Ciena Corporation (CIEN) Downgraded to Hold at Zacks Investment Research
Ciena Corporation (NYSE:CIEN) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Friday.
According to Zacks, “Ciena reported impressive third-quarter fiscal 2017 results. Both earnings and revenues were better than the Zacks Consensus Estimate and improved on a year-over-year basis. The results showed that the company’s diversified product portfolio is helping it to expand its customer base. We note that Ciena’s WaveServer platform gained significant traction in the reported quarter. The company is well poised to gain in the optical data center interconnect (DCI) market. Besides developing 5G technologies for service providers and Fiber Deep cable MSO customers, the company will also have a positive role to play in further fiber densification of the network. Moreover, strong international growth opportunity particularly in the Asia-Pacific market is positive in our view. However, intensifying competition, uncertainty related to government business and macroeconomic volatility are major headwinds.”
A number of other equities research analysts have also weighed in on CIEN. Stifel Nicolaus upgraded shares of Ciena Corporation from a “hold” rating to a “buy” rating and boosted their price objective for the stock from $24.00 to $28.00 in a report on Monday, May 22nd. Deutsche Bank AG lowered shares of Ciena Corporation from a “buy” rating to a “hold” rating and lowered their price objective for the stock from $24.35 to $23.00 in a report on Wednesday, May 24th. B. Riley restated a “buy” rating and issued a $34.25 price objective on shares of Ciena Corporation in a report on Tuesday, May 30th. Cowen and Company restated an “outperform” rating and issued a $35.00 price objective on shares of Ciena Corporation in a report on Tuesday, May 30th. Finally, Drexel Hamilton upgraded shares of Ciena Corporation from a “hold” rating to a “buy” rating in a report on Thursday, June 1st. One analyst has rated the stock with a sell rating, five have issued a hold rating, twenty have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Ciena Corporation presently has a consensus rating of “Buy” and an average price target of $29.79.
Ciena Corporation (NYSE:CIEN) opened at 21.65 on Friday. Ciena Corporation has a 52-week low of $18.94 and a 52-week high of $27.98. The firm has a market capitalization of $3.07 billion, a PE ratio of 28.60 and a beta of 1.68. The company’s 50-day moving average is $24.37 and its 200-day moving average is $24.32.
Ciena Corporation (NYSE:CIEN) last announced its earnings results on Thursday, August 31st. The communications equipment provider reported $0.51 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.49 by $0.02. Ciena Corporation had a net margin of 4.99% and a return on equity of 25.53%. The business had revenue of $728.70 million during the quarter, compared to analyst estimates of $726.81 million. During the same period in the previous year, the business posted $0.42 earnings per share. Ciena Corporation’s revenue for the quarter was up 8.7% on a year-over-year basis. Analysts forecast that Ciena Corporation will post $1.74 EPS for the current fiscal year.
In other news, VP Andrew C. Petrik sold 1,258 shares of the company’s stock in a transaction dated Tuesday, August 15th. The shares were sold at an average price of $24.44, for a total value of $30,745.52. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CEO Gary B. Smith sold 12,558 shares of the company’s stock in a transaction dated Wednesday, June 21st. The stock was sold at an average price of $25.31, for a total transaction of $317,842.98. The disclosure for this sale can be found here. Over the last three months, insiders have sold 77,108 shares of company stock worth $1,945,437. Insiders own 1.45% of the company’s stock.
Several large investors have recently added to or reduced their stakes in the company. Commonwealth of Pennsylvania Public School Empls Retrmt SYS grew its position in shares of Ciena Corporation by 0.3% in the 2nd quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 20,690 shares of the communications equipment provider’s stock worth $518,000 after buying an additional 58 shares during the period. Capstone Asset Management Co. grew its position in shares of Ciena Corporation by 1.3% in the 2nd quarter. Capstone Asset Management Co. now owns 10,490 shares of the communications equipment provider’s stock worth $262,000 after buying an additional 130 shares during the period. Nisa Investment Advisors LLC grew its position in shares of Ciena Corporation by 1.9% in the 2nd quarter. Nisa Investment Advisors LLC now owns 10,740 shares of the communications equipment provider’s stock worth $269,000 after buying an additional 200 shares during the period. World Asset Management Inc grew its position in shares of Ciena Corporation by 2.8% in the 2nd quarter. World Asset Management Inc now owns 8,935 shares of the communications equipment provider’s stock worth $224,000 after buying an additional 243 shares during the period. Finally, Teacher Retirement System of Texas grew its position in shares of Ciena Corporation by 2.7% in the 2nd quarter. Teacher Retirement System of Texas now owns 11,289 shares of the communications equipment provider’s stock worth $282,000 after buying an additional 300 shares during the period.
Ciena Corporation Company Profile
Ciena Corporation is a network strategy and technology company, which provides solutions that enable a range of network operators to adopt communication architectures and deliver an array of services, relied upon by enterprise and consumer end users. It provides equipment, software and services that support the transport, switching, aggregation, service delivery and management of voice, video and data traffic on communications networks.
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