New User:

-or-
Username:
Password:
Forgot your password?

Stock Market & Financial Investment News

News Breaks
August 14, 2014
12:31 EDTCSCO, JNPRCisco shares trade lower as company announces 6,000 job cuts
Shares of computer networking and communications company Cisco Systems (CSCO) are trading lower this afternoon after the company announced fourth quarter results, provided first quarter guidanced and announced that it is cutting 8% of its workforce. WHAT'S NEW: Cisco reported better-than-expected Q4 earnings per share of 55c and revenue of $12.4B against estimates of 53c and $12.14B, respectively. Product revenue for the quarter was $9.53B and service revenue came in at $2.8B. The company said cash flow from operations for the quarter was $3.6B compared with $3.2B for the third quarter and $4B for the year-ago period. Looking ahead, Cisco forecast Q1 adjusted EPS of 51c-53c against estimates of 53c and Q1 adjusted operating margin of 27.5%-28.5%. Revenue for the quarter is expected to be flat to up 1%, the company said on its conference call. The revenue consensus estimate for Q1 revenue is $12.08B. Cisco also sees Q1 adjusted gross margin of 61%-62%. WHAT'S NOTABLE: Chief Executive Officer John Chambers announced a "limited restructuring" across several areas of its business, in which 8% of its workforce, or 6,000 jobs will be cut. The company expects to take a charge of up to $700M in fiscal year 2015 on the restructuring. The company announced in August 2013 that it would cut approximately 4,000 jobs. Chambers said the company said not see emerging markets growth for several quarters. ANALYST OPINION: This morning, Wells Fargo analysts continued to see value in Cisco shares, believing there will be a return to growth likely in Q1 and said that the company's guidance is "conservative." The firm cut its fiscal year 2015 EPS estimate to $2.19 from $2.26, and introduced its fiscal year 2016 EPS estimate of $2.33. Piper Jaffray was also positive on Cisco shares, saying the company is making good strides with cost controls and capital allocation. It seems an attractive dividend yield and a share buyback will provide little downside risk. Citigroup analysts, meanwhile, believes that "at best," Cisco remains a flat to low-single-digit grower with little upside to operating margin and stable GM, although the company is managing the headwinds "as best as it can." The firm also fears that the switch rebound cycle that is driving U.S. enterprise and commercial will have run its course by the time service provider and emerging markets begin to grow. PRICE ACTION: In intra-day trading, shares of Cisco dropped 67c, or 2.62%, to $24.54. OTHERS TO WATCH: Cisco’s competitor Juniper Networks (JNPR) is down almost 2% to $23.15.
News For CSCO;JNPR From The Last 14 Days
Check below for free stories on CSCO;JNPR the last two weeks.
Sign up for a free trial to see the rest of the stories you've been missing.
September 16, 2014
11:16 EDTCSCOVirnetX plunges after appeals court vacates jury award in suit with Apple
Subscribe for More Information
08:18 EDTCSCOFCC to hold a roundtable
Subscribe for More Information
07:19 EDTCSCOCompanies' share buybacks at fasttest clip since 2007, WSJ reports
Companies are buying back their own shares at its fastest pace since the financial crisis to fuel a stock rally, reports the Wall Street Journal. According to Birinyi Associates, companies have bought back $338.3B of stock in 1H14, the most since 2007. Citing an analysis by Barclays, companies with the largest buyback programs by dollar value have outperformed the broader market by 20% since 2008. Reference Link
September 15, 2014
06:23 EDTCSCOCisco says Salesforce.com CEO Benioff to step down from board
Subscribe for More Information
September 12, 2014
06:05 EDTCSCOCisco implied volatility of 14 at lower end of index mean range
September 11, 2014
11:17 EDTCSCOEMC seen as potential target after said to mull VMware stake sale
EMC (EMC) is considering selling its 80% stake in cloud computing infrastructure provider VMware (VMW), The New York Post reported today, citing unnamed sources. Calling The New York Post "surprisingly accurate" on M&A news, UBS said the likelihood of change at EMC has increased and it has become a potential takeover target. WHAT'S NEW: EMC is exploring the possibility of selling its stake in VMware, which could be acquired by HP (HPQ), according to one source, The Post reported. EMC could also look to sell other assets, the newspaper quoted a second unnamed source as saying. ANALYST REACTION: UBS analyst Steven Milunovich wrote that he is more convinced in the wake of the Post story that "something is up" at EMC. Although EMC has denied in the past that it would consider selling or spinning off VMware, the company could change its tune, the analyst stated. HP could buy VMware or all of EMC, while Oracle (ORCL) and Cisco (CSCO) are also potential buyers of EMC, Milunovich believes.The analyst kept a $33 price target and Buy rating on shares of EMC. WHAT'S NOTABLE: Activist investor Elliott Management, a hedge fund, has taken a $1B stake in EMC and wants the company to spin off VMware, The Wall Street Journal reported in July. Early last month, research firm FBR Capital wrote that an EMC spin-off of VMware could enhance shareholder value for both companies and make VMware a top acquisition candidate by a larger technology company. The firm kept an Outperform rating on EMC at that time. PRICE ACTION: In late morning trading, EMC was little changed at $29.50, down from its earlier high of $29.89. VMware fell 0.7% to $96.75, down from its earlier daily high of $97.86.
September 10, 2014
07:53 EDTJNPRDeutsche Bank to hold a conference
Technology Conference to be held in Las Vegas on September 9-11 with webcasted company presentations to begin on September 10 at 10:30; not all company presentations may be webcasted. Webcast Link
September 9, 2014
07:17 EDTCSCOThe Wireless Association to hold a conference
Subscribe for More Information
September 8, 2014
08:45 EDTCSCONimble Storage, Arista, CommVault recommnded on M&A at Pacific Crest
Subscribe for More Information
September 4, 2014
15:26 EDTCSCOCisco UCS update further strengthens portfolio, says Cantor
Subscribe for More Information
15:20 EDTCSCOCisco expands Unified Computing System portfolio
Subscribe for More Information
10:32 EDTCSCOCisco, Red Hat expand relationship, launch solution for OpenStack
Subscribe for More Information
September 3, 2014
09:49 EDTJNPRJuniper CEO lists work for Nike, AT&T among recent wins
Subscribe for More Information
07:43 EDTCSCODCP selcets Zix email encryption to replace Cisco
Zix Corporation (ZIXI) announces that DCP has switched its email encryption solution from Cisco’s (CSCO) IronPort Encryption Appliance to Zix Email Encryption in a new three-year contract. DCP is a holding company for Bank of Washington, Citizens National Bank and United Bank of Union, and all bank employees will now use ZixCorp to protect financial information in email.

Sign up for a free trial to see the rest of the stories you've been missing.

I agree to the theflyonthewall.com disclaimer & terms of use