Seek Returns logo

CIEN vs. GEN: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at CIEN and GEN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolCIENGEN
Company NameCiena CorporationGen Digital Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryCommunications EquipmentSoftware
Market Capitalization13.38 billion USD19.80 billion USD
ExchangeNYSENasdaqGS
Listing DateFebruary 7, 1997June 23, 1989
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CIEN and GEN by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CIEN vs. GEN: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCIENGEN
5-Day Price Return-0.55%13.76%
13-Week Price Return19.81%10.67%
26-Week Price Return1.65%16.02%
52-Week Price Return95.18%30.63%
Month-to-Date Return1.96%9.05%
Year-to-Date Return11.61%17.46%
10-Day Avg. Volume1.61M4.93M
3-Month Avg. Volume2.05M4.44M
3-Month Volatility40.51%26.36%
Beta1.070.98

Profitability

Return on Equity (TTM)

CIEN

3.72%

Communications Equipment Industry

Max
32.05%
Q3
19.58%
Median
11.77%
Q1
2.23%
Min
-11.93%

CIEN’s Return on Equity of 3.72% is on par with the norm for the Communications Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

GEN

30.30%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

In the upper quartile for the Software industry, GEN’s Return on Equity of 30.30% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

CIEN vs. GEN: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and Software industry benchmarks.

Net Profit Margin (TTM)

CIEN

2.46%

Communications Equipment Industry

Max
23.65%
Q3
14.32%
Median
5.31%
Q1
1.45%
Min
-12.72%

CIEN’s Net Profit Margin of 2.46% is aligned with the median group of its peers in the Communications Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.

GEN

16.34%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

GEN’s Net Profit Margin of 16.34% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.

CIEN vs. GEN: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and Software industry benchmarks.

Operating Profit Margin (TTM)

CIEN

4.66%

Communications Equipment Industry

Max
42.27%
Q3
18.90%
Median
6.21%
Q1
2.97%
Min
-20.72%

CIEN’s Operating Profit Margin of 4.66% is around the midpoint for the Communications Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

GEN

40.15%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 40.15% places GEN in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CIEN vs. GEN: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and Software industry benchmarks.

Profitability at a Glance

SymbolCIENGEN
Return on Equity (TTM)3.72%30.30%
Return on Assets (TTM)1.87%4.16%
Net Profit Margin (TTM)2.46%16.34%
Operating Profit Margin (TTM)4.66%40.15%
Gross Profit Margin (TTM)41.94%80.28%

Financial Strength

Current Ratio (MRQ)

CIEN

3.40

Communications Equipment Industry

Max
1.72
Q3
1.72
Median
1.46
Q1
1.18
Min
0.93

CIEN’s Current Ratio of 3.40 is exceptionally high, placing it well outside the typical range for the Communications Equipment industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

GEN

0.51

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

GEN’s Current Ratio of 0.51 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

CIEN vs. GEN: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CIEN

0.55

Communications Equipment Industry

Max
1.55
Q3
0.92
Median
0.55
Q1
0.30
Min
0.00

CIEN’s Debt-to-Equity Ratio of 0.55 is typical for the Communications Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

GEN

3.64

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

With a Debt-to-Equity Ratio of 3.64, GEN operates with exceptionally high leverage compared to the Software industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

CIEN vs. GEN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Interest Coverage Ratio (TTM)

CIEN

3.65

Communications Equipment Industry

Max
181.73
Q3
113.63
Median
7.59
Q1
3.82
Min
-5.39

In the lower quartile for the Communications Equipment industry, CIEN’s Interest Coverage Ratio of 3.65 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

GEN

2.88

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

GEN’s Interest Coverage Ratio of 2.88 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.

CIEN vs. GEN: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Financial Strength at a Glance

SymbolCIENGEN
Current Ratio (MRQ)3.400.51
Quick Ratio (MRQ)2.270.46
Debt-to-Equity Ratio (MRQ)0.553.64
Interest Coverage Ratio (TTM)3.652.88

Growth

Revenue Growth

CIEN vs. GEN: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CIEN vs. GEN: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CIEN

0.00%

Communications Equipment Industry

Max
3.88%
Q3
2.75%
Median
0.93%
Q1
0.00%
Min
0.00%

CIEN currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GEN

1.59%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

GEN’s Dividend Yield of 1.59% is exceptionally high, placing it well above the typical range for the Software industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

CIEN vs. GEN: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and Software industry benchmarks.

Dividend Payout Ratio (TTM)

CIEN

0.00%

Communications Equipment Industry

Max
111.16%
Q3
55.91%
Median
28.42%
Q1
0.00%
Min
0.00%

CIEN has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GEN

48.68%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

At 48.68%, GEN’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Software industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

CIEN vs. GEN: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Dividend at a Glance

SymbolCIENGEN
Dividend Yield (TTM)0.00%1.59%
Dividend Payout Ratio (TTM)0.00%48.68%

Valuation

Price-to-Earnings Ratio (TTM)

CIEN

131.48

Communications Equipment Industry

Max
57.30
Q3
47.92
Median
27.50
Q1
17.89
Min
13.89

At 131.48, CIEN’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Communications Equipment industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

GEN

30.70

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

GEN’s P/E Ratio of 30.70 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

CIEN vs. GEN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

CIEN

3.23

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

CIEN’s P/S Ratio of 3.23 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

GEN

5.02

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

GEN’s P/S Ratio of 5.02 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CIEN vs. GEN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

CIEN

3.73

Communications Equipment Industry

Max
9.66
Q3
5.60
Median
3.73
Q1
2.67
Min
0.30

CIEN’s P/B Ratio of 3.73 is within the conventional range for the Communications Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

GEN

7.18

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

GEN’s P/B Ratio of 7.18 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

CIEN vs. GEN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Valuation at a Glance

SymbolCIENGEN
Price-to-Earnings Ratio (TTM)131.4830.70
Price-to-Sales Ratio (TTM)3.235.02
Price-to-Book Ratio (MRQ)3.737.18
Price-to-Free Cash Flow Ratio (TTM)29.2616.37