Ciena Tops Earnings Estimates, Stock Cycles Point Higher

Ciena Corp (NASDAQ:CIEN) traded a whopping 16% higher on Thursday morning, after posting earnings that smashed analyst estimates.

The telecommunications supplier reported earnings per share of $0.48 and total revenue of $819 million, compared to Wall Street expectations of $0.36 and $729 million.

Sales of networking platforms helped its performance, rising to $677 million and beating expectations.

“With our diversification, global scale and innovation leadership, we remain confident in our ability to achieve our three-year financial targets,” explained CEO Gary Smith. The company’s guidance for the coming quarter was in line with with analyst projections.

Looking at the stock chart, the market cycles for CIEN indicate that it has begun the rising phase of its new cycle. In fact, Ciena’s stock price has recently formed positive patterns, suggesting higher prices yet.

While Ciena’s stock has reached a point of some resistance, we have raised our target to $36 or higher with a timeline into early next year.

Ciena (CIEN) Stock Chart with Weekly Bars

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