Taking Stock: JDS Uniphase Still Faces Problems

摘要

We're finally coming into the home stretch. The Nasdaq 100 index is up almost 45% through the end of November. And an old favorite of tech investors from the last bubble, JDS Uniphase, a designer and manufacturer of advanced fiber-optic components, modules, and subsystems, is looking like one of this year's modest winners. JDS sells primarily to the communications and cable-systems markets. Though its products are used in many industries, the biggest market has been in telecommunications, and telecom capital expenditures have sunk over the last few years. Now, I know what you might be thinking: The stock is up 39% this year through Dec. 1. JDS is improving or investors wouldn't be bidding up the stock. Unfortunately, I don't agree.