Deutsche Bank Waiting For Ciena Profits

In a report published by Deutsche Bank, it is waiting for profits on Ciena (NASDAQ: CIEN).

Deutsche Bank said that the guidance highlights the volatility of optical, but it maintains the Buy rating. “Ciena delivered good Q1 results with revenue of $433m ahead of our estimate of $413m and consensus. Pro-forma loss of ($0.14) came in line with our expectations (with some variation on share count calculation). Gross margin disappointed, but the company demonstrated better than expected opex discipline. Revenue guidance came in below expectations. However, we believe the key drivers of Ciena's fundamentals - OTN, carrier capex, and 40G/100G buildouts remain intact, meriting our continued Buy rating.”

Ciena closed yesterday at $25.98.