Ciena Corp (CIEN)vsTelefonaktiebolaget LM Ericsson B ADR (ERIC)
CIEN
Ciena Corp
$349.54
+4.48%
TECHNOLOGY · Cap: $49.57B
ERIC
Telefonaktiebolaget LM Ericsson B ADR
$10.31
+3.00%
TECHNOLOGY · Cap: $32.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Telefonaktiebolaget LM Ericsson B ADR generates 3891% more annual revenue ($240.31B vs $6.02B). CIEN leads profitability with a 10.9% profit margin vs 10.8%. CIEN appears more attractively valued with a PEG of 0.58. CIEN earns a higher WallStSmart Score of 70/100 (B).
CIEN
Strong Buy70
out of 100
Grade: B
ERIC
Hold46
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CIEN.
Margin of Safety
+64.9%
Fair Value
$31.71
Current Price
$10.31
$21.40 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 37.0% year-over-year
Earnings expanding 422.9% YoY
Conservative balance sheet, low leverage
Every $100 of equity generates 21 in profit
Growing faster than its price suggests
Reasonable price relative to book value
Every $100 of equity generates 24 in profit
Attractively priced relative to earnings
Generating 1.3B in free cash flow
Areas to Watch
Trading at 16.2x book value
Premium valuation, high expectations priced in
Distress zone — elevated risk
Expensive relative to growth rate
Operating margin of 0.0%
Revenue declined 6.1%
Earnings declined 10.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : CIEN
The strongest argument for CIEN centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 37.0% demonstrates continued momentum. PEG of 0.58 suggests the stock is reasonably priced for its growth.
Bull Case : ERIC
The strongest argument for ERIC centers on Price/Book, Return on Equity, P/E Ratio.
Bear Case : CIEN
The primary concerns for CIEN are Price/Book, P/E Ratio, Altman Z-Score. A P/E of 78.0x leaves little room for execution misses.
Bear Case : ERIC
The primary concerns for ERIC are PEG Ratio, Operating Margin, Revenue Growth.
Key Dynamics to Monitor
CIEN profiles as a growth stock while ERIC is a declining play — different risk/reward profiles.
CIEN carries more volatility with a beta of 1.31 — expect wider price swings.
CIEN is growing revenue faster at 37.0% — sustainability is the question.
ERIC generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
CIEN scores higher overall (70/100 vs 46/100) and 37.0% revenue growth. ERIC offers better value entry with a 64.9% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ciena Corp
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Ciena Corporation provides hardware, software, and network services that support the transport, routing, switching, aggregation, service delivery, and management of video, data, and voice traffic on communications networks worldwide. The company is headquartered in Hanover, Maryland.
Visit Website →Telefonaktiebolaget LM Ericsson B ADR
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Telefonaktiebolaget LM Ericsson (publ), provides communications infrastructure, services and software solutions for telecommunications and other sectors. The company is headquartered in Stockholm, Sweden.
Visit Website →Compare with Other COMMUNICATION EQUIPMENT Stocks
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