NEW YORK (TheStreet) -- Telecoms have been replacing copper with fiber optics for decades, but the trend isn't played out yet. Here's how you can make a play on optical fibers and participate in the growth of the backbone of the Internet.
Ciena is a network specialist focusing on expanding its customers' networks while reducing the cost to do so. Its major clients are telecoms, cable operators and government entities.
Finisar provides fiber optic networking monitoring systems that improve the efficiencies of high-speed communications over local area networks and in data storage.
Here's the backstory for Ciena's stock, which traded Wednesday in the $19.07 to $19.41 range. Ciena set a multiyear intraday high at $27.93 on Oct. 22, 2013, then declined to a test of its 200-day simple moving average at $21.66 on Feb. 5. The stock popped to a 2014 intraday high at $27.16 on March 6, as the company reported better-than-expected earnings. This proved to be a selling opportunity, as the stock broke below its 200-day SMA at $23.15 on April 4 and set its 2014 intraday low at $18.00 on May 7. On June 5, Ciena reported better-than-expected earnings once again. This time the stock popped to and failed at its 200-day SMA that day at $22.78.