At the last check on Friday, Ciena Corporation’s (NYSE:CIEN) stock was up $0.85, moving up 2.07 percent to $41.97. The average number of shares traded per day over the past five days has been 1,372,536 shares. 2 times new highs have been achieved over the past 5 days, with a $0.27 gain in that time frame. In the last twenty days, the average volume was 1,896,439, while in the previous 50 days, it was 2,224,300.
Since last month, CIEN stock retreated -0.99%. Shares of the company fell to $40.58 on 07/14/23, the lowest level in the past month. A 52-week high of $56.38 was reached on 03/06/23 after having rallying from a 52-week low of $38.33. Since the beginning of this year, CIEN’s stock price has dropped by -17.67% or -$9.13, and marked a new high 3 times. However, the stock has declined by -25.56% since its 52-week high.
CIEN stock investors should be aware that Ciena Corporation (CIEN) stock had its last reported insider trading activity 3 days ago on Aug 01. SMITH GARY B, the President, CEO of the company, disposed of 4,166 shares for $42.11 on Aug 01. It resulted in a $175,436 divestment by the insider. SMITH GARY B sold 4,166 shares at an average price of $41.68 on Jul 17. The insider now owns 445,273 shares following the transaction. On Jul 17, SVP, Networking Platforms McFeely Scott sold 2,000 shares at $41.20 apiece. The transaction was valued at $82,400.
Valuation Metrics
Right now, Ciena Corporation (CIEN) has a P/E ratio of about 31.09. The stock’s beta is 0.94. Besides these, the trailing price-to-sales (P/S) ratio of 1.62, the price-to-book (PB) ratio of 2.16.
Financial Health
In the three months ended April 29, Ciena Corporation’s quick ratio stood at 2.60, while its current ratio was 3.70, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending April 29 was 0.53, and the total debt-to-equity ratio was 0.54. On the profitability front, the trailing twelve-month gross margin is 42.60% percent. In the year ended April 29, EBITDA margin amounted to 10.94%, whereas operating margins totaled 7.30%. Based on annual data, CIEN earned $1.56 billion in gross profit and brought in $3.63 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 5.00%. Return on equity (ROE) for the past 12 months was 7.30%.
In Ciena Corporation’s quarter-end financial report for April 29, it reported total debt of $1.55 billion against cash and short-term investments of $150.46 million. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. CIEN’s revenue rose 16.19% to $1.06 billion during the quarter, while net income inched up to $1.13 billion. While analysts expected Ciena Corporation to report $0.61 quarterly earnings, the actual figure was $0.74 per share, beating the consensus estimate by 21.30%. During the quarter, the company generated $139.78 million in EBITDA. The liabilities of Ciena Corporation were 2.87 billion at the end of its most recent quarter ended April 29, and its total debt was $1.62 billion. The value of shareholders’ equity is $149.5 million.
Technical Picture
This quick technical analysis looks at Ciena Corporation’s (CIEN) price momentum. With a historical volatility rate of 27.91%, the RSI 9-day stood at 46.08% on 03 August.
With respect to its five-day moving average, the current Ciena Corporation price is up by +0.66% percent or $0.27. At present, CIEN shares trade -3.09% below its 20-day simple moving average and -15.75% percent below its 100-day simple moving average. However, the stock is currently trading approximately -8.01% below its SMA50 and +3.55% above its SMA200.
Stochastic coefficient K was 25.64% and Stochastic coefficient D was 31.18%, while ATR was 1.07. Given the Stochastic reading of 32.01% for the 14-day period, the RSI (14) reading has been calculated as 45.95%. As of today, the MACD Oscillator reading stands at -0.59, while the 14-day reading stands at -0.58.
Analyst Ratings
Ciena Corporation downgraded its rating on Ciena Corporation (NYSE: CIEN) to an Equal-weight in a note to investors on March 29, 2023. The analysts firm previously had an Overweight rating on the stock.Ciena Corporation (CIEN) has been rated Overweight by analysts. According to 0 brokerage firms, CIEN is a sell, and 5 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 2 analysts rate Ciena Corporation stock as buy, with 9 recommending it as overweight.
With a median target price of $58.00, the current consensus forecast for the stock is $41.00 – $70.00. Based on these forecasts, analysts predict Ciena Corporation (CIEN) will achieve an average price target of $56.28.
