ONI Systems

(ONIS)

was up 13.5% in midafternoon after

Lehman Brothers

began coverage with a strong buy rating and a 12-month price target of $25. The optical components company last week raised its guidance and predicted it will break even on an operating basis by the end of 2001.

Meanwhile, major optical stocks continued to drift lower, with both

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JDS Uniphase

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Corning

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bouncing off 52-week lows.