Why Viavi Solutions Inc. (VIAV) Went Down On Friday

We recently published a list of 10 Firms Battered by Poor Earnings, Dismal Outlook. In this article, we are going to take a look at where Viavi Solutions Inc. (NASDAQ:VIAV) stands against other Friday’s worst performers.

Wall Street’s major indices ended the trading week on a strong note, clocking in robust gains as investors cheered better-than-expected non-farm payrolls last month while digesting more corporate earnings results.

The tech-heavy Nasdaq led the rally among all major indices, finishing up 1.51 percent. The S&P 500 clocked in a 1.47-percent gain, while the Dow Jones grew by 1.39 percent.

Despite the broader market optimism, 10 companies managed to register declines amid dismal earnings performance in the first quarter of the year. In this article, let us explore Friday’s 10 worst performers and the reasons behind their decline.

To come up with the list, we considered only the stocks with a $2-billion market capitalization and $5-million trading volume.

A closeup of a telecom tower with power lines connecting to it, representing the strength and reliability of network services.

Viavi Solutions Inc. (NASDAQ:VIAV)

Viavi Solutions saw its share prices fall by 12.30 percent on Friday to end at $9.34 apiece as investors soured on its lower-than-expected guidance for the fourth quarter of fiscal year 2025.

According to the company, it expects earnings per share in the fourth quarter to settle between $0.10 and $0.13, way below the consensus estimate of $0.14.

It also targets revenues to end between $278 million and $290 million, as against the $293.6 million as expected by analysts.

During the third quarter, Viavi Solutions Inc. (NASDAQ:VIAV) swung to a net income of $19.5 million from a net loss of $24.6 million. Net revenues increased by 15.8 percent to $284.8 million from $246 million year-on-year.

For the nine-month period, the company swung to a net income of $26.8 million from a net loss of $4.1 million year-on-year. Net revenues also rose by 6 percent to $793.8 million from $748.4 million in the same comparable period.

Overall, VIAV ranks 4th on our list of Friday’s worst performers. While we acknowledge the potential of VIAV as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than VIAV but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.