UPDATE: BMO Capital Raises PT on Ciena Corporation on Solid Quarter

In a report published Friday, BMO Capital Markets reiterated its Market Perform rating on Ciena Corporation

, and raised its price target from $15.00 to $18.00. BMO Capital Markets noted, “Ciena had a solid quarter but the upside was predominantly margin driven as revenue and guidance were mostly in line. The strong margins are expected to return to more normalized levels in Q2. Orders were once again strong with book-to-bill above 1.0, and management is now seeing stabilization in Europe in addition to the positive trends in North America. Ciena's position as a (mostly) non-legacy provider of optical equipment should allow for better growth than most competitors, but at this point, we see limited room for additional upside in the shares given its already high valuation.” Ciena Corporation closed on Thursday at $17.53.