Viavi Solutions (NASDAQ:VIAV) Rating Increased to Strong-Buy at Zacks Research

Zacks Research upgraded shares of Viavi Solutions (NASDAQ:VIAV) from a hold rating to a strong-buy rating in a research note released on Thursday morning,Zacks.com reports.

A number of other analysts also recently issued reports on the stock. UBS Group cut their price target on shares of Viavi Solutions from $60.00 to $44.00 and set a “neutral” rating for the company in a report on Thursday, August 6th. Wall Street Zen upgraded Viavi Solutions from a “buy” rating to a “strong-buy” rating in a research report on Saturday. Weiss Ratings cut Viavi Solutions from a “sell (d+)” rating to a “sell (d)” rating in a research note on Tuesday. Rosenblatt Securities restated a “buy” rating and issued a $70.00 target price on shares of Viavi Solutions in a research report on Thursday, August 6th. Finally, Stifel Nicolaus lifted their target price on Viavi Solutions from $60.00 to $65.00 and gave the company a “buy” rating in a research report on Thursday, August 6th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $49.88.

Viavi Solutions Price Performance

Viavi Solutions stock opened at $43.54 on Thursday. Viavi Solutions has a 12-month low of $10.44 and a 12-month high of $60.43. The stock has a market cap of $10.18 billion, a P/E ratio of -290.25 and a beta of 1.21. The company has a 50-day moving average price of $43.23 and a 200 day moving average price of $39.74. The company has a current ratio of 1.85, a quick ratio of 1.62 and a debt-to-equity ratio of 0.27.

Viavi Solutions (NASDAQ:VIAV) last issued its earnings results on Wednesday, August 5th. The communications equipment provider reported $0.34 EPS for the quarter, topping analysts’ consensus estimates of $0.30 by $0.04. The company had revenue of $443.10 million for the quarter, compared to the consensus estimate of $432.62 million. Viavi Solutions had a negative net margin of 2.00% and a positive return on equity of 19.60%. Viavi Solutions’s quarterly revenue was up 52.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.13 earnings per share. Viavi Solutions has set its Q1 2027 guidance at 0.400-0.420 EPS. Sell-side analysts anticipate that Viavi Solutions will post 1.32 earnings per share for the current year.

Insider Buying and Selling at Viavi Solutions

In related news, EVP Paul Mcnab sold 1,595 shares of the stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $37.37, for a total transaction of $59,605.15. Following the completion of the transaction, the executive vice president owned 13,876 shares of the company’s stock, valued at approximately $518,546.12. This trade represents a 10.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 1.80% of the company’s stock.

Institutional Trading of Viavi Solutions

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new position in shares of Viavi Solutions during the second quarter worth $1,228,529,000. Arrowstreet Capital Limited Partnership raised its holdings in shares of Viavi Solutions by 431.1% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 6,639,682 shares of the communications equipment provider’s stock valued at $84,258,000 after buying an additional 5,389,435 shares during the period. Allspring Global Investments Holdings LLC purchased a new stake in shares of Viavi Solutions in the 1st quarter valued at $75,294,000. Invesco Ltd. lifted its stake in Viavi Solutions by 116.0% during the 4th quarter. Invesco Ltd. now owns 3,809,513 shares of the communications equipment provider’s stock worth $67,886,000 after acquiring an additional 2,045,702 shares in the last quarter. Finally, Marshall Wace LLP lifted its stake in Viavi Solutions by 1,011.9% during the 4th quarter. Marshall Wace LLP now owns 2,187,600 shares of the communications equipment provider’s stock worth $38,983,000 after acquiring an additional 1,990,848 shares in the last quarter. Hedge funds and other institutional investors own 95.54% of the company’s stock.

Viavi Solutions News Summary

Here are the key news stories impacting Viavi Solutions this week:

• Positive Sentiment: Analyst estimates raised materially: Northland Securities increased its FY2027 EPS forecast to $1.45 from $1.07, while raising estimates for Q1, Q2, Q3 and Q4 2027. The revised quarterly forecasts range from $0.34 to $0.38 per share, signaling expectations for improving profitability. Northland Securities earnings estimates
• Positive Sentiment: AI infrastructure tailwinds: Viavi is benefiting from data-center expansion and demand for network testing, while new testing capabilities and margin expansion are supporting faster growth. Viavi Solutions Gains From AI Infrastructure Demand as Margins Expand
• Positive Sentiment: Product launch expands addressable opportunities: Viavi introduced the Vertex 6.0 channel emulator for 6G and Wi-Fi 7/8 testing, strengthening its positioning in next-generation wireless development and validation. VIAVI Introduces Vertex 6.0 Channel Emulator
• Positive Sentiment: Price-target optimism: The average Wall Street price target implies 38.8% potential upside. However, the article notes that price targets are an imperfect indicator; improving earnings-estimate revisions provide the more meaningful bullish signal. Viavi Solutions Analyst Price Target Potential
• Neutral Sentiment: Key question is margin durability: Recent commentary focuses on whether Viavi can sustain its improving margin profile as growth accelerates, making future earnings quality an important catalyst. Viavi Solutions Q4 Margin Review
• Negative Sentiment: Valuation and execution risks remain: Viavi’s premium valuation and weak quantitative signals could limit additional upside. A recent pullback also reflects concerns about weak wireless demand and potential dilution despite strong revenue, earnings and margin trends. Viavi Solutions Premium Valuation Analysis

Viavi Solutions Company Profile

Viavi Solutions Inc is a provider of network test, monitoring and assurance solutions for communications service providers, cable operators, enterprises and government agencies. The company offers an extensive portfolio of fiber optic and copper cable test and measurement instruments, wireless network testing equipment and network performance monitoring software. Its products are designed to support the deployment, maintenance and optimization of high-speed broadband, 5G wireless, data center and enterprise networks.

Viavi’s product offerings are organized into two primary segments: Network & Service Enablement and Optical Security & Performance.