Keysight's Modest 0.27% Rally Despite 492nd-Ranked $240M Volume Driven by Strong Earnings Satellite Breakthroughes and Buyback Boost Confidence

Market Snapshot

On January 13, 2026, Keysight Technologies (KEYS) saw a trading volume of $0.24 billion, ranking 492nd in market activity. The stock closed with a 0.27% increase, reflecting modest gains amid mixed broader market conditions. Despite the rise, the volume remained below its 90-day average, indicating limited investor activity for the day.

Key Drivers

Keysight’s recent earnings performance has been a primary catalyst for investor sentiment. In Q4 2025, the company exceeded expectations, reporting earnings per share (EPS) of $1.91 against a forecast of $1.82, while revenue reached $1.42 billion versus a projected $1.39 billion. This outperformance, coupled with a 10% year-over-year revenue growth and 14% increase in orders, underscored robust demand in AI infrastructure and semiconductor testing. Maintaining gross and operating margins of 65% and 26%, respectively, further highlighted operational efficiency. The stock surged 2.87% in after-hours trading following the results, pushing the price to $177.67.

The company’s forward guidance for Q1 2026 reinforced optimism. Keysight projected revenue of $1.53–$1.55 billion and EPS of $1.95–$2.01, with a 5–7% revenue growth target for FY2026. These forecasts, combined with $375 million in expected revenue from strategic acquisitions and $100 million in synergies, positioned the firm for sustained expansion. The announcement of a $1.5 billion share repurchase program, equivalent to ~4.9% of outstanding stock, also signaled management’s confidence in undervaluation, potentially boosting shareholder returns.

Institutional investor activity further supported the stock’s trajectory. Nisa Investment Advisors increased its stake in Keysight by 21.8% in Q3 2025, holding 53,222 shares valued at $9.31 million. This move aligned with broader market confidence in Keysight’s strategic initiatives, including its focus on next-generation connectivity and computing. The firm’s recent collaboration with Samsung to validate satellite-to-satellite 5G mobility in band n252 marked a technical milestone, demonstrating end-to-end non-terrestrial network (NR-NTN) capabilities. This achievement, showcased at CES 2026, validated all major NR-NTN FR1 bands, clearing a critical barrier for commercial deployment of direct-to-cell satellite services.

Technological advancements in Keysight’s portfolio also played a role in its valuation. The company’s NTN Network Emulator Solutions, used in conjunction with Samsung’s modem chipset, enabled realistic testing of multi-orbit LEO conditions and SAT-to-SAT mobility. This capability reduces time-to-market for NTN services, a rapidly growing sector expected to scale in 2026. Analysts highlighted the strategic value of Keysight’s role in enabling global connectivity solutions for IoT, critical communications, and consumer applications, positioning it as a key player in the evolving satellite communications landscape.

The broader market context, including Keysight’s 12-month performance, added nuance to its recent gains. While the stock had faced volatility in prior quarters—such as a 7.56% decline in Q1 2025 and a 1.65% drop in Q3 2025—the recent outperformance of estimates and positive guidance created a more favorable outlook. Analysts cited Keysight’s ability to balance growth in high-margin segments with disciplined cost management as a differentiator in its industry. However, challenges such as macroeconomic headwinds and competitive pressures in semiconductor testing remain relevant considerations for long-term investors.

In summary, Keysight’s stock movement on January 13, 2026, was driven by a combination of strong earnings, optimistic guidance, institutional investment, and breakthroughs in satellite connectivity. These factors collectively reinforced its position as a growth-oriented play in the tech sector, though ongoing execution risks and market dynamics will shape its future trajectory.