CIENA (NASDAQ:CIEN) Still Weighed Down by Nortel Deal

For a reason not justified by the performance of CIENA (NASDAQ:CIEN), Jefferies remains somewhat positive on the outlook even though the Nortel deal continues to weigh on them and they're having difficulty bringing costs under control.

Jefferies said, "Despite management's enthusiasm on the company's top line momentum and operating leverage, our long-term concerns around the acquisition persist."

EPS estimates for full year 2011 were lowered to $0.22 from $0.00. For full year 2012 they has an EPS estimate of $0.50 on them, with revenue of $1.86 billion.

Ciena closed Monday at $19.08, down $0.13, or 0.69 percent. Jefferies raised their price target on them from $10.25 to $13.