Viavi Solutions (NASDAQ:VIAV) Stock Price Up 9.8% – Here’s What Happened

Viavi Solutions Inc. (NASDAQ:VIAV) shares shot up 9.8% during mid-day trading on Wednesday . The stock traded as high as $41.94 and last traded at $42.1440. Approximately 551,872 shares changed hands during mid-day trading, a decline of 91% from the average session volume of 6,291,437 shares. The stock had previously closed at $38.40.

More Viavi Solutions News

Here are the key news stories impacting Viavi Solutions this week:

• Positive Sentiment: Demand from AI data centers is benefiting Viavi’s network testing and assurance business. Recent results showed revenue up 52.5% year over year to $443.1 million, while adjusted earnings of $0.34 per share exceeded consensus by $0.04. Expanding margins and new testing capabilities could sustain the earnings acceleration. Viavi Solutions Gains From AI Infrastructure Demand as Margins Expand
• Positive Sentiment: Northland Securities raised its estimates for fiscal 2027 earnings to $0.38 per share for the second quarter and $0.34 for the third quarter, up from $0.29 and $0.25, respectively. The revisions reinforce the improving earnings outlook. Viavi Solutions analyst estimates
• Positive Sentiment: Viavi introduced Vertex 6.0, which it describes as the first channel emulator for 6G and Wi-Fi 7/8. The platform recreates real-world wireless conditions for testing cellular, Wi-Fi, military and aerospace technologies, potentially strengthening its position in next-generation network equipment. VIAVI Introduces Industry’s First Channel Emulator for 6G and Wi-Fi 7/8
• Neutral Sentiment: Analyst opinion remains mixed. Stifel raised its price target to $65 and B. Riley maintained a buy rating, while UBS cut its target to $44 and stayed neutral. The consensus rating is Moderate Buy, with an average target of $49.88.
• Negative Sentiment: At roughly $43 per share, investors are weighing accelerating growth against a premium valuation. Analysts also cite weak wireless demand and potential dilution, while commentary emphasizes the need to confirm that margin expansion can continue. Viavi Solutions Stock: Is Growth Worth the Premium Valuation Now?
• Negative Sentiment: Viavi’s recent 18.2% three-month pullback highlights lingering concerns about wireless weakness and shareholder dilution despite improving revenue, earnings and margins. An executive’s sale of 1,595 shares is a minor additional sentiment headwind. Viavi Solutions Stock Falls 18.2% in 3 Months: Is it an Opportunity?

Wall Street Analysts Forecast Growth

VIAV has been the topic of several research analyst reports. UBS Group dropped their target price on shares of Viavi Solutions from $60.00 to $44.00 and set a “neutral” rating on the stock in a report on Thursday, August 6th. Wall Street Zen upgraded shares of Viavi Solutions from a “hold” rating to a “buy” rating in a report on Saturday, May 2nd. B. Riley Financial lowered their price objective on shares of Viavi Solutions from $63.00 to $60.00 and set a “buy” rating for the company in a research report on Thursday, August 6th. Needham & Company LLC dropped their price objective on shares of Viavi Solutions from $68.00 to $60.00 and set a “buy” rating on the stock in a report on Thursday, August 6th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $70.00 price objective on shares of Viavi Solutions in a research report on Thursday, August 6th. Six equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $49.88.

Viavi Solutions Stock Performance

The firm has a market cap of $10.06 billion, a price-to-earnings ratio of -286.58 and a beta of 1.21. The stock has a 50-day moving average of $43.31 and a 200-day moving average of $39.71. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.62 and a current ratio of 1.85.

Viavi Solutions (NASDAQ:VIAV) last released its quarterly earnings results on Wednesday, August 5th. The communications equipment provider reported $0.34 earnings per share for the quarter, topping analysts’ consensus estimates of $0.30 by $0.04. Viavi Solutions had a positive return on equity of 19.60% and a negative net margin of 2.00%.The firm had revenue of $443.10 million during the quarter, compared to the consensus estimate of $432.62 million. During the same quarter in the prior year, the firm posted $0.13 EPS. The business’s revenue was up 52.5% on a year-over-year basis. Viavi Solutions has set its Q1 2027 guidance at 0.400-0.420 EPS. As a group, analysts anticipate that Viavi Solutions Inc. will post 1.02 EPS for the current fiscal year.

Insider Buying and Selling

In related news, EVP Paul Mcnab sold 1,595 shares of the firm’s stock in a transaction on Monday, August 10th. The shares were sold at an average price of $37.37, for a total value of $59,605.15. Following the completion of the transaction, the executive vice president owned 13,876 shares of the company’s stock, valued at approximately $518,546.12. This trade represents a 10.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 1.80% of the company’s stock.

Hedge Funds Weigh In On Viavi Solutions

A number of large investors have recently modified their holdings of VIAV. BlackRock Inc. acquired a new stake in shares of Viavi Solutions in the second quarter valued at about $1,228,529,000. Arrowstreet Capital Limited Partnership boosted its position in Viavi Solutions by 431.1% during the third quarter. Arrowstreet Capital Limited Partnership now owns 6,639,682 shares of the communications equipment provider’s stock valued at $84,258,000 after purchasing an additional 5,389,435 shares during the last quarter. Allspring Global Investments Holdings LLC bought a new position in Viavi Solutions in the first quarter valued at approximately $75,294,000. Invesco Ltd. grew its stake in Viavi Solutions by 116.0% in the fourth quarter. Invesco Ltd. now owns 3,809,513 shares of the communications equipment provider’s stock valued at $67,886,000 after purchasing an additional 2,045,702 shares in the last quarter. Finally, Marshall Wace LLP increased its position in shares of Viavi Solutions by 1,011.9% during the 4th quarter. Marshall Wace LLP now owns 2,187,600 shares of the communications equipment provider’s stock worth $38,983,000 after purchasing an additional 1,990,848 shares during the last quarter. 95.54% of the stock is currently owned by institutional investors and hedge funds.

Viavi Solutions Company Profile

Viavi Solutions Inc is a provider of network test, monitoring and assurance solutions for communications service providers, cable operators, enterprises and government agencies. The company offers an extensive portfolio of fiber optic and copper cable test and measurement instruments, wireless network testing equipment and network performance monitoring software. Its products are designed to support the deployment, maintenance and optimization of high-speed broadband, 5G wireless, data center and enterprise networks.

Viavi’s product offerings are organized into two primary segments: Network & Service Enablement and Optical Security & Performance.