NYSE
CIEN
Last Price
US $490.56
KEY FIGURES
MKT CAP
$67.9B
EPS
TTM
$3.09
PEG
TTM
0.48x
P/E
TTM
155.18x
P/S
TTM
14.23x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
15.65%
Return on equity
ROIC: 11.93%
Valuation History
155.2X
Price to Earnings
EV/EBITDA: 93.6X
Cash flow
Profit margin
6.19%
(FY vs FY)
EBITDA Y/Y
-8.92%
(FY vs FY)
Cash flow Y/Y
10.11%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $490.56
-83.69%
Default assumptions
EBITDA Multiple
Fair Value
Market $490.56
-96.80%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Ciena Corporation cash flow to debt ratio of 50.95% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
Ciena Corporation's free cash flow has increased 76.05% from $377.89M last year to $665.29M, signaling increasing performance
Financial stability - Healthy debt to equity ratio.
Ciena Corporation's debt to equity ratio is 0.55, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial stability - Healthy debt to equity ratio development.
Ciena Corporation's debt has decreased relative to shareholder equity from 0.58 last year to 0.55 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
Ciena Corporation has a net debt to EBITDA ratio of 1.26x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Ciena Corporation's interest coverage ratio of 7.16 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Ciena Corporation's profit margin has increased (276.36%) in the last year from 2.09% to 7.87%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Ciena Corporation's short-term assets of $3.57G exceed its short-term liabilities of $1.31G
Increasing performance - ROA.
Ciena Corporation's return on assets of 7.26% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Ciena Corporation's return on equity of 15.65%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Ciena Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Ciena Corporation had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Ciena Corporation has positive free cash flow, indicating the company generates cash after capital expenditures
Decreasing performance - FCF yield.
Ciena Corporation has a free cash flow yield of 0.98%, which is below the 2.00% threshold, indicating limited cash return relative to market value
Increasing performance - Healthy earnings growth.
Ciena Corporation's yearly earnings has increased 46.91% since last year from $83.96M to $123.34M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Ciena Corporation's yearly revenue has increased 18.79% since last year from $4.01G to $4.77G, signaling increasing performance
Increasing performance - ROIC.
ROIC 11.93% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
Ciena Corporation's 3-year revenue CAGR of 9.50% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Ciena Corporation had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Ciena Corporation had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Ciena Corporation is overvalued relative to its fair value price of 80.02 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Ciena Corporation has an earnings yield of 0.64%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Ciena Corporation is overvalued relative to its fair value price of 15.71 based on EBITDA multiple model
Overvalued - EV/EBITDA.
Ciena Corporation has an EV/EBITDA ratio of 93.61x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Undervalued - PEG ratio value.
Ciena Corporation has a PEG-ratio under 1 which is considered undervalued
Overvalued - P/B ratio.
Ciena Corporation has a price-to-book ratio of 23.53x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Overvalued - P/S ratio.
Ciena Corporation has a price-to-sales ratio of 12.19x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue