Will an Upbeat Earnings Report From Finisar Corporation (FNSR) Buck This Negative Trend? – JDS Uniphase Corp (JDSU), Cisco Systems, Inc. (CSCO)

Hence, when Uniphase said that it’s expecting telco spending to get better this year, it became clear that even Finisar would probably be singing the same tune. But, Finisar has some added momentum. The company is turning around its business by upgrading its offerings, and turned in a better performance than Uniphase in the second quarter.

Finisar’s new products are finding traction as evidenced by design wins and market share gains. Also, the company’s datacom business, which supplies components for cloud infrastructure, should help it record further growth this year. Moreover, the presence of Cisco Systems, Inc. (NASDAQ:CSCO) as a 10%-plus customer places Finisar in a good position to profit from the growth of data centers.

The bottom line

JDS Uniphase Corp (NASDAQ:JDSU) and Finisar have been quite unlucky so far this year. An uptick in telecom spending should have had a positive effect, but this hasn’t happened so far. Hopefully, a solid report from Finisar would bring about a positive change and this is quite possible since the company is making moves in the right direction to benefit from improved spending. Check back this space again in a few days to see how Finisar Corporation (NASDAQ:FNSR) fared and what to expect from the stock for the rest of the year.

The article Will an Upbeat Earnings Report From Finisar Buck This Negative Trend? originally appeared on Fool.com and is written by Harsh Chauhan.

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