Analyst Samik Chatterjee from J.P. Morgan maintained a Buy rating on Ciena and keeping the price target at $105.00.
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Samik Chatterjee has given his Buy rating due to a combination of factors that highlight Ciena’s strong positioning in the optical systems market. The company is expected to benefit from significant investments by Cloud providers in data center interconnects, as well as a recovery in Telecom demand after a period of inventory adjustments and slower equipment deployments. Additionally, there is growing interest from MOFN providers to engage in data center interconnect investments alongside Cloud providers, which further supports Ciena’s growth prospects.
Despite these positive indicators, Ciena’s shares are currently trading at levels that align with its long-term earnings multiple, suggesting an attractive investment opportunity. The company’s medium-term growth outlook is robust, driven by increasing demand trends in Cloud and AI sectors, which are expected to enhance its revenue growth. Chatterjee’s price target for December 2026 is $105, based on a 22x target multiple on the 2027 EPS estimate, reflecting confidence in Ciena’s ability to capitalize on these growth opportunities.