Viavi Solutions (NASDAQ:VIAV) Shares Climb 9.9% - Here's What Happened

Key Points

• Viavi Solutions shares jumped 9.9% to $30.56 during Tuesday trading, although volume was 63% below the average session level.
• Analysts maintain a broadly positive outlook, with a consensus “Moderate Buy” rating and an average price target of $55.43; six analysts rate the stock a Buy, compared with two Holds and one Sell.
• The company exceeded quarterly expectations, reporting $0.34 in EPS and $443.1 million in revenue, up 52.5% year over year, while insiders have sold nearly $8.0 million of shares over the past 90 days.

Viavi Solutions Inc. (NASDAQ:VIAV - Get Free Report)'s stock price rose 9.9% during trading on Tuesday. The stock traded as high as $30.44 and last traded at $30.56. 2,182,349 shares traded hands during mid-day trading, a decline of 63% from the average session volume of 5,945,354 shares. The stock had previously closed at $27.80.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on VIAV shares. Weiss Ratings cut Viavi Solutions from a "sell (d+)" rating to a "sell (d)" rating in a research report on Tuesday, September 8th. Rosenblatt Securities reissued a "buy" rating and issued a $70.00 price target on shares of Viavi Solutions in a report on Wednesday, September 23rd. Wall Street Zen lowered Viavi Solutions from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 29th. Zacks Research cut shares of Viavi Solutions from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 12th. Finally, Needham & Company LLC decreased their price target on shares of Viavi Solutions from $68.00 to $60.00 and set a "buy" rating on the stock in a research note on Thursday, August 6th. Six research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $55.43.

Viavi Solutions Price Performance

The company has a quick ratio of 1.62, a current ratio of 1.85 and a debt-to-equity ratio of 0.27. The firm's 50 day simple moving average is $37.43 and its 200 day simple moving average is $38.44. The company has a market capitalization of $7.57 billion, a PE ratio of -205.65 and a beta of 1.21.

Viavi Solutions (NASDAQ:VIAV - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The communications equipment provider reported $0.34 EPS for the quarter, topping analysts' consensus estimates of $0.30 by $0.04. Viavi Solutions had a negative net margin of 2.00% and a positive return on equity of 19.60%. The firm had revenue of $443.10 million during the quarter, compared to analysts' expectations of $432.62 million. During the same period in the previous year, the company earned $0.13 EPS. The firm's revenue for the quarter was up 52.5% compared to the same quarter last year. Viavi Solutions has set its Q1 2027 guidance at 0.400-0.420 EPS. As a group, research analysts anticipate that Viavi Solutions Inc. will post 1.42 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Paul McNab sold 11,032 shares of Viavi Solutions stock in a transaction on Friday, September 11th. The stock was sold at an average price of $38.97, for a total transaction of $429,917.04. Following the completion of the sale, the executive vice president directly owned 25,639 shares in the company, valued at approximately $999,151.83. This trade represents a 30.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Ilan Daskal sold 56,290 shares of the business's stock in a transaction on Monday, August 31st. The shares were sold at an average price of $36.29, for a total transaction of $2,042,764.10. Following the sale, the executive vice president directly owned 10,132 shares of the company's stock, valued at $367,690.28. This represents a 84.75% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 199,694 shares of company stock worth $7,976,233. 1.20% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Viavi Solutions

A number of hedge funds have recently added to or reduced their stakes in VIAV. GTS Securities LLC lifted its stake in Viavi Solutions by 4.5% in the second quarter. GTS Securities LLC now owns 6,511 shares of the communications equipment provider's stock worth $311,000 after acquiring an additional 283 shares during the period. WPG Advisers LLC increased its position in Viavi Solutions by 96.2% during the 1st quarter. WPG Advisers LLC now owns 775 shares of the communications equipment provider's stock valued at $26,000 after purchasing an additional 380 shares during the period. Carolina Wealth Advisors LLC increased its position in Viavi Solutions by 83.2% during the 2nd quarter. Carolina Wealth Advisors LLC now owns 852 shares of the communications equipment provider's stock valued at $41,000 after purchasing an additional 387 shares during the period. North Dakota State Investment Board raised its holdings in shares of Viavi Solutions by 5.7% in the 3rd quarter. North Dakota State Investment Board now owns 7,210 shares of the communications equipment provider's stock valued at $302,000 after purchasing an additional 392 shares in the last quarter. Finally, GAMMA Investing LLC raised its holdings in shares of Viavi Solutions by 10.0% in the 3rd quarter. GAMMA Investing LLC now owns 6,706 shares of the communications equipment provider's stock valued at $281,000 after purchasing an additional 611 shares in the last quarter. 95.54% of the stock is currently owned by institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.