WallStSmart

Ciena Corp (CIEN)vsLumentum Holdings Inc (LITE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ciena Corp generates 124% more annual revenue ($5.57B vs $2.49B). LITE leads profitability with a 17.7% profit margin vs 7.9%. LITE appears more attractively valued with a PEG of 0.63. LITE earns a higher WallStSmart Score of 74/100 (B).

CIEN

Buy

64

out of 100

Grade: C+

Growth: 8.7Profit: 6.5Value: 4.3Quality: 6.0
Piotroski: 5/9Altman Z: 1.18

LITE

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 6.5Value: 5.0Quality: 4.0
Piotroski: 4/9Altman Z: 0.58

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CIEN3 strengths · Avg: 9.7/10
Revenue GrowthGrowth
39.5%10/10

Revenue surging 39.5% year-over-year

EPS GrowthGrowth
2383.0%10/10

Earnings expanding 2383.0% YoY

Market CapQuality
$65.60B9/10

Large-cap with strong market position

LITE5 strengths · Avg: 9.0/10
Revenue GrowthGrowth
90.1%10/10

Revenue surging 90.1% year-over-year

EPS GrowthGrowth
71.1%10/10

Earnings expanding 71.1% YoY

Market CapQuality
$74.47B9/10

Large-cap with strong market position

PEG RatioValuation
0.638/10

Growing faster than its price suggests

Operating MarginProfitability
21.8%8/10

Strong operational efficiency at 21.8%

Areas to Watch

CIEN4 concerns · Avg: 2.3/10
Profit MarginProfitability
7.9%3/10

7.9% margin — thin

P/E RatioValuation
154.0x2/10

Premium valuation, high expectations priced in

Price/BookValuation
23.9x2/10

Trading at 23.9x book value

Altman Z-ScoreHealth
1.182/10

Distress zone — elevated risk

LITE4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.113/10

Elevated debt levels

P/E RatioValuation
169.4x2/10

Premium valuation, high expectations priced in

Price/BookValuation
79.7x2/10

Trading at 79.7x book value

Altman Z-ScoreHealth
0.582/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CIEN

The strongest argument for CIEN centers on Revenue Growth, EPS Growth, Market Cap. Revenue growth of 39.5% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bull Case : LITE

The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Profitability is solid with margins at 17.7% and operating margin at 21.8%. Revenue growth of 90.1% demonstrates continued momentum.

Bear Case : CIEN

The primary concerns for CIEN are Profit Margin, P/E Ratio, Price/Book. A P/E of 154.0x leaves little room for execution misses.

Bear Case : LITE

The primary concerns for LITE are Debt/Equity, P/E Ratio, Price/Book. A P/E of 169.4x leaves little room for execution misses.

Key Dynamics to Monitor

CIEN profiles as a hypergrowth stock while LITE is a growth play — different risk/reward profiles.

LITE carries more volatility with a beta of 1.48 — expect wider price swings.

LITE is growing revenue faster at 90.1% — sustainability is the question.

CIEN generates stronger free cash flow (219M), providing more financial flexibility.

Bottom Line

LITE scores higher overall (74/100 vs 64/100), backed by strong 17.7% margins and 90.1% revenue growth. Both earn "Strong Buy" and "Buy" 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.

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Lumentum Holdings Inc

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.

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