Ciena price target lowered to $76 from $80 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on Ciena (CIEN) to $76 from $80 and keeps an Equal Weight rating on the shares. Ciena beat Q1 estimates given strength primarily from service providers, growing 14% year-over-year, though cloud continues to see strong order flow. The firm acknowledges a positive near-term set-up, but adds that gross margin volatility across FY25 and tariff uncertainty keeps it at Equal Weight “for now,” despite what it calls an “attractive” valuation.