Wall Street Zen Upgrades Viavi Solutions (NASDAQ:VIAV) to “Strong-Buy”

Viavi Solutions (NASDAQ:VIAV) was upgraded by investment analysts at Wall Street Zen from a “buy” rating to a “strong-buy” rating in a note issued to investors on Saturday.

Several other research firms have also recently commented on VIAV. Weiss Ratings cut Viavi Solutions from a “sell (d+)” rating to a “sell (d)” rating in a report on Tuesday, August 11th. Susquehanna boosted their price objective on Viavi Solutions from $65.00 to $66.00 and gave the stock a “positive” rating in a research note on Wednesday, July 1st. UBS Group dropped their target price on Viavi Solutions from $60.00 to $44.00 and set a “neutral” rating for the company in a report on Thursday, August 6th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $70.00 target price on shares of Viavi Solutions in a research note on Thursday, August 6th. Finally, Needham & Company LLC reduced their price target on Viavi Solutions from $68.00 to $60.00 and set a “buy” rating on the stock in a report on Thursday, August 6th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $49.88.

Viavi Solutions Price Performance

Viavi Solutions stock opened at $43.54 on Friday. Viavi Solutions has a 52-week low of $10.44 and a 52-week high of $60.43. The firm has a market capitalization of $10.18 billion, a price-to-earnings ratio of -290.25 and a beta of 1.22. The company has a fifty day simple moving average of $43.23 and a 200-day simple moving average of $39.87. The company has a quick ratio of 1.62, a current ratio of 1.85 and a debt-to-equity ratio of 0.27.

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

Insider Activity at Viavi Solutions

In other news, EVP Paul Mcnab sold 1,595 shares of Viavi Solutions 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 sale, the executive vice president owned 13,876 shares of the company’s stock, valued at approximately $518,546.12. The trade was a 10.31% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in shares of Viavi Solutions during the 2nd quarter worth about $1,228,529,000. Arrowstreet Capital Limited Partnership raised its holdings in 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 acquired a new position in Viavi Solutions in the first quarter valued at about $75,294,000. Invesco Ltd. lifted its position in Viavi Solutions by 116.0% in the fourth quarter. Invesco Ltd. now owns 3,809,513 shares of the communications equipment provider’s stock valued at $67,886,000 after buying an additional 2,045,702 shares during the last quarter. Finally, Marshall Wace LLP boosted its stake in Viavi Solutions by 1,011.9% during the fourth quarter. Marshall Wace LLP now owns 2,187,600 shares of the communications equipment provider’s stock worth $38,983,000 after buying an additional 1,990,848 shares during the period. 95.54% of the stock is currently owned by hedge funds and other institutional investors.

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.