This firm currently holds 851.43
M in liabilities with Debt to Equity (D/E) ratio of 0.33, which is about average as compared to similar companies. The company has a current ratio of 3.71, suggesting that it is liquid enough and is able to pay its financial obligations when due.
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Ciena Corp has an asset utilization ratio of 120.04 percent. This suggests that the company is making $1.2 for each dollar of assets. An increasing asset utilization means that Ciena Corp is more efficient with each dollar of assets it utilizes for everyday operations.
We determine the current worth of Ciena Corp using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Ciena Corp based exclusively on its
fundamental and basic
technical indicators. By analyzing Ciena Corp's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of
Ciena Corp's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ciena Corp. We calculate exposure to Ciena Corp's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Ciena Corp's related companies.
Ciena Corp Investment Alerts
Ciena investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Ciena Corp performance across your portfolios.Please check all
investment alerts for Ciena
Ciena Corp Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Ciena value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Ciena Corp competition to find
correlations between indicators driving the intrinsic value of Ciena.
Ciena Corp Gross Profit
Ciena Corp Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Ciena Corp previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Ciena Corp Gross Profit growth over the last 10 years. Please check Ciena Corp's
gross profit and other
fundamental indicators for more details.
What is driving Ciena Corp Investor Appetite?
Ciena Corp reported the previous year's revenue of 3.46
B. Net Income was 354.31
M with profit before overhead, payroll, taxes, and interest of 1.65
B.
Margins Breakdown
Ciena profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Ciena Corp itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Ciena Corp profit margins.
| Operating Margin | 13.39 |
| EBITDA Margin | 0.22 |
| Gross Margin | 0.53 |
| Profit Margin | 0.12 |
Ciena Corp Average Assets is increasing over the last 8 years. The latest value of Ciena Corp Average Assets is 3,933,937,671. Moreover, Ciena Corp Net Income Per Employee is increasing over the last 8 years. The latest value of Ciena Corp Net Income Per Employee is 50,028.
Will Ciena continue to rise?
Coefficient of variation is down to 3505.76. It may entail a possible volatility slide. Ciena Corp currently demonstrates below-average downside deviation. It has Information Ratio of -0.05 and Jensen Alpha of 0.02. However, we advise investors to further question Ciena Corp expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Ciena Corp's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Ciena Corp's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Conclusion on Ciena Corp
Whereas some firms under the communication equipment industry are still a bit expensive, Ciena Corp may offer a potential longer-term growth to institutional investors. With a relatively neutral outlook on the latest economy, it is better to hold off any trading of Ciena as the current risk-reward utility is not appealing enough. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Ciena Corp.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Ciena Corp. Please refer to our
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