Infinera (NASDAQ:INFN) Cut to “Sell” at Zacks Investment Research

Zacks Investment Research downgraded shares of Infinera (NASDAQ:INFN) from a hold rating to a sell rating in a research note issued to investors 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. “

Several other brokerages have also recently commented on INFN. MKM Partners cut shares of Infinera from a buy rating to a neutral rating and reduced their price objective for the company from $11.50 to $9.00 in a research note on Friday, September 24th. JPMorgan Chase & Co. cut shares of Infinera from a neutral rating to an underweight rating and reduced their price objective for the company from $11.00 to $9.00 in a research note on Monday, October 18th. Finally, Needham & Company LLC reiterated a buy rating and issued a $15.00 price objective on shares of Infinera in a research note on Monday, September 27th. Two investment analysts have rated the stock with a sell rating, three have issued a hold rating and two have issued a buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of Hold and an average price target of $10.36.

INFN stock opened at $9.03 on Wednesday. Infinera has a one year low of $7.22 and a one year high of $11.10. The company has a debt-to-equity ratio of 1.38, a quick ratio of 1.19 and a current ratio of 1.75. The company has a fifty day moving average of $8.94 and a 200-day moving average of $8.84.

Infinera (NASDAQ:INFN) last released its earnings results on Wednesday, November 3rd. The communications equipment provider reported ($0.01) EPS for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.04) by $0.03. Infinera had a negative net margin of 10.71% and a negative return on equity of 9.41%. The company had revenue of $355.81 million during the quarter, compared to analysts’ expectations of $355.66 million. During the same quarter last year, the business earned ($0.03) EPS. As a group, equities analysts anticipate that Infinera will post -0.28 earnings per share for the current fiscal year.

Large investors have recently bought and sold shares of the business. O Shaughnessy Asset Management LLC purchased a new position in Infinera during the 3rd quarter valued at about $55,000. Macquarie Group Ltd. grew its holdings in shares of Infinera by 272.6% during the third quarter. Macquarie Group Ltd. now owns 7,932 shares of the communications equipment provider’s stock worth $66,000 after buying an additional 5,803 shares in the last quarter. Gotham Asset Management LLC purchased a new stake in shares of Infinera during the third quarter worth about $86,000. Robertson Stephens Wealth Management LLC purchased a new stake in shares of Infinera during the second quarter worth about $102,000. Finally, Pinz Capital Management LP purchased a new stake in Infinera in the second quarter valued at approximately $106,000. Hedge funds and other institutional investors own 91.81% of the company’s stock.

About Infinera

Infinera Corp. engages in the provision of networking solutions, which consists of networking equipment, software and services. It operates through the following geographical segments: United States, Other Americas, Europe, Middle East and Africa, and Asia Pacific and Japan. Its products include control and automation, network routers, packet optical, and compact modular.

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