Stifel, Citi, and TD Cowen raise Ciena’s price targets citing higher optical connectivity demand and AI infrastructure spending.
Stifel increased its price target on Ciena (NYSE:CIEN) to $615 from $585, maintaining a Buy rating ahead of fiscal Q2 results. The firm expects continued outperformance driven by demand trends in optical connectivity.
Citi and TD Cowen also raised their targets to $658 and $675, respectively, citing stronger growth expectations for fiscal 2027 and 2028. TD Cowen highlighted a $1.3 trillion data center silicon spending forecast by 2030, up from $1.2 trillion, as AI capex rises.
Analysts noted a bifurcation in infrastructure trades, with optical names benefiting from anticipated shortages and increased AI-driven investment.