CIEN Stock Analysis: Ciena | NYSE
Communication Equipment | NYSE, USA | Market Cap: 67.875m USD | 12M Return: 419.1% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 1.82B
EPS Trend: 5.5%
Qual. Beats: 1
Rev. Trend: 71.0%
Qual. Beats: 6
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Ciena Corporation (NYSE: CIEN) is a U.S.-based network technology company that supplies hardware, software, and services to network operators across the Americas, Europe, the Middle East, Africa, Asia Pacific, Japan, and India. Founded in 1992 and headquartered in Hanover, Maryland, Ciena operates through four reporting segments: Networking Platforms (optical networking, routing, and switching products), Platform Software and Services (network control software and related support), Blue Planet Automation Software and Services (orchestration, analytics, and assurance software), and Global Services (advisory, implementation, and maintenance).
As part of the Information Technology sector within the Communications Equipment sub-industry, Ciena primarily serves telecom carriers, cable operators, and cloud/data center providers. Its portfolio is anchored by optical transport and coherent interconnect technologies that carry the majority of long-haul and metro internet backbone traffic, with growing exposure to software-defined networking and network automation through its Blue Planet platform. This positioning ties the companys revenue cycle to enterprise and service-provider capital spending on broadband, 5G backhaul, and data center interconnect capacity.
- AI data center buildout accelerates coherent optical demand
- Nokia-Infinera merger intensifies optical networking competition
- Telecom carrier capex recovery remains uncertain in 2025
| Net Income: 438.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 8.63 > 1.0 |
| NWC/Revenue: 40.57% < 20% (prev 59.03%; Δ -18.45% < -1%) |
| CFO/TA 0.17 > 3% & CFO 1.03b > Net Income 438.3m |
| Net Debt (427.2m) to EBITDA (730.8m): 0.58 < 3 |
| Current Ratio: 2.73 > 1.5 & < 3 |
| Outstanding Shares: last quarter (146.3m) vs 12m ago 0.93% < -2% |
| Gross Margin: 43.05% > 18% (prev 41.94%; Δ 1.10% > 0.5%) |
| Asset Turnover: 95.21% > 50% (prev 75.35%; Δ 19.85% > 0%) |
| Interest Coverage Ratio: 6.29 > 6 (EBIT TTM 546.9m / Interest Expense TTM 87.0m) |
| A: 0.37 (Total Current Assets 3.57b - Total Current Liabilities 1.31b) / Total Assets 6.04b |
| B: -0.46 (Retained Earnings -2.80b / Total Assets 6.04b) |
| C: 0.09 (EBIT TTM 546.9m / Avg Total Assets 5.85b) |
| D: 0.92 (Book Value of Equity 2.89b / Total Liabilities 3.15b) |
| Altman-Z'' = 2.54 = A |
| DSRI: 0.75 (Receivables 1.05b/1.08b, Revenue 5.57b/4.26b) |
| GMI: 0.97 (GM 41.94% / 43.05%) |
| AQI: 1.34 (AQ_t 0.40 / AQ_t-1 0.30) |
| SGI: 1.31 (Revenue 5.57b / 4.26b) |
| TATA: -0.10 (NI 438.3m - CFO 1.03b) / TA 6.04b) |
| Beneish M = -2.85 (Cap -4..+1) = A |
As of July 05, 2026, the stock is trading at USD 422.46 with a total of 2,155,600 shares traded. Over the past week, the price has changed by -12.84%, over one month by -31.90%, over three months by -2.72% and over the past year by +419.12%.
Current recommended Stop Loss: 332.30 (which is 21.3% or 2.5 ATR below the current price).
Ciena has received a consensus analysts rating of 4.13. Therefore, it is recommended to buy CIEN.
- StrongBuy: 7
- Buy: 4
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 565.7 | 33.9% |
P/E Trailing = 158.7748
P/E Forward = 72.9927
P/S = 12.1876
P/B = 23.468
P/EG = 1.042
Revenue TTM = 5.57b USD
EBIT TTM = 546.9m USD
EBITDA TTM = 730.8m USD
Long Term Debt = 1.52b USD (from longTermDebt, last quarter)
Short Term Debt = 29.0m USD (from shortTermDebt, last quarter)
Debt = 1.63b USD (from shortLongTermDebtTotal, last quarter) + Leases 49.5m
Net Debt = 427.2m USD (calculated: Debt 1.63b - CCE 1.20b)
Enterprise Value = 68.3b USD (67.9b + Debt 1.63b - CCE 1.20b)
Interest Coverage Ratio = 6.29 (Ebit TTM 546.9m / Interest Expense TTM 87.0m)
EV/FCF = 82.03x (Enterprise Value 68.3b / FCF TTM 832.7m)
FCF Yield = 1.22% (FCF TTM 832.7m / Enterprise Value 68.3b)
FCF Margin = 14.95% (FCF TTM 832.7m / Revenue TTM 5.57b)
Net Margin = 7.87% (Net Income TTM 438.3m / Revenue TTM 5.57b)
Gross Margin = 43.05% ((Revenue TTM 5.57b - Cost of Revenue TTM 3.17b) / Revenue TTM)
Gross Margin QoQ = 44.03% (prev 43.83%)
Tobins Q-Ratio = 11.31 (Enterprise Value 68.3b / Total Assets 6.04b)
Interest Expense / Debt = 5.34% (Interest Expense 87.0m / Debt 1.63b)
Taxrate = 8.85% (42.6m / 480.9m)
NOPAT = 498.5m (EBIT 546.9m * (1 - 8.85%))
Current Ratio = 2.73 (Total Current Assets 3.57b / Total Current Liabilities 1.31b)
Debt / Equity = 0.56 (Debt 1.63b / totalStockholderEquity, last quarter 2.89b)
Debt / EBITDA = 0.58 (Net Debt 427.2m / EBITDA 730.8m)
Debt / FCF = 0.51 (Net Debt 427.2m / FCF TTM 832.7m)
Total Stockholder Equity = 2.80b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.49% (Net Income 438.3m / Total Assets 6.04b)
RoE = 15.65% (Net Income TTM 438.3m / Total Stockholder Equity 2.80b)
RoCE = 12.66% (EBIT 546.9m / Capital Employed (Equity 2.80b + L.T.Debt 1.52b))
RoIC = 11.12% (NOPAT 498.5m / Invested Capital 4.48b)
WACC = 13.98% (E(67.9b)/V(69.5b) * Re(14.20%) + D(1.63b)/V(69.5b) * Rd(5.34%) * (1-Tc(0.09)))
Discount Rate = 14.20% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 15.56 | Cagr: 0.14%
[DCF] Terminal Value 61.95% ; FCFF base≈616.4m ; Y1≈706.5m ; Y5≈1.04b
[DCF] Fair Price = 52.01 (EV 7.79b - Net Debt 427.2m = Equity 7.36b / Shares 141.6m; r=13.98% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 5.48 | EPS CAGR: 3.15% | SUE: 0.96 | # QB: 1
Revenue Correlation: 71.00 | Revenue CAGR: 8.19% | SUE: 4.0 | # QB: 6
EPS current Quarter (2026-07-31): EPS=1.72 | Chg30d=+9.09% | Revisions=+84% | Analysts=16
EPS current Year (2026-10-31): EPS=6.54 | Chg30d=+4.85% | Revisions=+77% | GrowthEPS=+147.7% | GrowthRev=+32.7%
EPS next Year (2027-10-31): EPS=9.64 | Chg30d=+10.48% | Revisions=+85% | GrowthEPS=+47.4% | GrowthRev=+26.6%
[Analyst] Revisions Ratio: +91% (up=51, down=1)