BNP Paribas analyst Karl Ackerman downgrades $Ciena (CIEN.US)$ to a hold rating, and adjusts the target price from $57 to $67.
According to TipRanks data, the analyst has a success rate of 57.4% and a total average return of 10.3% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Ciena (CIEN.US)$'s main analysts recently are as follows:
Ciena's AI/data center webcast highlighted the positive attributes which support a bullish perspective, specifically AI's role in driving data growth and the integration of coherent technology within data centers. It's believed that Ciena possesses tangible growth prospects within the intra/around data center markets, especially if this advancement leads to data growth surpassing 25%-30%.
Following a detailed discussion that covered Ciena's growing prospects and strategic plans for expansion in AI and data center segments, including a Q&A session with management, the believed potential for recovery in telecom service provider markets and long-term advantages from DCI/internal data center interconnect growth were reinforced.
The opportunities presented by artificial intelligence for the company are considered more of a long-term growth factor rather than an immediate catalyst. The recent excitement around this prospect is believed to be already reflected in current estimates, suggesting a preference for a more favorable risk/reward balance before proceeding with the shares.
Note:
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