Why Infinera (INFN) Is Soaring Today

NEW YORK (TheStreet) -- Infinera (INFN) soared 26.1% to $8.90 Thursday after an impressive quarterly earnings report.

In its fourth quarter earnings report Infinera reported break even earnings. Analysts surveyed by Thomson Reuters expected a loss of 2 cents a share for the quarter. The telecommunication company posted revenue of $139.09 million for the quarter, compared to estimates of $135.98 million.

"As we look ahead, we believe the opportunity for the DTN-X remains wide open with the 100G cycle still in its early stages," CEO Tom Fallon said in a statement. "For 2014, we plan to continue our focus on winning new deployments and gaining market share, while driving enhanced profitability, and we remain optimistic about our outlook over the short, intermediate and long-term."

TheStreet Ratings team rates INFINERA CORP as a "hold" with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:

"We rate INFINERA CORP (INFN) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and compelling growth in net income. However, as a counter to these strengths, we find that the company's return on equity has been disappointing."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

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