Morgan Stanley: Ciena FQ112 Wrap
In a research report published earlier today by Morgan Stanley, backlog increased for Ciena Corporation (NASDAQ: CIEN), but not much else is going right.
According to Morgan Stanley, “Carriers are ordering new products slowly without committing to volumes as they evaluate competitive platforms; short-term visibility is low, likely continuing into 2H; and mid 40s gross margin appears elusive in the next 5 quarters.”
Morgan Stanley maintains its Equal-weight rating on Ciena, which is currently trading at $14.46.
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