Buy Finisar (FNSR) Says Stifel Nicolaus

Even after the shares of Finisar Corp. (NASDAQ:FNSR) are getting hammered after their anemic guidance for the quarter, Stifel Nicolaus analyst Ajit Pai still has a "Buy" rating on the company.

Pai said, “FNSR remains one of the key beneficiaries of rebounding carrier spending to address bandwidth and QoS requirements as well as ramping technology adoption for increasingly agile and higher data rate (40G+) networks."

The analyst lowered his full-year estimates for earnings of $1.78 a share on sales of $1.08 billion, down from a former outlook of $2.08 a share and $1.15 billion.

Other optical stocks were getting punished as well.

Finisar was trading at $25.65, plummeting $14.39, or 35.94 percent, as of 11:38 AM EST.