Infinera (NASDAQ:INFN) Downgraded to Hold at Zacks Investment Research

Zacks Investment Research lowered shares of Infinera (NASDAQ:INFN) from a buy rating to a hold rating in a report published on Wednesday morning, Zacks.com reports.

According to Zacks, “Infinera provides Digital Optical Networking systems to telecommunications carriers, cable operators and other service providers worldwide. Infinera’s large-scale photonic integrated circuit incorporates hundred Gigabits per second of transmit and receive capacity and the functionality of more than sixty discrete optical components into a pair of indium phosphide chips. Infinera’s DTN system and PIC technology are designed to provide optical networks that provide operating simplicity, enhanced revenue generation, faster time-to-service and capital cost savings. “

A number of other analysts have also recently issued reports on the company. BidaskClub upgraded Infinera from a buy rating to a strong-buy rating in a research report on Tuesday, December 17th. Jefferies Financial Group lowered Infinera from a hold rating to an underperform rating in a research note on Thursday, November 7th. Rosenblatt Securities reaffirmed a hold rating and issued a $6.00 price target on shares of Infinera in a research note on Wednesday, November 13th. MKM Partners boosted their price target on Infinera from $6.00 to $7.00 and gave the company a buy rating in a research note on Tuesday, October 1st. Finally, Needham & Company LLC reaffirmed a strong-buy rating and issued a $12.00 price target (up previously from $10.00) on shares of Infinera in a research note on Thursday, January 2nd. Two analysts have rated the stock with a sell rating, six have issued a hold rating, four have assigned a buy rating and two have given a strong buy rating to the company’s stock. The stock presently has an average rating of Hold and an average price target of $7.60.

Shares of INFN traded up $0.27 on Wednesday, reaching $8.12. 209,655 shares of the stock traded hands, compared to its average volume of 2,373,402. The firm has a market cap of $1.42 billion, a price-to-earnings ratio of -12.69 and a beta of 0.69. The company has a debt-to-equity ratio of 0.90, a current ratio of 1.47 and a quick ratio of 0.89. Infinera has a 12 month low of $2.80 and a 12 month high of $8.25. The stock’s 50-day moving average price is $7.26 and its 200-day moving average price is $5.45.

Infinera (NASDAQ:INFN) last released its quarterly earnings data on Tuesday, November 12th. The communications equipment provider reported ($0.17) earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of ($0.17). The business had revenue of $325.34 million for the quarter, compared to analysts’ expectations of $327.09 million. Infinera had a negative return on equity of 34.56% and a negative net margin of 36.15%. Infinera’s quarterly revenue was up 62.3% on a year-over-year basis. During the same period in the previous year, the business posted ($0.04) earnings per share. As a group, equities research analysts forecast that Infinera will post -0.9 earnings per share for the current fiscal year.

Several institutional investors and hedge funds have recently modified their holdings of INFN. Millennium Management LLC bought a new stake in Infinera in the third quarter valued at about $55,000. Point72 Asset Management L.P. bought a new stake in shares of Infinera in the third quarter worth about $56,000. Ladenburg Thalmann Financial Services Inc. increased its holdings in shares of Infinera by 95.2% in the second quarter. Ladenburg Thalmann Financial Services Inc. now owns 22,010 shares of the communications equipment provider’s stock worth $66,000 after acquiring an additional 10,733 shares in the last quarter. US Bancorp DE increased its holdings in shares of Infinera by 20.1% in the second quarter. US Bancorp DE now owns 24,211 shares of the communications equipment provider’s stock worth $70,000 after acquiring an additional 4,051 shares in the last quarter. Finally, Marshall Wace North America L.P. bought a new stake in shares of Infinera in the second quarter worth about $76,000. 84.43% of the stock is currently owned by institutional investors and hedge funds.

Infinera Company Profile

Infinera Corporation provides optical transport networking equipment and software and services worldwide. The company's product portfolio consists of Infinera DTN-X Family of terabit-class transport network platforms, including the XTC Series, XTS Series, and XT Series; Infinera DTN-X XTC series multi-terabit packet optical transport platforms that integrate digital OTN switching and optical WDM transmission; and Infinera DTN-X XT series for terrestrial applications and XTS series for subsea applications.

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