- Just four months after Cisco (CSCO -1%) announced it's cutting 4K jobs, the networking giant says it plans to invest up to $4B over the next ten years in Ontario. (PR)
- Cisco will add up to 1.7K jobs in the Canadian province over the next six years, with "a focus on R&D," and could grow its Ontario headcount by up to 5K by 2024.
- Shares are adding to yesterday's losses, as investors continue to mull the growth forecast cut and downbeat emerging markets commentary provided at Cisco's analyst meeting. Today's drop comes even though a number of analysts are defending the company.
- Raymond James (Outperform) is upbeat about Cisco's efforts to create products that enable more software-centric networks, and likes its low valuation (7x EPS exc. cash).
- Also: Cisco stated at its meeting (transcript) it won't abandon its struggling set-top business, in spite of growing calls to do so. The company argues keeping the business is crucial to maintaining its ties with pay-TV providers.
- Cisco also declared its pipeline of $1M+ U.S. enterprise deals is improving, and suggests the business is bottoming the same way its commercial (SMB) ops did a few quarters ago.
Cisco to invest up to $4B in Ontario; shares add to losses
Dec 13 2013, 14:04 ET