Selected stock price target news of the day - December 13th, 2024

By: Matthew Otto

Ciena Reports Revenue Growth and Provides Optimistic Guidance

Ciena Corporation reported its fiscal fourth-quarter with adjusted earnings of $0.54 per share which fell short of analysts’ expectations of $0.65, based on FactSet data. However, revenue for the quarter ended November 2 reached $1.12 billion, exceeding the consensus estimate of $1.1 billion. Gross margin, meanwhile, declined to 40.9% from 43.1% in the same period last year.

Looking ahead, Ciena anticipates fiscal Q1 revenue between $1.01 billion and $1.09 billion, surpassing the analyst forecast of $1 billion. Ciena also projects average annual revenue growth of 8% to 11% over the next three years.

Analyst Upgrades and Price Target Adjustments Reflect Confidence in Outlook

Northland Capital Markets analyst Tim Savageaux maintained a Market Perform rating while raising the price target from $46 to $60.
Needham analyst Ryan Koontz maintained a Buy rating and increased the price target from $80 to $95.
BofA Securities analyst Tal Liani upgraded from Neutral to Buy and the price target from $70 to $95.

Which Analyst has the best track record to show on CIEN?

Analyst Mark Carden (UBS) currently has the highest performing score on CIEN with 7/7 (100%) price target fulfillment ratio. His price targets carry an average of $9.44 (10.54%) potential upside. Ciena Corporation stock price reaches these price targets on average within 101 days.

Broadcom Reports Strong Q4 Results and Provides Positive Fiscal Year 2025 Guidance

Broadcom reported fourth-quarter fiscal year 2024 revenue of $14.05 billion, a 51% increase from the same period last year but slightly below the consensus estimate of $14.07 billion.

GAAP net income rose to $4.32 billion, or $0.90 per diluted share, compared to $3.52 billion, or $0.83 per share, a year earlier. Non-GAAP net income was $6.97 billion, with earnings per share of $1.42, exceeding analyst expectations of $1.39 by $0.03.

Adjusted EBITDA for the quarter was $9.09 billion, representing 65% of revenue. Broadcom generated $5.60 billion in cash from operations, achieving $5.48 billion in free cash flow, or 39% of revenue, after $122 million in capital expenditures.

In its Semiconductor Solutions segment, revenue grew 12% year-over-year to $8.23 billion, driven by a 220% surge in AI-related revenue, which totaled $12.2 billion for fiscal 2024. The Infrastructure Software segment nearly tripled revenue to $5.82 billion, aided by the integration of VMware.

Broadcom’s full-year revenue reached $51.57 billion, a 44% increase, with adjusted EBITDA hitting $31.90 billion and free cash flow at $19.41 billion. For Q1 2025, Broadcom provided revenue guidance of $14.6 billion, surpassing the consensus of $14.55 billion, along with Adjusted EBITDA guidance of approximately 66% of projected revenue.

Analysts Raise Price Targets Following Q4 Results and Outlook

Evercore ISI Group analyst Mark Lipacis maintained an Outperform rating while increasing the price target from $201 to $250.
Baird analyst Tristan Gerra also maintained an Outperform rating and raised the price target from $195 to $210.
Piper Sandler analyst Harsh Kumar kept an Overweight rating yet elevated the price target from $200 to $250.
Deutsche Bank analyst Ross Seymore maintained a Buy rating and boosted the price target from $190 to $240.

Which Analyst has the best track record to show on AVGO?

Analyst Joseph Moore (MORGAN STANLEY) currently has the highest performing score on AVGO with 5/5 (100%) price target fulfillment ratio. His price targets carry an average of $43 (31.39%) potential upside. Broadcom stock price reaches these price targets on average within 223 days.

Costco Reports Q1 Fiscal 2025 Results, Beating Earnings Estimates and Driving Revenue Growth

Costco Wholesale reported financial results for the first quarter of fiscal 2025, with net sales rose 7.5% to $60.99 billion, up from $56.72 billion in the same period last year. Adjusted comparable sales, excluding gasoline price fluctuations and foreign exchange impacts, grew 7.1% company-wide, with U.S. sales at 7.2%, Canada at 6.7%, and Other International markets at 7.1%.

E-commerce sales increased by 13.2%. Net income for the quarter was $1.798 billion, or $4.04 per diluted share, surpassing last year’s $1.589 billion, or $3.58 per diluted share. This quarter’s results included a $100 million tax benefit from stock-based compensation, compared to a $44 million benefit in the prior year. Reported EPS of $4.04 was $0.26 higher than the analyst estimate of $3.78.

For the first quarter, Costco’s revenue of $62.15 billion exceeded analysts’ expectations of $62.08 billion but fell slightly short of the consensus estimate of $62.33 billion. Membership fee income also rose by 7.7% to $1.17 billion, boosted by an increase in annual membership fees to $65 for Gold Star members and $130 for Executive members.

Analyst Ratings and Price Target Adjustments Following Q1 Performance

Roth MKM analyst Bill Kirk maintained a Neutral rating and raised the price target from $755 to $907.
Evercore ISI Group analyst Greg Melich held an Outperform rating, while increasing the price target from $1020 to $1030.
Telsey Advisory Group analyst Joseph Feldman maintained an Outperform rating and the price target at $1050.

Which Analyst has the best track record to show on COST?

Analyst Krisztina Katai (DEUTSCHE BANK) currently has the highest performing score on COST with 18/19 (94.74%) price target fulfillment ratio. Her price targets carry an average of $87.57 (10.43%) potential upside. Costco Wholesale stock price reaches these price targets on average within 144 days.