Viavi Solutions (NASDAQ:VIAV) Given New $33.00 Price Target at UBS Group

Key Points

• UBS cut its price target on Viavi Solutions from $44 to $33 and kept a Neutral rating; the new target implies about 25.5% upside from the cited share price.
• Analyst opinions remain mixed: MarketBeat reported a Moderate Buy consensus and an average target of $57.83, while several analysts recently lowered their ratings or targets.
• Viavi beat quarterly estimates, reporting EPS of $0.47 versus roughly $0.41 expected and revenue of $469.3 million, up 56.9% year over year.

Viavi Solutions (NASDAQ:VIAV - Get Free Report) had its price objective lowered by equities researchers at UBS Group from $44.00 to $33.00 in a research report issued on Thursday, Benzinga reports. The brokerage currently has a "neutral" rating on the communications equipment provider's stock. UBS Group's price target would indicate a potential upside of 25.48% from the stock's current price.

VIAV has been the topic of a number of other reports. Zacks Research downgraded shares of Viavi Solutions from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 12th. Wall Street Zen cut shares of Viavi Solutions from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 29th. Weiss Ratings cut shares of Viavi Solutions from a "sell (d+)" rating to a "sell (d)" rating in a report on Tuesday, September 8th. Stifel Nicolaus set a $65.00 target price on shares of Viavi Solutions in a research note on Wednesday, September 23rd. Finally, Needham & Company LLC cut their target price on shares of Viavi Solutions from $60.00 to $53.00 and set a "buy" rating on the stock in a report on Thursday. Five equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $57.83.

Viavi Solutions Stock Down 10.5%

Shares of Viavi Solutions stock opened at $26.30 on Thursday. The company has a quick ratio of 1.62, a current ratio of 1.85 and a debt-to-equity ratio of 0.27. Viavi Solutions has a 12 month low of $15.51 and a 12 month high of $60.43. The business has a fifty day simple moving average of $36.87 and a 200 day simple moving average of $38.59. The stock has a market cap of $6.47 billion, a PE ratio of 109.59 and a beta of 1.31.

Viavi Solutions (NASDAQ:VIAV - Get Free Report) last released its earnings results on Wednesday, November 4th. The communications equipment provider reported $0.47 earnings per share for the quarter, beating the consensus estimate of $0.41 by $0.06. Viavi Solutions had a return on equity of 27.07% and a net margin of 3.97%. The firm had revenue of $469.30 million for the quarter, compared to analyst estimates of $455.06 million. During the same quarter in the prior year, the firm posted $0.15 earnings per share. The company's quarterly revenue was up 56.9% on a year-over-year basis. Research analysts predict that Viavi Solutions will post 1.42 EPS for the current year.

Insiders Place Their Bets

In other news, EVP Ilan Daskal sold 56,290 shares of the firm's stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $36.29, for a total transaction of $2,042,764.10. Following the sale, the executive vice president owned 10,132 shares of the company's stock, valued at $367,690.28. This trade represents a 84.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Laura A. Black sold 71,000 shares of the firm's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $46.12, for a total value of $3,274,520.00. Following the sale, the director directly owned 71,497 shares in the company, valued at approximately $3,297,441.64. This represents a 49.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 199,694 shares of company stock valued at $7,976,233 in the last three months. Insiders own 1.20% of the company's stock.

Institutional Trading of Viavi Solutions

Large investors have recently bought and sold shares of the business. Lisanti Capital Growth LLC boosted its stake in shares of Viavi Solutions by 52.3% during the 3rd quarter. Lisanti Capital Growth LLC now owns 99,440 shares of the communications equipment provider's stock worth $4,169,000 after buying an additional 34,165 shares during the last quarter. Jefferies Financial Group Inc. grew its holdings in shares of Viavi Solutions by 264.7% in the 3rd quarter. Jefferies Financial Group Inc. now owns 78,405 shares of the communications equipment provider's stock valued at $3,287,000 after acquiring an additional 56,909 shares in the last quarter. Illinois Municipal Retirement Fund bought a new position in shares of Viavi Solutions in the 3rd quarter valued at about $1,200,000. Knights of Columbus Asset Advisors LLC increased its position in shares of Viavi Solutions by 11.2% in the third quarter. Knights of Columbus Asset Advisors LLC now owns 61,478 shares of the communications equipment provider's stock valued at $2,577,000 after acquiring an additional 6,206 shares during the last quarter. Finally, New York Life Investment Management LLC increased its position in shares of Viavi Solutions by 43.8% in the third quarter. New York Life Investment Management LLC now owns 40,419 shares of the communications equipment provider's stock valued at $1,694,000 after acquiring an additional 12,303 shares during the last quarter. 95.54% of the stock is owned by institutional investors.

Trending Headlines about Viavi Solutions

Here are the key news stories impacting Viavi Solutions this week:

• Positive Sentiment: Fiscal Q1 adjusted EPS was $0.47, above the roughly $0.40–$0.41 consensus, while revenue of $469.3 million topped estimates of about $455 million and rose 56.9% year over year. Earnings increased from $0.15 a year earlier. VIAV Q1 Earnings Beat Estimates on Data Center, A&D Strength
• Positive Sentiment: Management expects sequential revenue gains through fiscal 2027, with data-center and defense demand helping offset seasonal weakness. The company also sees expanding semiconductor-testing opportunities, supporting its growth outlook. VIAV Q1 Earnings Call Maps New Data Center Test Markets
• Positive Sentiment: Viavi announced a $500 million share-buyback plan, which may support demand for its shares and signals confidence in the business. Viavi announces a $500 million equity buyback
• Neutral Sentiment: Analysts’ reported average price target is $59.67, well above the referenced $26.30 share price, but targets are estimates rather than guarantees. Analysts’ average target price
• Negative Sentiment: Needham lowered its target to $53 from $60, a potential caution for investors; it nevertheless retained a Buy rating. Needham analyst recommendations

Viavi Solutions Company Profile

Viavi Solutions Inc NASDAQ: VIAV develops equipment, software and services used to test, monitor and secure communications networks. Its solutions support network operators, equipment manufacturers, government agencies and other organizations involved in the design, deployment and operation of wired and wireless networks.

The company's products include fiber-optic and broadband test instruments, network performance and service-assurance software, optical spectrum analyzers, monitoring systems and tools for testing 5G and other advanced communications technologies.

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