Oclaro, Inc. (NASDAQ: OCLR) is having an incredibly strong day in the market today, and for good reason. Ultimately, it all boils down to the China mobile build-out and what it means for the company. Of course, positive news led to excitement among investors who pushed the stock upward. This led to an alert from our partners at Trade Ideas. At the moment (10:44), OCLR is trading at $9.32 per share after a gain of $0.82 per share (9.65%) thus far today.
OCLR Gains On China Mobile Build-Out
As mentioend above, Oclaro is having an incredibly strong day in the market after an analyst has pointed out the benefit of China's mobile build-out to the company. In particular, we're seeing a build out of the Packet Transport Network, 70% of which is going to ZTE with 30% going to Huawei.
This is overwhelmingly positive news for OCLR, as the company has significant exposure to ZTE. That's because the company is a major supplier to ZTE. So, if ZTE sees strong sales as a result of the mobile build-out in China, OCLR will also see stronger sales.
Stop wasting your time! Find winning trades in minutes with Trade Ideas!
What We'll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on OCLR. In particular, we're interested in following the China mobile build-out and watching to see what this means for ZTE sales, and Oclaro sales as a result. We'll continue to follow the story closely and bring the news to you as it breaks!
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!