Rosenblatt has revised its price target for Viavi Solutions Inc. (VIAV, Financial), reducing it from $14 to $12, while maintaining a Buy rating on the stock. This adjustment reflects the firm's cautious outlook on the optical sector, despite expectations for a solid performance in the upcoming March quarter.
The revision is largely influenced by broader market challenges, including the anticipated adverse effects of heightened tariffs and a significant macroeconomic slowdown. These factors, driven by rising prices and lingering business uncertainty, are expected to pressure gross margins across the industry. Rosenblatt projects these challenges will become more pronounced in the latter half of 2025.
In light of these considerations, the firm has lowered its price targets across its coverage universe by an average of 19%, signaling a more conservative stance given the current economic landscape.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 8 analysts, the average target price for Viavi Solutions Inc (VIAV, Financial) is $12.69 with a high estimate of $16.00 and a low estimate of $10.00. The average target implies an upside of 31.20% from the current price of $9.67. More detailed estimate data can be found on the Viavi Solutions Inc (VIAV) Forecast page.
Based on the consensus recommendation from 9 brokerage firms, Viavi Solutions Inc's (VIAV, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Viavi Solutions Inc (VIAV, Financial) in one year is $10.78, suggesting a upside of 11.48% from the current price of $9.67. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Viavi Solutions Inc (VIAV) Summary page.
