Ciena's Q3 revenue beats on optical networking strength
CIEN•Analyst view and valuation
The current average analyst rating on the shares is "buy", with 14 strong buy or buy ratings, 6 hold ratings and no sell or strong sell ratings.
The average consensus recommendation for the communications and networking peer group is "buy".
Wall Street's median 12-month price target for Ciena Corporation is $562.50, about 58.8% above its Sept. 2 closing price of $354.16.
The stock recently traded at 39 times the next 12-month earnings, versus a P/E of 76 three months ago.
Drivers behind the results
The company said increased demand for high-speed connectivity solutions, as AI drives greater network investment, boosted results.
CFO Marc Graff said expanding supply capacity supported profitability.
Most of the revenue growth came from the optical networking segment.
Outlook for Q4 and full year
Ciena sees fiscal fourth-quarter revenue at $1.75 billion, plus or minus .
