Zacks Investment Research Downgrades Acacia Communications (NASDAQ:ACIA) to Hold

Zacks Investment Research lowered shares of Acacia Communications (NASDAQ:ACIA) from a strong-buy rating to a hold rating in a research note published on Tuesday, Zacks.com reports.

According to Zacks, “Acacia Communications, Inc. designs, develops, manufactures and markets communication equipments. The Company offers coherent optical interconnect products for cloud infrastructure operators and content and communication service providers. It operates primarily in the Americas, Europe, the Middle East, Africa and the Asia Pacific region. Acacia Communications, Inc. is headquartered in Maynard, Massachusetts. “

Several other research firms also recently issued reports on ACIA. ValuEngine upgraded Zynerba Pharmaceuticals from a hold rating to a buy rating in a research note on Friday, May 17th. UBS Group set a $180.00 price objective on Accenture and gave the stock a hold rating in a research report on Thursday, March 28th. Craig Hallum cut Acacia Communications from a buy rating to a hold rating in a report on Tuesday. Morgan Stanley upped their target price on Ollie’s Bargain Outlet from $74.00 to $79.00 and gave the stock an equal weight rating in a report on Wednesday, March 27th. Finally, B. Riley reissued a buy rating on shares of Skechers USA in a research note on Friday, April 26th. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating, five have given a buy rating and one has issued a strong buy rating to the company. The company currently has a consensus rating of Hold and a consensus price target of $58.07.



NASDAQ:ACIA opened at $64.40 on Tuesday. The company’s 50-day simple moving average is $48.60. Acacia Communications has a fifty-two week low of $31.42 and a fifty-two week high of $66.24. The company has a market cap of $2.64 billion, a PE ratio of 108.37, a PEG ratio of 3.81 and a beta of 1.71. The company has a debt-to-equity ratio of 0.03, a current ratio of 4.93 and a quick ratio of 4.65.

Acacia Communications (NASDAQ:ACIA) last posted its quarterly earnings results on Thursday, May 2nd. The technology company reported $0.37 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.11 by $0.26. The firm had revenue of $105.20 million for the quarter, compared to analyst estimates of $101.10 million. Acacia Communications had a return on equity of 4.96% and a net margin of 5.63%. The business’s quarterly revenue was up 44.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.10 EPS. Equities analysts anticipate that Acacia Communications will post 0.92 earnings per share for the current year.

In related news, CEO Murugesan Shanmugaraj sold 43,000 shares of the company’s stock in a transaction that occurred on Friday, May 17th. The stock was sold at an average price of $50.12, for a total value of $2,155,160.00. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, VP Francis J. Murphy sold 514 shares of the company’s stock in a transaction that occurred on Monday, April 22nd. The shares were sold at an average price of $57.80, for a total value of $29,709.20. The disclosure for this sale can be found here. Insiders have sold a total of 152,250 shares of company stock worth $7,576,219 in the last quarter. Company insiders own 9.30% of the company’s stock.

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Patriot Financial Group Insurance Agency LLC purchased a new stake in shares of Acacia Communications in the 1st quarter worth $39,000. Penserra Capital Management LLC bought a new position in shares of Acacia Communications in the 1st quarter valued at about $126,000. Great West Life Assurance Co. Can lifted its stake in Acacia Communications by 100.6% in the fourth quarter. Great West Life Assurance Co. Can now owns 3,611 shares of the technology company’s stock worth $132,000 after purchasing an additional 1,811 shares during the last quarter. Advisor Group Inc. lifted its stake in Acacia Communications by 1,121.6% in the fourth quarter. Advisor Group Inc. now owns 5,326 shares of the technology company’s stock worth $202,000 after purchasing an additional 4,890 shares during the last quarter. Finally, Prudential Financial Inc. bought a new stake in Acacia Communications in the fourth quarter worth about $206,000. 75.65% of the stock is currently owned by hedge funds and other institutional investors.

Acacia Communications Company Profile

Acacia Communications, Inc develops, manufactures, and sells high-speed coherent optical interconnect products in the United States, China, Germany, Thailand, and internationally. The company offers embedded and pluggable module products consisting of optical interconnect modules with transmission speeds ranging from 100 to 1,200 gigabits per second for use in long-haul, metro, and inter-data center markets.

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