Shares of Infinera (NASDAQ:INFN) are skyrocketing today after the company reported its second-quarter results on Wednesday. Infinera easily beat Wall Street's estimates in the quarter, which led investors to push up the company's share price by as much as 18.6% today. The stock was up 14.3% as of 12:35 p.m. EDT Thursday.
Second-quarter adjusted revenue increased 8% to $332.6 million, beating analysts' consensus estimate of $319.2 million. Additionally, the company's adjusted loss of $0.09 per share was better than Wall Street's estimate of a loss of $0.14.
CEO Tom Fallon said in a press release, "We are managing the operational impacts of COVID-19 and are continuing to take the necessary measures to reduce costs and improve working capital utilization as macroeconomic uncertainty in our industry continues."
In addition to the company's revenue and earnings beat, investor sentiment may have been boosted even more today after an analyst from Rosenblatt upgraded Infinera's stock from neutral to buy.
Shares of the optical solutions provider have been on a roller coaster ride in 2020, but today's gains put the stock up 12% since the beginning of this year.
Management said that third-quarter revenue will be $334 million at the midpoint of guidance, which would be about a 3% increase from the year-ago quarter. With unemployment still high in the U.S. and the macroeconomic climate still very uncertain around the world, Infinera investors can likely expect more instability from the overall stock market in the coming months.