that the stock may be reasonably valued in terms of its net asset value.

Despite a challenging revenue growth rate of -28.06% over the last twelve months as of Q1 2024, Airgain demonstrates some financial resilience with a gross profit margin of 37.2%, indicating that it maintains a healthy difference between the cost of goods sold and sales. Additionally, Airgain holds more cash than debt on its balance sheet and has liquid assets that exceed short-term obligations, providing some financial stability.

From an investment standpoint, Airgain has seen a strong return over the last three months with a 26.23% increase, and an even more impressive uptick of 76.98% over the last six months. This could signal growing investor confidence in the company's future, despite analysts' concerns about profitability and downward revisions of earnings for the upcoming period.

For those looking to delve deeper into Airgain's financial health and future prospects, InvestingPro offers a comprehensive suite of tools and additional tips. Currently, there are 7 more InvestingPro Tips available for Airgain, which can provide investors with a more detailed analysis of the company's performance and outlook. Interested readers can take advantage of the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, providing access to these insights and more.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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