VIAV Launches New Optical & Ethernet Testing Solution: Stock to Gain?
Viavi Solutions Inc. VIAV recently launched a new optical connector inspection solution designed specifically for its next-generation transceivers. Dubbed FVAM-2000, this latest addition to its benchtop microscopy line, along with other optical and Ethernet testing solutions, will be showcased at Europe's largest exhibition in the optical communication technology sector, ECOC 2024, in Germany later this month.
The FVAM-2000 will likely cater to the growing demand for advanced inspection test methods for parallel optic connectors, particularly multi-fiber push-on connectors and other new bulkhead connectors designed into 800G formats such as the octal small form factor pluggable and quad small form factor pluggable.
The cutting-edge solution features a user-friendly connector interface that promises to enhance operational efficiency by ensuring seamless integration into existing manufacturing workflows. Additionally, it will leverage Viavi's next-generation panoptic microscope engine to deliver brighter images with higher contrast and improved panning speed.
At the exhibition, Viavi will also demonstrate its recently announced ONE-1600, a 1.6Tb/s Ethernet test module to meet the testing and validation requirements of the emerging 1.6Tb/s ecosystem. This comprehensive testing system, part of its state-of-the-art ONE LabPro platform, is expected to support advancements in AI, machine learning, quantum computing and high-performance computing applications. Moreover, the ONT-800 Optical Network Testing platform will be featured, showcasing its ZR and ZR+ capable ONT 800G Flex XPM Module.
Will the Innovative Solutions Drive VIAV’s Stock Performance?
Viavi’s strategy of expansion in various markets such as wireless & fiber, 3D sensing products, optical transport, Ethernet, broadband access, video test and storage network testing is likely to bring long-term benefits. By participating in this exhibition, Viavi aims to showcase its ongoing investment and improvement in industry-standard platforms.
In addition to the above-mentioned solutions, the company will also demonstrate INX 760, the industry’s first fully automated probe microscope, for efficient inspection of fiber connectors. Viavi customers, including Coherent and InnoLight, will likely utilize the ONT in their respective displays to demonstrate the performance of their latest technologies.
This move underscores Viavi’s continued dedication toward boosting its offerings, which, in turn, will likely generate incremental demands for its testing solutions, leading to higher revenues. Improving financial performance is likely to propel the stock upward.
VIAV’s Stock Price Performance
Shares of Viavi have lost 13.4% over the past year against the industry’s growth of 70.6%.
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VIAV’s Zacks Rank and Key Picks
Viavi currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader industry have been discussed below.
Ubiquiti Inc. UI carries a Zacks Rank #2 (Buy) at present. The company offers a comprehensive suite of networking products and solutions for service providers and enterprises. Its highly flexible global business model remains apt to adapt to the changing market dynamics to overcome challenges while maximizing growth. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Its excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved UI’s visibility for future demand and inventory management techniques. In the last reported quarter, Ubiquiti delivered an earnings surprise of 4.19%.
Workday Inc. WDAY carries a Zacks Rank #2 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%. WDAY is a leading provider of enterprise-level software solutions for financial management and human resource domains.
Airgain, Inc. AIRG currently carries a Zacks Rank #2. It has a long-term earnings growth expectation of 35%.
Based in San Diego, CA, Airgain provides antenna products as integrated wireless solutions. These devices are designed to address vital connectivity requirements during product development and throughout the entire lifecycle of other industries, such as automotive and consumer, in addition to various sectors within an enterprise.
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