CIENA CORP (CIEN) Fundamental Analysis & Valuation

NYSE:CIEN • US1717793095

Current stock price

507.43 USD
+12.26 (+2.48%)
At close:
506.16 USD
-1.27 (-0.25%)
After Hours:

This CIEN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

5

1. CIEN Profitability Analysis

1.1 Basic Checks

  • In the past year CIEN was profitable.
  • CIEN had a positive operating cash flow in the past year.
  • Each year in the past 5 years CIEN has been profitable.
  • Of the past 5 years CIEN 4 years had a positive operating cash flow.
CIEN Yearly Net Income VS EBIT VS OCF VS FCFCIEN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B

1.2 Ratios

  • CIEN has a better Return On Assets (3.89%) than 70.21% of its industry peers.
  • CIEN has a better Return On Equity (8.20%) than 72.34% of its industry peers.
  • The Return On Invested Capital of CIEN (6.75%) is better than 74.47% of its industry peers.
  • CIEN had an Average Return On Invested Capital over the past 3 years of 4.76%. This is significantly below the industry average of 10.41%.
  • The last Return On Invested Capital (6.75%) for CIEN is above the 3 year average (4.76%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 3.89%
ROE 8.2%
ROIC 6.75%
ROA(3y)2.71%
ROA(5y)4.29%
ROE(3y)5.48%
ROE(5y)7.73%
ROIC(3y)4.76%
ROIC(5y)5.64%
CIEN Yearly ROA, ROE, ROICCIEN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40

1.3 Margins

  • Looking at the Profit Margin, with a value of 4.47%, CIEN is in the better half of the industry, outperforming 65.96% of the companies in the same industry.
  • CIEN's Profit Margin has declined in the last couple of years.
  • Looking at the Operating Margin, with a value of 8.19%, CIEN is in the better half of the industry, outperforming 76.60% of the companies in the same industry.
  • CIEN's Operating Margin has declined in the last couple of years.
  • With a Gross Margin value of 42.13%, CIEN perfoms like the industry average, outperforming 44.68% of the companies in the same industry.
  • CIEN's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 8.19%
PM (TTM) 4.47%
GM 42.13%
OM growth 3Y-2.73%
OM growth 5Y-14.83%
PM growth 3Y-14.99%
PM growth 5Y-24.04%
GM growth 3Y-0.72%
GM growth 5Y-2.12%
CIEN Yearly Profit, Operating, Gross MarginsCIEN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 30 40

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. CIEN Health Analysis

2.1 Basic Checks

  • CIEN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • CIEN has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for CIEN has been reduced compared to 5 years ago.
  • Compared to 1 year ago, CIEN has an improved debt to assets ratio.
CIEN Yearly Shares OutstandingCIEN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
CIEN Yearly Total Debt VS Total AssetsCIEN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

2.2 Solvency

  • An Altman-Z score of 14.40 indicates that CIEN is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of CIEN (14.40) is better than 87.23% of its industry peers.
  • CIEN has a debt to FCF ratio of 2.08. This is a good value and a sign of high solvency as CIEN would need 2.08 years to pay back of all of its debts.
  • CIEN has a Debt to FCF ratio (2.08) which is comparable to the rest of the industry.
  • A Debt/Equity ratio of 0.55 indicates that CIEN is somewhat dependend on debt financing.
  • The Debt to Equity ratio of CIEN (0.55) is worse than 76.60% of its industry peers.
  • Although CIEN's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.55
Debt/FCF 2.08
Altman-Z 14.4
ROIC/WACC0.7
WACC9.65%
CIEN Yearly LT Debt VS Equity VS FCFCIEN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

2.3 Liquidity

  • A Current Ratio of 2.81 indicates that CIEN has no problem at all paying its short term obligations.
  • CIEN has a Current ratio of 2.81. This is in the better half of the industry: CIEN outperforms 74.47% of its industry peers.
  • A Quick Ratio of 2.18 indicates that CIEN has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 2.18, CIEN is in the better half of the industry, outperforming 65.96% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.81
Quick Ratio 2.18
CIEN Yearly Current Assets VS Current LiabilitesCIEN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. CIEN Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 86.11% over the past year.
  • CIEN shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.13% yearly.
  • Looking at the last year, CIEN shows a very strong growth in Revenue. The Revenue has grown by 26.54%.
  • CIEN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.19% yearly.
EPS 1Y (TTM)86.11%
EPS 3Y11.01%
EPS 5Y-2.13%
EPS Q2Q%110.94%
Revenue 1Y (TTM)26.54%
Revenue growth 3Y9.5%
Revenue growth 5Y6.19%
Sales Q2Q%33.08%

3.2 Future

  • The Earnings Per Share is expected to grow by 62.82% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 14.43% on average over the next years. This is quite good.
EPS Next Y136.91%
EPS Next 2Y78.43%
EPS Next 3Y62.82%
EPS Next 5YN/A
Revenue Next Year29.89%
Revenue Next 2Y24.78%
Revenue Next 3Y23%
Revenue Next 5Y14.43%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
CIEN Yearly Revenue VS EstimatesCIEN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B
CIEN Yearly EPS VS EstimatesCIEN Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8 10

More info and screens

Find the best growth stocksShow best growing peers

2

4. CIEN Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 151.47, CIEN can be considered very expensive at the moment.
  • The rest of the industry has a similar Price/Earnings ratio as CIEN.
  • The average S&P500 Price/Earnings ratio is at 27.87. CIEN is valued rather expensively when compared to this.
  • The Price/Forward Earnings ratio is 60.37, which means the current valuation is very expensive for CIEN.
  • CIEN's Price/Forward Earnings is on the same level as the industry average.
  • CIEN is valuated expensively when we compare the Price/Forward Earnings ratio to 38.51, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 151.47
Fwd PE 60.37
CIEN Price Earnings VS Forward Price EarningsCIEN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100 150

4.2 Price Multiples

  • 63.83% of the companies in the same industry are cheaper than CIEN, based on the Enterprise Value to EBITDA ratio.
  • CIEN's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 96.67
EV/EBITDA 122.84
CIEN Per share dataCIEN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • CIEN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • A more expensive valuation may be justified as CIEN's earnings are expected to grow with 62.82% in the coming years.
PEG (NY)1.11
PEG (5Y)N/A
EPS Next 2Y78.43%
EPS Next 3Y62.82%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. CIEN Dividend Analysis

5.1 Amount

  • No dividends for CIEN!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

CIEN Fundamentals: All Metrics, Ratios and Statistics

CIENA CORP

NYSE:CIEN (4/17/2026, 8:04:00 PM)

After market: 506.16 -1.27 (-0.25%)

507.43

+12.26 (+2.48%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)03-05
Earnings (Next)06-03
Inst Owners99.24%
Inst Owner Change-0.25%
Ins Owners0.55%
Ins Owner Change0.66%
Market Cap71.75B
Revenue(TTM)5.12B
Net Income(TTM)229.05M
Analysts80
Price Target354.01 (-30.23%)
Short Float %4.26%
Short Ratio1.58
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.38%
Min EPS beat(2)13.12%
Max EPS beat(2)15.65%
EPS beat(4)3
Avg EPS beat(4)8.2%
Min EPS beat(4)-20.72%
Max EPS beat(4)24.77%
EPS beat(8)6
Avg EPS beat(8)22.4%
EPS beat(12)10
Avg EPS beat(12)21.03%
EPS beat(16)12
Avg EPS beat(16)62.17%
Revenue beat(2)1
Avg Revenue beat(2)1.37%
Min Revenue beat(2)0%
Max Revenue beat(2)2.73%
Revenue beat(4)3
Avg Revenue beat(4)1.4%
Min Revenue beat(4)0%
Max Revenue beat(4)2.73%
Revenue beat(8)3
Avg Revenue beat(8)0.58%
Revenue beat(12)6
Avg Revenue beat(12)0.69%
Revenue beat(16)8
Avg Revenue beat(16)1.27%
PT rev (1m)35.6%
PT rev (3m)41.36%
EPS NQ rev (1m)0.26%
EPS NQ rev (3m)20.81%
EPS NY rev (1m)14.89%
EPS NY rev (3m)14.89%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)4.57%
Revenue NY rev (1m)2.85%
Revenue NY rev (3m)2.85%
Valuation
Industry RankSector Rank
PE 151.47
Fwd PE 60.37
P/S 14
P/FCF 96.67
P/OCF 77.15
P/B 25.7
P/tB 34.86
EV/EBITDA 122.84
EPS(TTM)3.35
EY0.66%
EPS(NY)8.4
Fwd EY1.66%
FCF(TTM)5.25
FCFY1.03%
OCF(TTM)6.58
OCFY1.3%
SpS36.24
BVpS19.75
TBVpS14.55
PEG (NY)1.11
PEG (5Y)N/A
Graham Number38.5811 (-92.4%)
Profitability
Industry RankSector Rank
ROA 3.89%
ROE 8.2%
ROCE 9.06%
ROIC 6.75%
ROICexc 9.38%
ROICexgc 12.03%
OM 8.19%
PM (TTM) 4.47%
GM 42.13%
FCFM 14.48%
ROA(3y)2.71%
ROA(5y)4.29%
ROE(3y)5.48%
ROE(5y)7.73%
ROIC(3y)4.76%
ROIC(5y)5.64%
ROICexc(3y)6.46%
ROICexc(5y)8.29%
ROICexgc(3y)8.08%
ROICexgc(5y)10.06%
ROCE(3y)6.39%
ROCE(5y)7.57%
ROICexgc growth 3Y6.23%
ROICexgc growth 5Y-15.58%
ROICexc growth 3Y2.33%
ROICexc growth 5Y-16.48%
OM growth 3Y-2.73%
OM growth 5Y-14.83%
PM growth 3Y-14.99%
PM growth 5Y-24.04%
GM growth 3Y-0.72%
GM growth 5Y-2.12%
F-Score7
Asset Turnover0.87
Health
Industry RankSector Rank
Debt/Equity 0.55
Debt/FCF 2.08
Debt/EBITDA 2.67
Cap/Depr 124.61%
Cap/Sales 3.66%
Interest Coverage 5.48
Cash Conversion 163.01%
Profit Quality 324.04%
Current Ratio 2.81
Quick Ratio 2.18
Altman-Z 14.4
F-Score7
WACC9.65%
ROIC/WACC0.7
Cap/Depr(3y)92.47%
Cap/Depr(5y)80.47%
Cap/Sales(3y)2.93%
Cap/Sales(5y)2.69%
Profit Quality(3y)337.97%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)86.11%
EPS 3Y11.01%
EPS 5Y-2.13%
EPS Q2Q%110.94%
EPS Next Y136.91%
EPS Next 2Y78.43%
EPS Next 3Y62.82%
EPS Next 5YN/A
Revenue 1Y (TTM)26.54%
Revenue growth 3Y9.5%
Revenue growth 5Y6.19%
Sales Q2Q%33.08%
Revenue Next Year29.89%
Revenue Next 2Y24.78%
Revenue Next 3Y23%
Revenue Next 5Y14.43%
EBIT growth 1Y127.64%
EBIT growth 3Y6.51%
EBIT growth 5Y-9.56%
EBIT Next Year159.66%
EBIT Next 3Y62.86%
EBIT Next 5Y28.36%
FCF growth 1Y22.23%
FCF growth 3YN/A
FCF growth 5Y10.11%
OCF growth 1Y32.86%
OCF growth 3YN/A
OCF growth 5Y10.3%

CIENA CORP / CIEN Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for CIENA CORP?

ChartMill assigns a fundamental rating of 5 / 10 to CIEN.


Can you provide the valuation status for CIENA CORP?

ChartMill assigns a valuation rating of 2 / 10 to CIENA CORP (CIEN). This can be considered as Overvalued.


How profitable is CIENA CORP (CIEN) stock?

CIENA CORP (CIEN) has a profitability rating of 5 / 10.


Can you provide the financial health for CIEN stock?

The financial health rating of CIENA CORP (CIEN) is 7 / 10.


What is the expected EPS growth for CIENA CORP (CIEN) stock?

The Earnings per Share (EPS) of CIENA CORP (CIEN) is expected to grow by 136.91% in the next year.