As we can see, JDSU is entering a rough patch where profit margins are squeezed. Their 12 month EPS is negative. And if the economic climate is expected to further detoriate with Europe's woes, this would result in lower forecasted profits. Management might initiate restructuring to reduce fixed costs in a bid to prevent further depleting current cash position. However, it could be noted JDSU's balance sheet still look very healthy with manageable debt. But it all depends on the marco economic situation now for them.
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