Ciena Corporation

NYSE:CIEN Stock Report

Market Cap: US$9.7b

Ciena Valuation

Is CIEN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CIEN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CIEN ($67.1) is trading below our estimate of fair value ($97.97)

Significantly Below Fair Value: CIEN is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CIEN?

Key metric: As CIEN is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for CIEN. This is calculated by dividing CIEN's market cap by their current earnings.
What is CIEN's PE Ratio?
PE Ratio70.2x
EarningsUS$138.13m
Market CapUS$9.69b

Price to Earnings Ratio vs Peers

How does CIEN's PE Ratio compare to its peers?

The above table shows the PE ratio for CIEN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average35.3x
JNPR Juniper Networks
46.4x30.9%US$11.6b
FFIV F5
24.8x10.7%US$14.0b
UI Ubiquiti
53.3x29.0%US$20.8b
HLIT Harmonic
16.8x36.7%US$1.4b
CIEN Ciena
70.2x39.5%US$9.7b

Price-To-Earnings vs Peers: CIEN is expensive based on its Price-To-Earnings Ratio (70.2x) compared to the peer average (35.3x).

Price to Earnings Ratio vs Industry

How does CIEN's PE Ratio compare vs other companies in the US Communications Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ATVK Ameritek Ventures
4.8xn/aUS$609.65k
NIHK Video River Networks
0.3xn/aUS$382.98k
No more companies available in this PE range
CIEN 70.2xIndustry Avg. 22.8xNo. of Companies3PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CIEN is expensive based on its Price-To-Earnings Ratio (70.2x) compared to the North American Communications industry average (22.8x).

Price to Earnings Ratio vs Fair Ratio

What is CIEN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CIEN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio70.2x
Fair PE Ratio41.6x

Price-To-Earnings vs Fair Ratio: CIEN is expensive based on its Price-To-Earnings Ratio (70.2x) compared to the estimated Fair Price-To-Earnings Ratio (41.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CIEN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$67.10
US$65.73
-2.0%
12.1%US$80.00US$46.00n/a15
Nov ’25US$63.97
US$65.00
+1.6%
12.3%US$80.00US$46.00n/a15
Oct ’25US$61.45
US$62.13
+1.1%
9.1%US$68.00US$46.00n/a15
Sep ’25US$57.65
US$56.77
-1.5%
10.8%US$66.00US$44.00n/a15
Aug ’25US$51.29
US$56.43
+10.0%
10.3%US$66.00US$44.00n/a15
Jul ’25US$47.74
US$56.43
+18.2%
10.3%US$66.00US$44.00n/a15
Jun ’25US$48.17
US$57.30
+19.0%
12.3%US$68.00US$42.50n/a15
May ’25US$46.63
US$58.96
+26.4%
12.5%US$68.00US$42.50n/a16
Apr ’25US$49.19
US$60.17
+22.3%
11.1%US$68.00US$42.50n/a14
Mar ’25US$60.84
US$59.10
-2.9%
10.6%US$68.00US$42.50n/a14
Feb ’25US$54.09
US$59.43
+9.9%
11.2%US$70.00US$42.50n/a15
Jan ’25US$45.01
US$58.89
+30.8%
11.3%US$70.00US$42.50n/a15
Dec ’24US$46.75
US$59.19
+26.6%
10.3%US$70.00US$46.00n/a15
Nov ’24US$42.33
US$59.19
+39.8%
10.3%US$70.00US$46.00US$63.9715
Oct ’24US$47.26
US$59.19
+25.3%
10.3%US$70.00US$46.00US$61.4515
Sep ’24US$48.47
US$58.46
+20.6%
11.3%US$70.00US$46.00US$57.6514
Aug ’24US$41.97
US$56.28
+34.1%
13.4%US$70.00US$41.00US$51.2914
Jul ’24US$42.49
US$57.35
+35.0%
13.3%US$70.00US$41.00US$47.7414
Jun ’24US$47.03
US$63.39
+34.8%
12.4%US$74.00US$45.00US$48.1714
May ’24US$46.19
US$63.39
+37.2%
12.4%US$74.00US$45.00US$46.6314
Apr ’24US$52.52
US$64.59
+23.0%
15.0%US$86.00US$45.00US$49.1915
Mar ’24US$48.55
US$62.43
+28.6%
12.8%US$76.00US$45.00US$60.8416
Feb ’24US$52.03
US$62.58
+20.3%
12.4%US$76.00US$45.00US$54.0917
Jan ’24US$50.98
US$62.29
+22.2%
12.4%US$76.00US$45.00US$45.0117
Dec ’23US$44.69
US$57.58
+28.8%
14.2%US$71.00US$40.00US$46.7517
Nov ’23US$47.96
US$57.88
+20.7%
13.2%US$71.00US$45.00US$42.3317

Analyst Forecast: Target price is lower than the current share price.

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