Ciena (CIEN) Upgraded to “Outperform” at Northland Securities
Northland Securities upgraded shares of Ciena (NYSE:CIEN) from a market perform rating to an outperform rating in a research note issued to investors on Monday, AnalystRatings.com reports. They currently have $42.00 target price on the communications equipment provider’s stock.
“We are upgrading CIEN shares to OP from MP and increasing our PT from $34 to $42, based on both a recent deep dive into emerging 600G/800G coherent optical technology, discussed further in an associated industry note, that included a discussion with CIEN management last week in addition to multiple competitors as well as the recent and fairly dramatic underperformance of CIEN shares relative to ACIA and the broader 100G+ optical group, bringing valuation into a more attractive range.”,” Northland Securities’ analyst commented.
CIEN has been the subject of several other research reports. B. Riley boosted their target price on shares of Ciena from $42.20 to $48.00 and gave the company a buy rating in a research note on Wednesday, March 6th. Zacks Investment Research raised shares of Ciena from a hold rating to a strong-buy rating and set a $46.00 target price for the company in a research note on Friday, March 8th. Dougherty & Co boosted their target price on shares of Ciena from $40.00 to $50.00 and gave the company a buy rating in a research note on Wednesday, March 6th. MKM Partners upped their price objective on shares of Ciena to $49.00 and gave the company a buy rating in a research note on Wednesday, March 6th. Finally, Bank of America downgraded shares of Ciena from a buy rating to a neutral rating and set a $42.00 price objective for the company. in a research note on Wednesday, January 30th. They noted that the move was a valuation call. Nine equities research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has given a strong buy rating to the company’s stock. Ciena currently has a consensus rating of Buy and an average price target of $42.30.
Ciena (NYSE:CIEN) last announced its earnings results on Tuesday, March 5th. The communications equipment provider reported $0.27 earnings per share for the quarter, beating the consensus estimate of $0.21 by $0.06. Ciena had a net margin of 5.03% and a return on equity of 10.73%. The firm had revenue of $778.53 million during the quarter, compared to the consensus estimate of $761.62 million. During the same quarter in the previous year, the company posted $0.15 EPS. The firm’s revenue for the quarter was up 20.5% on a year-over-year basis. On average, analysts expect that Ciena will post 1.54 EPS for the current year.
In related news, CEO Gary B. Smith sold 9,600 shares of the stock in a transaction that occurred on Tuesday, April 9th. The shares were sold at an average price of $37.21, for a total transaction of $357,216.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP James Frodsham sold 2,000 shares of the stock in a transaction that occurred on Friday, April 12th. The stock was sold at an average price of $37.40, for a total transaction of $74,800.00. The disclosure for this sale can be found here. In the last three months, insiders have sold 196,322 shares of company stock valued at $7,782,170. Corporate insiders own 1.20% of the company’s stock.
A number of institutional investors and hedge funds have recently bought and sold shares of CIEN. Janus Henderson Group PLC increased its position in Ciena by 30.5% during the 3rd quarter. Janus Henderson Group PLC now owns 11,796 shares of the communications equipment provider’s stock worth $369,000 after purchasing an additional 2,757 shares in the last quarter. Tower Research Capital LLC TRC boosted its holdings in Ciena by 498.7% in the 3rd quarter. Tower Research Capital LLC TRC now owns 8,555 shares of the communications equipment provider’s stock worth $268,000 after acquiring an additional 7,126 shares during the period. Renaissance Technologies LLC boosted its holdings in Ciena by 493.9% in the 3rd quarter. Renaissance Technologies LLC now owns 1,232,195 shares of the communications equipment provider’s stock worth $38,494,000 after acquiring an additional 1,024,721 shares during the period. Dynamic Technology Lab Private Ltd purchased a new position in Ciena in the 3rd quarter worth approximately $240,000. Finally, BlueMountain Capital Management LLC purchased a new position in Ciena in the 3rd quarter worth approximately $703,000. 93.44% of the stock is owned by hedge funds and other institutional investors.
Ciena Company Profile
Ciena Corp. engages in the provision of network and communication infrastructure. It operates through the following segments: Converged Packet Optical; Packet Networking; Optical Transport; and Software and Services. The Converged Packet Optical segment develops and sells optical processors, switching systems, and operating system software.
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