We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's What to Expect Ahead of Ciena's (CIEN) Q1 Earnings
Read MoreHide Full Article
Ciena Corporation (CIEN - Free Report) is scheduled to report first-quarter fiscal 2023 results on Mar 6.
The Zacks Consensus Estimate for earnings is pegged at 36 cents per share, suggesting a 23.4% decline from the year-ago quarter’s levels.
Management anticipates revenues to be between $910 million and $990 million. The Zacks Consensus Estimate is pegged at $959.2 million, indicating a 13.6% increase from the year-ago quarter’s levels.
Shares of Ciena have lost 29.7% in the past year compared with the sub-industry's decline of 30.2%.
Image Source: Zacks Investment Research
Factors to Note
Ciena’s performance is likely to have gotten some cushioning owing to strong order flow and a higher backlog due to robust secular demand trends of 5G, cloud and automation, and infrastructure spending among others. Increasing cloud adoption, rising demand for higher capacity and bandwidth, and the proliferation of edge applications might have aided as well.
CIEN’s routing and switching solutions are likely to have witnessed strong uptake. Contribution from the Vyatta platform, which Ciena acquired from AT&T, is likely to have favored the segment.
Ciena is witnessing strong momentum for its WaveLogic 5 Extreme solution. In the last reported quarter, the company added 15 new customers for its WaveLogic 5 Extreme solution.
Also, the company continues to win deals for its solutions in next-gen metro and edge-use cases. Incremental gains from the healthy performance of its software automation business, especially Blue Planet Software, are likely to have favored the top line.
However, global supply-chain dynamics, elongated lead times, component shortages and related higher logistics costs are likely to act as major dampeners. Inflation and higher expenses on product development amid stiff competition in the networking space might further have limited margin expansion in the to-be-reported quarter.
What Our Model Says
Our proven model does not conclusively predict an earning beat for Ciena this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Ciena has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are some stocks that you may consider as our model shows that these have the right combination of elements to beat on earnings this season.
Casey's General Stores is set to release third-quarter fiscal 2023 results on Mar 7. The Zacks Consensus Estimate for earnings is pegged at $1.79 per share, suggesting a 4.7% increase from the prior-year quarter’s reported figure. Shares of CASY have gained 11.4% in the past year.
Ulta Beauty (ULTA - Free Report) has an Earnings ESP of +8.53% and a Zacks Rank of 2 at present.
Ulta Beauty is set to release fourth-quarter 2022 results on Mar 9. The Zacks Consensus Estimate for the bottom line is pegged at a $5.53 per share, suggesting a 2.2% increase from the prior-year quarter’s reported figure. Shares of ULTA have increased 38% in the past year.
The Gap, Inc (GPS - Free Report) has an Earnings ESP of +25.06% and a Zacks Rank of 3.
Gap is scheduled to release fourth-quarter fiscal 2022 results on Mar 9. The Zacks Consensus Estimate is pegged at a loss of 59 cents per share. Shares of GPS have decreased 11.8% in the past year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's What to Expect Ahead of Ciena's (CIEN) Q1 Earnings
Ciena Corporation (CIEN - Free Report) is scheduled to report first-quarter fiscal 2023 results on Mar 6.
The Zacks Consensus Estimate for earnings is pegged at 36 cents per share, suggesting a 23.4% decline from the year-ago quarter’s levels.
Management anticipates revenues to be between $910 million and $990 million. The Zacks Consensus Estimate is pegged at $959.2 million, indicating a 13.6% increase from the year-ago quarter’s levels.
Shares of Ciena have lost 29.7% in the past year compared with the sub-industry's decline of 30.2%.
Image Source: Zacks Investment Research
Factors to Note
Ciena’s performance is likely to have gotten some cushioning owing to strong order flow and a higher backlog due to robust secular demand trends of 5G, cloud and automation, and infrastructure spending among others. Increasing cloud adoption, rising demand for higher capacity and bandwidth, and the proliferation of edge applications might have aided as well.
Ciena Corporation Price and EPS Surprise
Ciena Corporation price-eps-surprise | Ciena Corporation Quote
CIEN’s routing and switching solutions are likely to have witnessed strong uptake. Contribution from the Vyatta platform, which Ciena acquired from AT&T, is likely to have favored the segment.
Ciena is witnessing strong momentum for its WaveLogic 5 Extreme solution. In the last reported quarter, the company added 15 new customers for its WaveLogic 5 Extreme solution.
Also, the company continues to win deals for its solutions in next-gen metro and edge-use cases. Incremental gains from the healthy performance of its software automation business, especially Blue Planet Software, are likely to have favored the top line.
However, global supply-chain dynamics, elongated lead times, component shortages and related higher logistics costs are likely to act as major dampeners. Inflation and higher expenses on product development amid stiff competition in the networking space might further have limited margin expansion in the to-be-reported quarter.
What Our Model Says
Our proven model does not conclusively predict an earning beat for Ciena this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Ciena has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are some stocks that you may consider as our model shows that these have the right combination of elements to beat on earnings this season.
Casey's General Stores (CASY - Free Report) has an Earnings ESP of +6.37% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Casey's General Stores is set to release third-quarter fiscal 2023 results on Mar 7. The Zacks Consensus Estimate for earnings is pegged at $1.79 per share, suggesting a 4.7% increase from the prior-year quarter’s reported figure. Shares of CASY have gained 11.4% in the past year.
Ulta Beauty (ULTA - Free Report) has an Earnings ESP of +8.53% and a Zacks Rank of 2 at present.
Ulta Beauty is set to release fourth-quarter 2022 results on Mar 9. The Zacks Consensus Estimate for the bottom line is pegged at a $5.53 per share, suggesting a 2.2% increase from the prior-year quarter’s reported figure. Shares of ULTA have increased 38% in the past year.
The Gap, Inc (GPS - Free Report) has an Earnings ESP of +25.06% and a Zacks Rank of 3.
Gap is scheduled to release fourth-quarter fiscal 2022 results on Mar 9. The Zacks Consensus Estimate is pegged at a loss of 59 cents per share. Shares of GPS have decreased 11.8% in the past year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.