BLOODBATH IN JDS UNIPHASE (JDSU), FINSAR (FNSR) CIEN (CIEN) AND OTHER OPTICAL STOCKS
Image via Wikipedia We have been negative on optical stocks led by JDS Uniphase (JDSU), Finsar (FNSR) and Ciena (CIEN) for two reasons: Irrational exuberance Stock prices far ahead of the fundamentals Now we have the following two fundamental pieces of data that the optical business is nowhere near as good as bulls would like to believe: ‘¢ Ciena (CIEN) reported earnings yesterday. An analysis of the earnings report clearly shows that the optical business is nowhere near the bullish projections. ‘¢ Today Finsar has provided weak projections. For the fourth quarter, Finisar expects a profit of about 31-35 cents