Strategic Deals Bolster VIAVI's (VIAV) Growth Outlook, Backed by Analyst Confidence

VIAVI Solutions Inc. (NASDAQ:VIAV) is one of the best low-priced technology stocks to buy right now. The company is taking steps to strengthen its position in the converging fields of network performance and cybersecurity. On September 10, the company announced a partnership with CrowdStrike, integrating VIAVI’s Observer platform with Falcon Next-Gen SIEM.

The collaboration combines end-user and network observability with CrowdStrike’s threat intelligence and automation, aiming to provide enterprises with the unified visibility needed for faster detection and response.

Alongside this operational momentum, strategic mergers and acquisitions (M&A) are reshaping the investment case. On August 29, Morgan Stanley upgraded VIAVI to Hold from Sell, raising the price target to $11 from $9.30, citing the pending acquisition of Spirent Communications’ assets as a catalyst for growth. The company is purchasing the Ethernet and network security business lines from Keysight Technologies, which has acquired Spirent.

The deal is expected to expand VIAVI’s reach in channel emulation and technology testing, areas that could provide accretion and improve its competitive positioning.

That said, risks remain. Exposure to service provider spending, tariff uncertainty, and volatility in carrier recovery temper enthusiasm. However, demand from aerospace, defense, and data center markets offers partial offsets.

Viavi Solutions Inc. (NASDAQ:VIAV) provides network test, monitoring, and assurance solutions for telecommunications, cloud, enterprises, first responders, military, aerospace, and railway.

While we acknowledge the potential of VIAV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.