Forecasting The Future: 4 Analyst Projections For Viavi Solutions

Throughout the last three months, 4 analysts have evaluated Viavi Solutions VIAV, offering a diverse set of opinions from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $11.53, along with a high estimate of $14.00 and a low estimate of $9.50. Observing a 9.81% increase, the current average has risen from the previous average price target of $10.50.

Interpreting Analyst Ratings: A Closer Look

An in-depth analysis of recent analyst actions unveils how financial experts perceive Viavi Solutions. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Viavi Solutions. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Viavi Solutions compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Capture valuable insights into Viavi Solutions's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Viavi Solutions analyst ratings.

Discovering Viavi Solutions: A Closer Look

Viavi Solutions Inc. is an international provider of network test, monitoring, and assurance solutions to communications service providers, enterprises, network equipment manufacturers, civil government, military and avionics customers. The company also offers high-performance thin-film optical coatings, providing light management solutions to anti-counterfeiting, 3D sensing, electronics, automotive, defense, and instrumentation markets. Its operating segments include Network Enablement, Service Enablement, and Optical Security and Performance Products. Geographically, it derives a majority of its revenue from the United States. Additionally, it manufactures and sells optical filters for 3D sensing products that allow facial recognition security authentication for mobile devices.

Viavi Solutions: Financial Performance Dissected

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Negative Revenue Trend: Examining Viavi Solutions's financials over 3 months reveals challenges. As of 30 September, 2024, the company experienced a decline of approximately -3.91% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Information Technology sector.

Net Margin: Viavi Solutions's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of -0.76%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Viavi Solutions's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -0.26%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.1%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.98.

Analyst Ratings: What Are They?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.