Ciena Corporation
CIEN Technology Communication Equipment
Ciena Corporation’s revenue for fiscal 2025 (year ended October 2025) was $4.8 billion, up 18.8% from fiscal 2024. In the quarter to July 2026, revenue grew 37.1%, EPS grew 437.1%, free cash flow fell 13.6% and total debt rose 110.0%, each against the same quarter a year earlier. Member of the S&P 500; operating cash flow growth for three consecutive years.
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Ciena Corporation (CIEN) Altman Z-score
Ciena Corporation's Altman Z-score for fiscal 2025 is 5.80, in the safe zone (above 2.99).
Altman Z-score, annual
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Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2025 | 5.80 | 3.31 |
| FY2024 | 2.48 | 0.40 |
| FY2023 | 2.09 | (0.17) |
| FY2022 | 2.26 | (1.04) |
| FY2021 | 3.29 | 0.79 |
| FY2020 | 2.51 | 0.48 |
| FY2019 | 2.03 | 1.00 |
| FY2018 | 1.03 | 0.51 |
| FY2017 | 0.53 | 1.10 |
| FY2016 | −0.57 | 0.15 |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.38 | — | 0.46 | |
| Retained earnings / total assets | (0.54) | — | −0.76 | |
| EBIT / total assets | 0.03 | — | 0.11 | |
| Market value of equity / total liabilities | 8.61 | — | 5.17 | |
| Sales / total assets | 0.81 | — | 0.81 | |
| Altman Z-score | Safe zone | 5.80 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Grey zone | 1.90 | ||
Z and Z″ put Ciena Corporation in different zones: safe zone by Z, grey zone by Z″.
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| UI Ubiquiti Inc. compare | 30.4× |
| LITE Lumentum Holdings Inc. compare | 13.9× |
| CIEN Ciena Corporation | 5.8× |
| ASTS AST SpaceMobile, Inc. compare | 4.4× |
| MSI Motorola Solutions, Inc. compare | 3.6× |
| ZBRA Zebra Technologies Corporation compare | 3.3× |
| ERIC Ericsson compare | 2.9× |
| NOK Nokia Corporation compare | 2.0× |
| HPE Hewlett Packard Enterprise Company compare | 0.8× |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets
More on CIEN
- Revenue
- Net income
- EPS (diluted)
- EBITDA
- Free cash flow
- Operating cash flow
- Gross margin
- Operating margin
- Net margin
- Free cash flow margin
- P/E ratio
- P/S ratio
- P/B ratio
- Price to free cash flow
- EV/EBITDA
- EV/Sales
- EV/FCF
- Return on equity
- Return on assets
- Return on invested capital
- Debt to equity
- Current ratio
- Total debt
- Shares outstanding
- Book value per share
- Revenue growth
- Piotroski F-score
- Beneish M-score
- The full statement