Maytus Capital Management LLC Takes $7.48 Million Position in Ciena Corporation $CIEN

Key Points

• Maytus Capital Management disclosed a new fourth-quarter stake in Ciena, buying 32,000 shares valued at about $7.48 million. The position makes up roughly 1.8% of the firm’s portfolio.
• Ciena reported strong quarterly results, including EPS of $1.64 versus estimates of $1.46 and revenue of $1.57 billion versus $1.50 billion expected. Revenue rose 39.5% year over year, and analysts now see about 5.4 EPS for the full fiscal year.
• Analyst sentiment remains constructive, with multiple firms raising price targets and the consensus rating at “Moderate Buy.” Meanwhile, insiders including the CEO and an SVP sold shares in recent weeks, even as the stock traded down 7% in the session cited.

Maytus Capital Management LLC acquired a new stake in Ciena Corporation (NYSE:CIEN - Free Report) during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 32,000 shares of the communications equipment provider's stock, valued at approximately $7,484,000. Ciena accounts for about 1.8% of Maytus Capital Management LLC's investment portfolio, making the stock its 18th biggest position.

Several other large investors also recently modified their holdings of the stock. Elyxium Wealth LLC bought a new position in shares of Ciena in the fourth quarter valued at about $2,747,810,000. JPMorgan Chase & Co. increased its position in Ciena by 23.3% during the third quarter. JPMorgan Chase & Co. now owns 6,462,840 shares of the communications equipment provider's stock worth $941,451,000 after acquiring an additional 1,219,787 shares during the period. State Street Corp increased its position in Ciena by 17.2% during the fourth quarter. State Street Corp now owns 5,102,409 shares of the communications equipment provider's stock worth $1,193,300,000 after acquiring an additional 750,128 shares during the period. Bank of America Corp DE increased its position in Ciena by 10.4% during the second quarter. Bank of America Corp DE now owns 3,495,795 shares of the communications equipment provider's stock worth $284,313,000 after acquiring an additional 329,821 shares during the period. Finally, Geode Capital Management LLC increased its position in Ciena by 5.7% during the fourth quarter. Geode Capital Management LLC now owns 2,687,437 shares of the communications equipment provider's stock worth $627,567,000 after acquiring an additional 145,948 shares during the period. 91.99% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other Ciena news, SVP Brodie Gage sold 1,200 shares of the stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $570.65, for a total transaction of $684,780.00. Following the sale, the senior vice president directly owned 43,941 shares in the company, valued at $25,074,931.65. This represents a 2.66% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Gary B. Smith sold 2,952 shares of the stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $565.92, for a total transaction of $1,670,595.84. Following the sale, the chief executive officer owned 269,557 shares in the company, valued at $152,547,697.44. The trade was a 1.08% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 41,222 shares of company stock worth $18,441,027 over the last ninety days. Corporate insiders own 0.58% of the company's stock.

Ciena Trading Down 7.0%

Shares of Ciena stock opened at $430.83 on Wednesday. The company has a market capitalization of $60.98 billion, a price-to-earnings ratio of 143.61 and a beta of 1.24. The company has a quick ratio of 2.11, a current ratio of 2.73 and a debt-to-equity ratio of 0.53. Ciena Corporation has a 12-month low of $72.96 and a 12-month high of $637.51. The firm's 50-day moving average price is $521.41 and its two-hundred day moving average price is $368.39.

Ciena (NYSE:CIEN - Get Free Report) last announced its quarterly earnings data on Thursday, June 4th. The communications equipment provider reported $1.64 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.46 by $0.18. The firm had revenue of $1.57 billion for the quarter, compared to the consensus estimate of $1.50 billion. Ciena had a net margin of 7.87% and a return on equity of 18.15%. The business's revenue for the quarter was up 39.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.42 earnings per share. On average, analysts forecast that Ciena Corporation will post 5.4 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of equities analysts recently commented on the stock. Morgan Stanley raised their price target on shares of Ciena from $405.00 to $490.00 and gave the stock an "equal weight" rating in a research report on Friday, June 5th. Bank of America raised their price target on shares of Ciena from $550.00 to $660.00 and gave the stock a "buy" rating in a research report on Tuesday, May 26th. Rothschild & Co Redburn assumed coverage on shares of Ciena in a research report on Friday, May 1st. They set a "neutral" rating and a $416.00 price target on the stock. Barclays raised their price target on shares of Ciena from $372.00 to $607.00 and gave the stock an "overweight" rating in a research report on Friday, June 5th. Finally, TD Cowen raised their price target on shares of Ciena from $425.00 to $675.00 and gave the stock a "buy" rating in a research report on Friday, May 15th. Thirteen equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $530.56.

Ciena Company Profile

Ciena Corporation NYSE: CIEN is a global supplier of telecommunications networking equipment, software and services. The company develops high-capacity optical transport systems and packet-optical platforms that enable service providers, cloud operators and large enterprises to build, manage and scale their networks. Ciena's product portfolio includes coherent optical solutions, packet networking platforms and a suite of network automation software designed to optimize bandwidth, reduce latency and simplify network operations.

In addition to hardware offerings, Ciena provides professional services and support, including network design, implementation and ongoing maintenance.

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