Yahoo Finance Ciena (CIEN) Stock Moves -0.04%: What You Should Know
Ciena (CIEN) closed at $47.97 in the latest trading session, marking a -0.04% move from the prior day. At the same time, the Dow lost 0.15%, and the tech-heavy Nasdaq lost 2.33%.
Heading into today, shares of the developer of high-speed networking technology had gained 3.9% over the past month, lagging the Computer and Technology sector's gain of 9.73% and outpacing the S&P 500's gain of 1.03% in that time.
Ciena will be looking to display strength as it nears its next earnings release, which is expected to be June 6, 2023. In that report, analysts expect Ciena to post earnings of $0.60 per share. This would mark year-over-year growth of 20%. Our most recent consensus estimate is calling for quarterly revenue of $1.08 billion, up 13.76% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.81 per share and revenue of $4.4 billion. These totals would mark changes of +47.89% and +21.25%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Ciena. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Ciena is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, Ciena is currently trading at a Forward P/E ratio of 17.06. This represents a no noticeable deviation compared to its industry's average Forward P/E of 17.06.
Also, we should mention that CIEN has a PEG ratio of 1.14. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Fiber Optics stocks are, on average, holding a PEG ratio of 1.14 based on yesterday's closing prices.
The Fiber Optics industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 9, which puts it in the top 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CIEN in the coming trading sessions, be sure to utilize Zacks.com.
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Ciena Corporation (CIEN) : Free Stock Analysis Report
