Lazard Remains Cautious on Ciena (CIEN); Would Like Increased Visibility Into Revs, GM
Lazard Capital is maintaining a cautious view on Ciena (Nasdaq: CIEN) following strong Q2 results and guidance. The firm has a Neutral rating on the stock.
Analyst Ryan Hutchinson said that Ciena is benefiting from "improved carrier spending trends." Activity levels in North America remain positive and revenue trends in the region are accelerating. Europe is beginning to stabilize and early indications point to a bottom in the region.
Hutchinson noted, "While we continue to have a positive bias towards Ciena's technology and market positioning, we look for increased visibility into the timing of revenue conversion, sustainable gross margin expansion, and operating leverage before becoming more constructive on the shares."
For FY13, EPS expectations move from $0.43 to $0.57, FY14 moves from $0.98 to $1.12.
Ciena shares are up 16 percent on the session.
For an analyst ratings summary and ratings history on CIENA click here. For more ratings news on CIENA click here.
Shares of CIENA closed at $16.31 yesterday, with a 52 week range of $11.96-$18.39.
Analyst Ryan Hutchinson said that Ciena is benefiting from "improved carrier spending trends." Activity levels in North America remain positive and revenue trends in the region are accelerating. Europe is beginning to stabilize and early indications point to a bottom in the region.
Hutchinson noted, "While we continue to have a positive bias towards Ciena's technology and market positioning, we look for increased visibility into the timing of revenue conversion, sustainable gross margin expansion, and operating leverage before becoming more constructive on the shares."
For FY13, EPS expectations move from $0.43 to $0.57, FY14 moves from $0.98 to $1.12.
Ciena shares are up 16 percent on the session.
For an analyst ratings summary and ratings history on CIENA click here. For more ratings news on CIENA click here.
Shares of CIENA closed at $16.31 yesterday, with a 52 week range of $11.96-$18.39.