Deep Dive Into Ciena Stock: Analyst Perspectives (8 Ratings)

Ciena Corporation -2.42%

Ciena Corporation

CIEN

50.42

-2.42%

8 analysts have expressed a variety of opinions on Ciena (NYSE:CIEN) over the past quarter, offering a diverse set of opinions from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 4 0 0 1
Last 30D 0 1 0 0 0
1M Ago 0 0 0 0 0
2M Ago 0 1 0 0 1
3M Ago 3 2 0 0 0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $60.75, along with a high estimate of $67.00 and a low estimate of $44.00. The average price target has stayed the same, reflecting a consistent view from analysts.

price target chart

Analyzing Analyst Ratings: A Detailed Breakdown

The analysis of recent analyst actions sheds light on the perception of Ciena by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Samik Chatterjee JP Morgan Lowers Overweight $60.00 $67.00
Jim Suva Citigroup Announces Sell $44.00 -
Karl Ackerman Exane BNP Paribas Announces Outperform $57.00 -
Mike Genovese Rosenblatt Maintains Buy $65.00 -
Tim Long Barclays Raises Overweight $63.00 $60.00
Alex Henderson Needham Maintains Buy $65.00 -
Samik Chatterjee JP Morgan Raises Overweight $67.00 $56.00
Alex Henderson Needham Raises Buy $65.00 $60.00

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Ciena. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Ciena compared to the broader market.
  • Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Ciena's stock. This comparison reveals trends in analysts' expectations over time.

Capture valuable insights into Ciena's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Ciena analyst ratings.

About Ciena

Ciena Corp is a network and technology company. It provides network hardware, software, and services that support the transport, switching, aggregation, service delivery, and management of video, data, and voice traffic on communications networks. It serves various industries such as communication services providers, web-scale providers, cable operators, government, and large enterprises world-wide. The business activities function through Networking Platforms; Platform Software and Services; Blue Planet Automation Software, and Global Services segments. Geographically, its presence is seen in the markets of the United States, Canada, the Caribbean, Latin America, Europe, the Middle East, Africa, the Asia Pacific, Japan, and India. The maximum revenue is generated from Americas.

Ciena's Financial Performance

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Negative Revenue Trend: Examining Ciena's financials over 3 months reveals challenges. As of 31 January, 2024, the company experienced a decline of approximately -1.78% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 4.77%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Ciena's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 1.72%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Ciena's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.89%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 0.55, Ciena adopts a prudent financial strategy, indicating a balanced approach to debt management.

How Are Analyst Ratings Determined?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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