MKM Partners analyst Michael Genovese said a competitor downgrade of Ciena (CIEN) makes "a strong, [but] incorrect, bear argument," stating that his own very recent senior management meetings and field checks lead him to believe that the company's Tier 1 U.S. Telco/Cable MSO business is on "solid footing" for the second half of the year. Genovese thinks Ciena's sales to AT&T (T) should be a bit better in the second half of the year than they were in the first half and he sees no evidence of any unusual price concessions at Verizon (VZ). Genovese maintains a Buy rating and $32 price target on Ciena shares, which are down 2.5% to $26.28 in midday trading.