Ciena Corp (CIEN)

Information Technology · Communications Equipment · US stock · S&P 500 component

$322.64 ▼ -38.70 (10.71%)

At close 22 Oct 2026 · USD · Volume 3,933,116

Compare with CSCO

Interactive chart Research report Forecast ranges Pro workspace SEC filings Historical data

Fair valueFair

$270 −16.3% to fair value

$135fair band $230–$327$405

Day's range

$320.70 – $346.29

52-week range

$159.56 – $637.51

About Ciena Corp

Ciena builds networking equipment and software that carry data over optical fibre. Its products include optical transport systems, routing and switching, network automation software and related services. Customers are telecom service providers, cloud and content companies, submarine network operators, governments and large enterprises. The company is organised around networking platforms, platform software and services, automation software and global services.

Revenue comes from hardware, software licences and ongoing services, and customer spending follows network build-out cycles. It totals $6.0 billion over the last twelve months, rising 9.5% a year across three years. The operating margin is 12.3%, and the business earns a profit of 18% on the capital invested in it. Ciena has net debt of 0.8 times EBITDA and pays no dividend. On the site's X-Ray Score it receives 40 out of 100.

CIEN news

Ciena Executives' Stock Sales Draw Attention as Shares Climb1 day ago

All CIEN news →

Price chart

Interactive chart Historical data & CSV

52-wk range $159.56 – $637.51Volume 3,933,116Daily, split-adjusted

Vitals

Market cap$47.1B

52-week range$159.56 – $637.51

Volume (last day)3,933,116

P/E (TTM)71.9

EBIT / EV yield1.5%

Free-cash-flow yield1.7%

Dividend yieldNo dividend

Revenue (TTM)$6.0B

Net income (TTM)$654M

Operating margin12.3%

Return on capital18.2%

Debt incl. leases$3.2B

Cash & securities$2.6B

Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.

Fair value estimate

$270middle half of models $235 – $306

Fair −16.3% to fair value

Average of the 10 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.

Price $323

Undervalued < $230Fair $230 – $327Overvalued > $327

P/E multiple

$304

P/B multiple

$176

P/S multiple

$231

EV/EBITDA multiple

$252

EV/EBIT multiple

$220

EV/revenue multiple

$247

10-year DCF, EBITDA exit

$300

5-year DCF, EBITDA exit

$333

10-year DCF, revenue exit

$306

5-year DCF, revenue exit

$332

10-year DCF, growth exit · not used

$78

5-year DCF, growth exit · not used

$78

Earnings power value · not used

$67

Growth the price implies

34.0%/yr

A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.

What this means

Average business, fairly priced

The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.

Before you invest · decision checklist

I understand how this company makes money Business quality is average or better ✓ 51 The price is not above fair value $270 fair value Debt looks manageable 0.8× EBITDA Revenue has been growing 9.5% a year Profits are backed by cash There are no red flags none raised I know what share of my savings this would be

Ticked boxes are filled in from our data; the rest are yours to answer.

The five-lens scan

Every score explained in one sentence, ranked against Information Technology peers. Open a lens to see the numbers behind it.

Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data

Valuation Weak

22/100

Expensive against its sector on earnings and cash flow.

See the numbers →

EBIT / EV yield1.5%

Free-cash-flow yield1.7%

Fair value vs price0.8×

Growth Weak

39/100

Growing slower than most of its sector.

See the numbers →

Revenue growth (3y)9.5%

EPS growth (3y)-5.3%

Growth consistency70%

Profitability Weak

47/100

Earns lower returns on its capital than most peers.

See the numbers →

Return on invested capital18.2%

Operating margin12.3%

Gross profitability33.2%

Financial health Fair

55/100

Balance sheet is in typical shape for its sector.

See the numbers →

Piotroski F-Score7 / 9

Net debt / EBITDA0.8×

Interest cover10.6×

Dividends None

–/100

Pays no dividend.

See the numbers →

Quarterly results: last 6 quarters

+23.6%

May '25

+29.4%

Aug '25

+20.3%

Nov '25

+33.1%

Jan '26

+39.5%

May '26

+37.0%

Aug '26

Revenue against the same quarter a year earlier. Latest quarter revenue $1.7B, diluted EPS $1.83.

Compare with peers

ANET Arista Networks, Inc.62 FFIV F5, Inc.55 MSI Motorola Solutions, In...48 CSCO Cisco Systems, Inc.42

Other Communications Equipment companies by X-Ray Score.

SWOT analysis: Ciena Corp

Strengthsinside the company

Passes 7 of the 9 Piotroski tests, which points to improving profitability, funding and efficiency.

Weaknessesinside the company

Operating margin of 12.3% is thin against 24.5% for industry peers.
Earnings per share have declined 5.3% a year over three years.

Opportunitiesvaluation and setting

Revenue growth picked up to 18.8% last year from 9.5% a year over three years.
Our Market Compass rates the backdrop for Information Technology as favourable.

Threatsvaluation and setting

Trades at 72.0x earnings, 97% above the 36.5x median of industry peers, so the price already assumes better results.
The price trend is down on the daily and weekly signals.

Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.

Compare CIEN with peers and sector

Medians of 5 Communications Equipment peers and of 74 Information Technology stocks in our universe. Largest peers (X-Ray Score): CSCO 42, ANET 62, MSI 48, LITE 35, FFIV 55.

Metric	CIEN	Peers	Sector
X-Ray Score (out of 100)	40	48	50
Valuation	22	40	52
Growth	39	54	54
Profitability	47	55	50
Financial health	55	44	49
Dividends	–	–	50

Sector leaders: highest X-Ray Score in Information Technology

CIEN ranks #60 of 75 in Information Technology and #5 of 6 in Communications Equipment by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.

Company	X-Ray Score
#1 MU Micron Technology Inc	79
#2 ADBE Adobe Inc.	77
#3 SNDK Sandisk Corp	73
#4 INTU Intuit Inc.	71
#5 FICO Fair Isaac Corp	71
…
#60 CIEN Ciena Corp (this stock)	40

Metric	CIEN	Peers	Sector
P/E ratio	72.0x	36.5x	33.0x
PEG ratio	–	6.63	2.20
Price / book	15.4x	12.1x	8.2x
Price / sales	7.8x	7.8x	6.8x
EV / EBITDA	64.5x	27.8x	24.5x
Price / free cash flow	57.8x	32.8x	28.7x
Dividend yield	–	–	1.0%
Gap to our fair value	−16.3%	−12.0%	−6.6%

Metric	CIEN	Peers	Sector
Price change, 1 month	−12.5%	−1.1%	−2.0%
Price change, 3 months	−18.8%	−2.2%	+3.5%
Price change, 6 months	−35.3%	+8.8%	+13.4%
Price change, 1 year	+96.2%	+51.1%	+18.6%

Metric	CIEN	Peers	Sector
Market value	$47.1B	$79.9B	$80.1B
Revenue (last 12 months)	$6.0B	$10.5B	$11.8B
EBITDA (last 12 months)	$739M	$3.6B	$2.6B
Net income (last 12 months)	$654M	$727M	$1.7B
Free cash flow (last 12 months)	$814M	$2.7B	$2.7B

Metric	CIEN	Peers	Sector
Revenue growth, last year	+18.8%	+11.8%	+13.7%
Revenue growth, 3 years a year	+9.5%	+8.6%	+9.8%
EPS growth, 3 years a year	−5.3%	+24.0%	+6.4%
Free cash flow growth, 3 years a year	–	+30.4%	+15.4%
Dividend growth	–	–	+5.8%

Metric	CIEN	Peers	Sector
Gross margin	44.1%	63.0%	58.1%
EBITDA margin	12.3%	27.5%	27.0%
Operating margin	12.3%	24.5%	21.7%
Net margin	10.9%	17.4%	18.5%
Return on invested capital	18.2%	21.6%	19.7%
Return on equity	21.4%	18.8%	20.6%

Metric	CIEN	Peers	Sector
Net debt / EBITDA	0.8x	1.0x	0.8x
Interest cover	10.6x	24.1x	23.5x
Current ratio	3.8x	1.7x	1.6x
Piotroski F-score (0 to 9)	7	6	6

Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.

Factor ratings for CIEN

Each factor is rated by where CIEN stands among the 75 Information Technology stocks in our universe.

Rating against the sector

Goodthe top third of these stocks

Averagethe middle third of these stocks

Badthe bottom third of these stocks

"Beats" is the share of those stocks it is ahead of.

Against its own history

The last columns set today's figure against the company's own median of its last five financial years:

▲ Betterbetter than its usual level

▼ Worseworse than its usual level

≈ In linewithin its usual range

For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.

In total: 2 Good · 9 Average · 11 Bad of 22 Growth: 0 · 2 · 1 Profitability: 0 · 2 · 3 Financial strength: 2 · 1 · 1 Valuation: 0 · 1 · 4 Cash flow: 0 · 2 · 1 Efficiency: 0 · 1 · 1

Factor	CIEN	Rating	Sector median	Own 5-year median	Against own history
Growth
Revenue growth, 3 years a year	+9.5%	Average beats 49%	+9.7%	–	–
Revenue growth, last year	+18.8%	Average beats 66%	+13.7%	+2.5%	▲ Better
EPS growth, 3 years a year	−5.3%	Bad beats 24%	+5.9%	–	–
Profitability
Gross margin	44.1%	Bad beats 26%	57.8%	42.8%	≈ In line
Operating margin	12.3%	Bad beats 27%	20.3%	6.1%	▲ Better
Net margin	10.9%	Bad beats 29%	17.8%	4.2%	▲ Better
Return on invested capital	18.2%	Average beats 45%	19.4%	–	–
Return on equity	21.4%	Average beats 51%	21.0%	5.6%	▲ Better
Financial strength
Net debt / EBITDA	0.8x	Average beats 51%	0.8x	1.2x	▲ Better
Interest cover	10.6x	Bad beats 30%	23.0x	4.1x	▲ Better
Current ratio	3.80	Good beats 91%	1.57	3.51	≈ In line
Piotroski F-score	7 / 9	Good beats 68%	6 / 9	–	–
Valuation
P/E ratio	72.0x	Bad beats 17%	33.6x	48.0x	▼ Worse
Price / book	15.4x	Bad beats 24%	8.3x	2.8x	▼ Worse
Price / sales	7.8x	Average beats 42%	6.9x	2.3x	▼ Worse
EV / EBITDA	64.5x	Bad beats 12%	24.7x	32.6x	▼ Worse
Free cash flow yield	1.7%	Bad beats 25%	3.4%	2.4%	≈ In line
Cash flow
Free cash flow margin	13.5%	Bad beats 19%	22.3%	9.4%	▲ Better
Cash from operations / net income	1.61	Average beats 65%	1.39	1.08	▲ Better
Accruals (lower is better)	−5.0%	Average beats 59%	−4.4%	–	–
Efficiency
Inventory turnover	3.9x	Average beats 51%	3.9x	2.8x	▲ Better
Days sales outstanding	75 days	Bad beats 33%	63 days	84 days	▲ Better

These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.

Fundamentals checklist

● 2 Good · ● 6 Average · ● 7 Bad

Cash quality

Earnings backed by cashAverage

Free-cash-flow yieldBad

Risk models

Altman Z''Average

Piotroski F-ScoreGood

Growth

EPS growth (3y)Bad

Revenue growth (3y)Average

Growth consistencyBad

Balance sheet

Current ratioGood

Net debt / EBITDAAverage

Interest coverBad

Valuation

Fair value vs priceBad

EBIT / EV yieldBad

Profitability

Return on invested capitalAverage

Operating marginBad

Gross profitabilityAverage

Each check is graded against the company's sector, not a fixed number. Checklist score 39/100.

Financials

	FY21	FY22	FY23	FY24	FY25
Revenue	$3.6B	$3.6B	$4.4B	$4.0B	$4.8B
Operating income	$495M	$223M	$358M	$167M	$198M
Net income	$500M	$153M	$255M	$84M	$123M
Operating cash flow	$542M	−$168M	$168M	$515M	$806M
Operating margin	13.7%	6.1%	8.2%	4.1%	4.1%
Free cash flow	$462M	−$259M	$62M	$378M	$665M
Diluted EPS	$3.19	$1.00	$1.71	$0.58	$0.85

Fiscal years, from SEC filings.

Technical summary

Daily

Strongly bearish

3 bullish · 1 neutral · 12 bearish

Weekly

Bearish

3 bullish · 1 neutral · 8 bearish

Monthly

Bullish

5 bullish · 1 neutral · 2 bearish

Moving averages (daily)

SMA 10	367.4	Bearish
EMA 10	358.6	Bearish
SMA 20	377.9	Bearish
EMA 20	367.8	Bearish
SMA 50	372.9	Bearish
EMA 50	378.1	Bearish
SMA 100	404.3	Bearish
EMA 100	391.0	Bearish
SMA 200	401.9	Bearish
EMA 200	369.0	Bearish

Oscillators (daily)

RSI (14)	39.64	Neutral
MACD (12, 26)	-7.90	Bearish
Momentum (12)	-27.28	Bearish
Stochastic %K (14)	1.45	Bullish
Williams %R (14)	-98.55	Bullish
CCI (20)	-100.7	Bullish

Pivot points (classic, last session)

287.9

304.3

313.5

Pivot

329.9

339.1

355.5

364.7

Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.

ETFs that hold CIEN

ETF	Share of the fund
IYZ iShares U.S. Telecommunications	3.63%
ULTY YieldMax Ultra Option Income Strategy	3.21%
FDN First Trust Dow Jones Internet Index	2.85%
JTEK JPMorgan U.S. Tech Leaders	2.13%
RPG Invesco S&P 500 Pure Growth	2.04%
CGMM Capital Group U.S. Small and Mid Cap	1.65%
VOT Vanguard Mid-Cap Growth	1.53%
SCHM Schwab U.S. Mid-Cap	1.52%

The eight funds with the largest weight in CIEN among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.