Overview

• Ciena fiscal Q4 revenue up 20% yr/yr, beating analysts' expectations

• Adjusted EPS for fiscal Q4 was $0.91, compared to $0.25 a year ago

• Company repurchased 0.7 mln shares during Q4

Outlook

• Ciena expects fiscal year 2026 revenue between $5.7 bln and $6.1 bln

• Company anticipates fiscal Q1 2026 revenue between $1.35 bln and $1.43 bln

• Ciena projects adjusted operating margin of 17% plus or minus 1% for fiscal year 2026

Result Drivers

• CLOUD AND SERVICE PROVIDERS - Strong demand from cloud and service provider customers drove revenue growth, per CEO Gary Smith

• DATA CENTER OPPORTUNITIES - Growing opportunities inside and around data centers contributed to revenue increase, according to CEO Gary Smith

• CUSTOMER CONCENTRATION - Three customers represented over 43% of Q4 revenue, indicating reliance on major clients

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the communications & networking peer group is "buy"

• Wall Street's median 12-month price target for Ciena Corp is $175.00, about 21.1% below its December 10 closing price of $221.85

• The stock recently traded at 50 times the next 12-month earnings vs. a P/E of 31 three months ago

Press Release: ID:nBw6F8XFfa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)