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Cisco Systems, Inc. (CSCO)

  • May 16, 2013, 5:38 PM
    Aruba (ARUN) -16.2% AH after guiding on its FQ3 call for FQ4 revenue $148M-$150M and EPS of $0.10-$0.12, below a consensus of $157.1M and $0.17. Management admits it's seeing tougher competition from Cisco (CSCO), which is now bundling its Wi-Fi solutions with its routers and data center products - Cisco just reported 27% Y/Y growth for April quarter Wi-Fi sales. Aruba now -34% since its May 7 warning.
    | May 16, 2013, 5:38 PM | Comment!
  • May 16, 2013, 9:14 AM
    Premarket gainers: RGDX +24%. EGLE +23%. EFUT +19%. TSLA +13%. CSCO +13%. SCTY +11%. DQ +9%. HALO +8%. DANG +7%. AV +7%. YRCW +8%. NBG +7%. KSS +7%. SPWR +6%.
    Losers: NCT -53%. SNFCA -24%. AMD -10%. NQ -7%. CYCC -5%.
    | May 16, 2013, 9:14 AM | Comment!
  • May 16, 2013, 7:38 AM
    Cisco (CSCO) is now up 9.4% premarket following last night's earnings and guidance. Lazard's Ryan Hitchinson notes guidance was light, but likely beat a lot of the whispers out there. He also believes management is remaining conservative amid improving demand trends. A bellwether no more, Cisco's moonshot is having little effect on the QQQs, which are barely green at the moment.
    | May 16, 2013, 7:38 AM | 6 Comments
  • May 15, 2013, 5:53 PM
    After-hours top gainers, as of 5:30 p.m.: CSCO +8.5%. TSLA +5.1%. LMCA +4.9%. ABX +3.7%. GOLD +3.7%.
    After-hours top losers: NQ -8.3%. CASH -4.9%. ACXM -3.9%. MBTF -3.3%. CTSH -3.2%.
    | May 15, 2013, 5:53 PM | Comment!
  • May 15, 2013, 5:32 PM
    More from Cisco's (CSCO) FQ3 call: Orders +4% Y/Y, better than FQ2's flat growth. Americas +7% (+2% in FQ2) with U.S. public sector +5% after many quarters of weakness. EMEA flat, better than FQ2's -6%. Asia-Pac/Japan +1%, down from +3% due to tough comps and China issues. "Emerging countries" +13%, aided by India's +29%. Book-to-bill around 1. Switch revenue -2% Y/Y as campus weakness (share loss?) offsets data center/10G strength. Routers flat. Wi-Fi +27% in spite of warnings from ARUN and RKUS; carrier Wi-Fi +100%. Data center +77% as UCS servers keep gaining share. Security -4%. The carrier capex environment is still soft, but Cisco claims share gains. Product mix impacted gross margin guidance. (previous)
    | May 15, 2013, 5:32 PM | Comment!
  • May 15, 2013, 5:00 PM
    Cisco (CSCO) guides on FQ3 call (webcast) for FQ4 EPS of $0.50-$0.52 and revenue growth of 4%-7%, which compares with a consensus of $0.51 and 6.9%. Revenue growth will take a 1% hit from the Linksys sale. Gross margin is expected to drop to 61%-62% from FQ3's 63%. Shares +7.9% AH. JNPR +1.6%. BRCD +1.1% CIEN +1.5%.
    | May 15, 2013, 5:00 PM | 1 Comment
  • May 15, 2013, 4:24 PM
    Cisco (CSCO) +5.3% AH in response to its FQ3 beat. John Chambers says the networking giant is seeing a "slow, but steady economic environment." Product sales (78% of total) +5% Y/Y (+3% in FQ2), services sales +7% (+10% in FQ2). $860M in buybacks took place, up from FQ2's $500M and boosting EPS. Non-GAAP gross margin was 63%, down slightly Y/Y but up from FQ2's 62.3% and above a guidance range of 61%-62%. R&D spend +14% Y/Y, no doubt thanks to heavy software investments. Sales/marketing spend roughly flat. CC at 4:30PM ET (webcast), guidance should be provided.
    | May 15, 2013, 4:24 PM | 1 Comment
  • May 15, 2013, 4:05 PM
    Cisco Systems (CSCO): FQ3 EPS of $0.51 beats by $0.02. Revenue of $12.2B beats by $0.02B. (PR)
    | May 15, 2013, 4:05 PM | 1 Comment
  • May 15, 2013, 1:23 AM
    IDC cuts its 2013 IT spending growth forecast to 4.9% from 5.5%, citing macro issues and weak PC demand; 2012 growth was 5.6%. Gartner, which includes a bigger array of products/services in its numbers, forecast 4.1% growth last month. IDC now sees U.S. software spending (MSFT, ORCL) growing 6%, down from a prior 7%. Storage hardware revenue (EMC, NTAP) is only expected to grow 2.4%, down from 2012's 6.1%, and carrier spending on networking gear (CSCO, JNPR, ALU, CIEN) is expected to grow just 1.1% vs. 5.8% in 2012. Recent earnings reports and warnings (I, II, III, IV) help explain the subdued outlook.
    | May 15, 2013, 1:23 AM | 2 Comments
  • May 15, 2013, 12:10 AM
    Notable earnings after Wednesday’s close: ANW, CSCO, EGLE, JACK, NTES, SB, SKX, SVM, THMC, YOKU
    | May 15, 2013, 12:10 AM | Comment!
  • May 14, 2013, 5:35 PM
    Notable earnings after Wednesday’s close: ANW, CSCO, EGLE, JACK, NTES, SB, SKX, SVM, THMC, YOKU
    | May 14, 2013, 5:35 PM | Comment!
  • May 13, 2013, 12:53 PM
    FBR has upgraded Cisco (CSCO +0.3%) to Market Perform ahead of Wednesday's FQ3 report. Less than 2 months after downgrading Cisco and Juniper (JNPR -0.5%) on a belief software-defined networking (SDN) will drastically lower switch/router demand, the firm says talks suggest SDN overlay solutions - Cisco, Juniper, and VMware (VMW) are pushing them - are gaining traction relative to products requiring big hardware changes, and that this should limit near-term sales pressure. Though rivals doubtlessly disagree, Cisco has been arguing its SDN solution can offer superior intelligence, thanks to its integration with Cisco hardware. (switch competition)
    | May 13, 2013, 12:53 PM | 1 Comment
  • May 13, 2013, 1:36 AM
    Plenty of companies are taking aim at Cisco's (CSCO) Nexus data center switch business. 1) H-P (HPQ) has updated its networking lineup to include a "virtual router" running on commodity hardware, to offload tasks handled by server virtualization software (Cisco also supports this), and to embrace software-defined networking. 2) Startup Arista has launched a high-density switch that (aided by FNSR optics) can handle 96 100G or 1152 10G ports in an 8-slot chassis. 3) Huawei has launched 16-slot switches that can handle 192 10G ports, and can be clustered. 4) Facebook's Open Compute Project is now working on a data center switch meant to handle virtually any software. Cisco is hoping to return fire via its Insieme unit (I, II).
    | May 13, 2013, 1:36 AM | Comment!
  • May 7, 2013, 7:02 PM
    Though Ruckus (RKUS -26.2%) claims its Q1 miss and soft guidance aren't tied to competition, "it is difficult to reconcile the implied disparity between Ruckus’ growth and that of the overall [carrier] Wi-Fi market," says Lazard, discussing its downgrade to Neutral. However, other companies, such as F5 and Fortinet, have also reported soft carrier demand for discretionary projects. Meanwhile, Raymond James thinks Ruckus and Aruba's (ARUN -22.8% - previous) warnings, along with Motorola Solutions' (MSI) guidance, suggests enterprise Wi-Fi growth is slowing.  Market leader Cisco (CSCO -2%), whose Wi-Fi unit posted 27% Y/Y growth last quarter, reports on May 15.
    | May 7, 2013, 7:02 PM | 2 Comments
  • May 7, 2013, 9:33 AM
    Aruba Networks (ARUN -19.6%) dives after warning it expects FQ3 (April quarter) revenue of $144M-$147M and EPS of $0.11-$0.12, well below a consensus of $160.5M and $0.20. The enterprise/carrier Wi-Fi hardware maker says it "saw a push out in customer orders across the Americas, Europe and Asia," something it mostly blames on macro. The warning comes as rival Ruckus (RKUS -21.1%) gets crushed due to a Q1 miss and light Q2 guidance, and is hit with a downgrade to Neutral from Lazard. Aruba depends more on enterprise sales than Ruckus; both face strong competition from Cisco (CSCO -1.1%), which seems to be lower in sympathy.
    | May 7, 2013, 9:33 AM | 1 Comment
  • May 6, 2013, 6:56 PM
    Prashant Gandhi, the head of project management for Cisco's (CSCO) software-defined networking (SDN) efforts, has left to join SDN startup Big Switch, which in March unveiled an open standards-based SDN solution declared an alternative to Cisco and VMware/Nicira's more proprietary offerings. Gandhi helped develop Cisco's ONE SDN controller. Tom Black, another key member of Cisco's SDN team, left last October for startup Arista. Meanwhile, leveraging the Contrail Systems acquisition, Juniper (JNPR) today unveiled an SDN controller that the company promises won't require major hardware changes; will this affect flexibility?
    | May 6, 2013, 6:56 PM | 3 Comments
Company Description
Cisco Systems Inc is engaged in designing, manufacturing and selling of Internet Protocol (IP) based networking products and services related to the communications and information technology (IT) industry.