NEW YORK (TheStreet) -- Shares of Viavi Solutions (VIAV) - Get Report were down in mid-morning trading on Friday after the company posted better-than-expected results for the 2016 fiscal fourth quarter, but gave light guidance.

After yesterday's closing bell, the Milpitas, CA-based manufacturer of fiber optic products said it sees adjusted earnings of 6 cents to 8 cents on revenue of $201 million to $217 million for the 2017 fiscal first quarter.

Analysts are modeling earnings of 8 cents per share on revenue of $212 million for the current period.

For the fourth quarter, Viavi posted adjusted earnings of 10 cents per share, topping analysts' estimates by a penny. Revenue increased 2% to $224.1 million year-over-year and was above Wall Street's projections of $220.4 million.

"Looking ahead to fiscal year 2017, we plan to continue to reduce our business complexity, improve our operational efficiencies and selectively invest in our core and growth businesses to drive a profitable and sustainable business model in longer term," CEO Oleg Khaykin said in a statement.

Jefferies raised its price target on the stock to $7 from $5.75 and maintained its "hold" rating following the results.

"FQ1 guidance was a little soft and reflected ongoing uncertainty in carrier spending. We remain on the sidelines as the shares aren't particularly cheap, especially given secular challenges on the NE (network enablement) business and thus far unimpressive results in SE (service enablement)," the firm wrote in a note.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and increase in net income.

But the team also finds that the company's return on equity has been disappointing.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: VIAV

Image placeholder title