Latest news with #CienaCorporation
Yahoo
9 hours ago
- Business
- Yahoo
Northland Raises Ciena (CIEN) Price Target, Maintains Outperform Rating
Ciena Corporation (NYSE:CIEN) is one of the 10 tech stocks on Wall Street's radar right now. Northland analyst Tim Savageaux increased the price target on Ciena Corporation (NYSE:CIEN) to $85 from $75 and maintained an Outperform rating on June 6, after the company reported 'mixed' fiscal Q2 results. Savageaux highlighted the strong demand that led to raising the FY25 growth forecast to 14%, up from the previous 8-11% range. He also pointed out that in the Optical industry, it is common to buy systems providers when margins are lower due to higher line system and equipment revenue. A team of telecom engineers discussing a communication infrastructure diagram. While Northland showed a bullish sentiment on the stock, Evercore ISI analyst Amit Daryanani cut the price target for Ciena (NYSE:CIEN) to $75 from $82 and maintained an In Line rating on the same day. According to the firm, the recent quarter showed mixed results, with revenue beating estimates but earnings per share falling short. Growth in the cloud segment drove revenue, but weaker gross margins, affected by product mix and tariffs, hurt profits, and the analyst noted that margin challenges continue to be a worry. Ciena (NYSE:CIEN) delivers a broad range of hardware, software, and services focused on optical networking, network management, and automation, supporting network operators with solutions for transport, routing, orchestration, and maintenance. While we acknowledge the potential of CIEN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None.
Yahoo
10 hours ago
- Business
- Yahoo
Northland Raises Ciena (CIEN) Price Target, Maintains Outperform Rating
Ciena Corporation (NYSE:CIEN) is one of the 10 tech stocks on Wall Street's radar right now. Northland analyst Tim Savageaux increased the price target on Ciena Corporation (NYSE:CIEN) to $85 from $75 and maintained an Outperform rating on June 6, after the company reported 'mixed' fiscal Q2 results. Savageaux highlighted the strong demand that led to raising the FY25 growth forecast to 14%, up from the previous 8-11% range. He also pointed out that in the Optical industry, it is common to buy systems providers when margins are lower due to higher line system and equipment revenue. A team of telecom engineers discussing a communication infrastructure diagram. While Northland showed a bullish sentiment on the stock, Evercore ISI analyst Amit Daryanani cut the price target for Ciena (NYSE:CIEN) to $75 from $82 and maintained an In Line rating on the same day. According to the firm, the recent quarter showed mixed results, with revenue beating estimates but earnings per share falling short. Growth in the cloud segment drove revenue, but weaker gross margins, affected by product mix and tariffs, hurt profits, and the analyst noted that margin challenges continue to be a worry. Ciena (NYSE:CIEN) delivers a broad range of hardware, software, and services focused on optical networking, network management, and automation, supporting network operators with solutions for transport, routing, orchestration, and maintenance. While we acknowledge the potential of CIEN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None.
Yahoo
4 days ago
- Business
- Yahoo
Raymond James Lifts Ciena Corporation (CIEN)'s Price Target To $83, Maintains Outperform Rating
On Thursday, analysts at Raymond James raised Ciena Corporation (NYSE:CIEN)'s price target to $83 from $79, while maintaining an Outperform rating for the stock. The revised price target represents a 14% upside potential from its current trading value. A team of telecom engineers discussing a communication infrastructure diagram. Raymond James' adjustment follows Ciena Corporation (NYSE:CIEN)'s Q2 FY25 earnings call on June 5, in which the company reported revenue of $1.13 billion, up 23.6% year-over-year, driven by accelerating demand in cloud and AI. However, Ciena Corporation (NYSE:CIEN)'s adjusted earnings per share of $0.42 missed analysts' estimates by 9 cents, overshadowing the impressive revenue growth. The company's gross margin also declined to 41% from 43.5% in the prior year's quarter. Shares crashed nearly 13% on Wednesday to close at $73.05. Despite disappointing investors, the stock has demonstrated remarkable strength over the past year, gaining over 51% during the period. Raymond James analysts remain confident about the company's growth prospects, given its technology leadership and favorable market trends. They expressed optimism about Ciena Corporation (NYSE:CIEN)'s long-term potential, citing its strong strategic position in the industry. Ciena Corporation (NYSE:CIEN) is a network technology company that provides hardware, software, and services to a range of network operators. While we acknowledge the potential of CIEN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: ChatGPT Stock Advice: Top 12 Stock Recommendations and 10 Cheap Rising Stocks to Buy Right Now. Disclosure: None.
Yahoo
5 days ago
- Business
- Yahoo
Ciena shares fall as Q2 earnings miss overshadows revenue beat
-- Ciena Corporation reported mixed fiscal second-quarter results on Thursday, with earnings falling short of analyst expectations despite better-than-anticipated revenue. The networking systems company's shares dropped 5.2% following the announcement. For the quarter ended May 3, 2025, Ciena (NYSE:CIEN) posted adjusted earnings per share of $0.42, missing the analyst consensus of $0.51. However, revenue came in at $1.13 billion, surpassing estimates of $1.09 billion and representing a 23.6% increase YoY from $910.8 million. The company's revenue growth was primarily driven by its Optical Networking segment, which saw sales jump to $773.6 million from $560.2 million in the same quarter last year. However, Ciena's gross margin declined to 41% on a non-GAAP basis, down from 43.5% in the prior-year period. CEO Gary Smith commented on the results, stating, "Our strong fiscal second quarter results demonstrate our continued global leadership in high-speed connectivity with growing momentum across all of our business segments." Despite the earnings miss, Ciena reported improved cash flow from operations, which totaled $156.9 million for the quarter. The company also continued its share repurchase program, buying back approximately 1.2 million shares for $84.3 million. Looking ahead, Ciena expressed confidence in its growth prospects, citing accelerating demand driven by cloud and AI technologies. Related articles Ciena shares fall as Q2 earnings miss overshadows revenue beat Silver mining stocks surge as spot silver hits 13-year high Bernstein upgrades Texas Instruments as margin pressures ease Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
02-06-2025
- Business
- Yahoo
CIEN's Q2 Earnings on Deck: Should Investors Expect a Beat This Time?
Ciena Corporation CIEN is scheduled to report second-quarter fiscal 2025 results on June 5, before market Zacks Consensus Estimate for earnings is pegged at 52 cents per share, implying a 92.6% increase from the year-ago consensus estimate for revenues is pegged at $1.1 billion, suggesting a 20.3% rise from the prior-year level. For the fiscal second quarter, management expects revenues to be in the range of $1.05 billion to $1.13 earnings surpassed the Zacks Consensus Estimate in three of the last four quarters while lagging in one. It delivered a trailing four-quarter earnings surprise of 40%, on average. Shares of the company have soared 67.1% in the past year compared with the Zacks Fiber Optics industry's growth of 33.2%. Image Source: Zacks Investment Research Ongoing demand for high-speed connectivity driven by artificial intelligence (AI) and cloud services is likely to have aided Ciena's top-line performance in the fiscal second quarter. The proliferation of AI applications and increased cloud adoption are driving substantial network traffic, benefiting Ciena's core offerings. The company continues to witness strong, broad-based momentum across its portfolio of critical technologies serving both service provider and cloud provider is strategically positioned to benefit from the ongoing investments in AI and cloud infrastructure. Its optical networking solutions are essential for high-speed data transmission between data centers, a critical requirement for AI workloads. Continued advancements in optical networking technologies position Ciena favorably in the market. We estimate sales from optical networking to reach $678.8 million in the fiscal second quarter, up 21% year over year. The surging adoption of Blue Planet software is another tailwind. We expect revenues from Blue Planet Automation Software and Services to climb 50% year over year to $21.8 million in the quarter. Ciena's interconnects portfolio is also gaining momentum and offers strong growth potential, especially with AI in metro data center campuses and future in-data center use. Interconnects refer to tech that connects and links data centers, including pluggables and WaveLogic portfolio is key to building top-tier network backbones for the AI and cloud economy, both on land and undersea. Its WaveLogic 6 Extreme technology is gaining traction, with 20 new customers added in the fiscal first quarter, indicating strong market acceptance. Management plans to launch its 800G WaveLogic 6 nano pluggable in the first half of fiscal 2025, with deployments later for Metro DCI use. It also supports the first 1.6T Coherent-Lite solution for 2–20 km campus use, set for 2026. Ciena Corporation price-eps-surprise | Ciena Corporation Quote However, potential disruptions due to tariffs and global macroeconomic uncertainties could adversely impact supply chains and customer spending patterns. Heavy reliance on a few customers and intense competition in the communications networking equipment, software and services market are likely to have weighed on CIEN's performance in the fiscal second the fiscal second quarter, revenues from Global Services and Platform Software and Services are pegged at $156.3 million and $117.9 million, up 16.1% and 38% year over year. In May 2025, Ciena's Blue Planet software was adopted by Telefonica Germany to create one of Europe's first public cloud platforms for network automation and 5G monetization. The software helps manage and automate the network, including tools for inventory, orchestration and 5G network slicing, supporting Telefonica's IT and network Planet was also leveraged by Swisscom to modernize its assurance systems. Blue Planet's Unified Assurance and Analytics (UAA) will help manage faults and performance across Swisscom's network, starting with access and transport, and later covering mobile backhaul and B2B March 2025, Ciena and Lumen Technologies completed a successful trial of a 1.2 terabit wavelength service throughout 3,050 kilometers (more than 1,800 miles) on Lumen's Ultra-Low-Loss fiber network. This achievement marks the longest 1.2 terabit non-regenerated signal ever recorded. Our proven model predicts an earnings beat for CIEN in this earnings season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is exactly the case has an Earnings ESP of +20.10% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. Here are some companies which, according to our model, also have the right combination of elements to post an earnings beat this season:Dollar Tree DLTR currently has an Earnings ESP of +5.49% and a Zacks Rank of 3. The company is likely to register top and bottom-line declines when it reports first-quarter fiscal 2025 results on June 4. The consensus mark for DLTR's quarterly revenues is pegged at $4.5 billion, which indicates a plunge of 40.5% from the figure reported in the prior-year quarter. You can see the complete list of today's Zacks #1 Rank stocks Zacks Consensus Estimate for Dollar Tree's earnings has moved up a couple of cents to $1.20 per share in the past 30 days. The consensus estimate indicates a drop of 16.1% from the year-ago quarter's actual. DLTR delivered a negative trailing four-quarter earnings surprise of 8.4%, on General Corporation DG currently has an Earnings ESP of +2.64% and a Zacks Rank #3. The Zacks Consensus Estimate for first-quarter fiscal 2025 earnings per share has increased a penny in the past 30 days to $1.47, implying a 10.9% year-over-year decline. DG is slated to release quarterly results on June Zacks Consensus Estimate for quarterly revenues is pegged at $10.3 billion, which indicates an increase of 3.7% from the figure reported in the prior-year quarter. DG delivered a trailing four-quarter earnings surprise of 1.2%, on athletica LULU currently has an Earnings ESP of +1.82% and a Zacks Rank of 3. LULU is slated to report first-quarter fiscal 2025 results on June 5. The Zacks Consensus Estimate for its quarterly revenues is pegged at $2.4 billion, indicating 6.6% growth from the figure reported in the year-ago consensus estimate for LULU's earnings has been pegged at $2.58 per share, indicating a drop of 1.6% from the year-ago quarter's actual. LULU has a trailing four-quarter earnings surprise of 6.6%, on average. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dollar General Corporation (DG) : Free Stock Analysis Report Dollar Tree, Inc. (DLTR) : Free Stock Analysis Report Ciena Corporation (CIEN) : Free Stock Analysis Report lululemon athletica inc. (LULU) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
