What: Shares of fiber-optic equipment maker Finisar (Nasdaq: FNSR) climbed 10% today after its quarterly results and guidance topped Wall Street estimates.

So what: Finisar's quarterly earnings fell 48% on narrower margins and soft demand from Chinese customers, but the stock's been beaten so badly -- about 50% over the past six months -- that expectations were already very low to start with. Peer Oclaro (Nasdaq: OCLR) is also up a double-digit percentage today, suggesting that investors are finally starting to see a bottom in the space.

Now what: Expect the momentum to continue in the short term. Management now sees second-quarter earnings of $0.20-$0.24 per share on a top-line of $235 million to $250 million, while analysts were expecting a per-share profit of $0.20 on revenue of $237 million. With the stock still trading at a forward P/E under 15, Finisar seems like a reasonable turnaround bet that actually looks like it's turning.  

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