Shares of Acacia Communications (ACIA) have remained rangebound over the past few months as the company as a whole has been going through a phase of transitory slowdown. But things may change for the optical networking company and its shareholders in the months ahead. Acacia has a number of catalysts lined up for the next few quarters – speed upgrades and demand resumption – which can bolster its financials and its share price going forward.
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The Chinese Risk Factor
Let’s start with the risk factor first.