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Cisco Systems, Inc. (CSCO)

  • Feb. 8, 2013, 5:40 PM
    Raymond James and Citi have issued bullish notes on Cisco (CSCO) ahead of Wednesday's FQ2 report: both see Cisco meeting FQ2 estimates and possibly issuing favorable FQ3 guidance. RJ says its checks suggest "a stabilizing environment," and is pleased with Cisco's growing focus on software. The comments shortly follow a major update to Cisco's ONE software-defined networking platform, replete with a new controller on top of which Cisco apps can be deployed. A software platform for connecting public and private clouds was also announced.
    | Feb. 8, 2013, 5:40 PM | Comment!
  • Feb. 6, 2013, 12:51 PM
    The average mobile user gobbled up 201MB of data/month in 2012, more than twice the 92MB/month consumed in 2011, according to this year's update to Cisco's (CSCO) Visual Networking Index. Cisco predicts mobile data traffic will post a 66% CAGR from 2012-2017, with 47% of 2017 traffic coming from Asia-Pac, 46% being offloaded onto Wi-Fi gear and femtocells, and 66% stemming from mobile video (YouTube dominates). Key mobile infrastructure players: ERIC, ALU, FFIV, ALLT, PKT, RKUS, DRWI, CRNT  (last year: I, II)
    | Feb. 6, 2013, 12:51 PM | 2 Comments
  • Feb. 4, 2013, 12:28 PM
    Cisco (CSCO +0.3%) has given up most of its early gains, but is still outperforming after Oppenheimer's Ittai Kidron argues the company could beat FQ2 estimates when it reports on Feb 13. Kidron's checks indicate switch and router sales are "holding up against a challenging macro," and that momentum is strong for Cisco's share-gaining UCS server line. Peers are higher in response to the Oracle/Acme Packet deal. (previous)
    | Feb. 4, 2013, 12:28 PM | 1 Comment
  • Feb. 1, 2013, 11:33 AM
    Cisco (CSCO) has appointed Motorola Solutions (MSI) chairman/CEO Greg Brown to its board. The addition of Brown, who headed Motorola prior to its breakup, increases the size of Cisco's board to 14. He arrives shortly after the retirement of Yahoo co-founder Jerry Yang, and the addition of CEO Marc Benioff and former DOE Under Secretary Kristina Johnson. (PR)
    | Feb. 1, 2013, 11:33 AM | 1 Comment
  • Jan. 30, 2013, 10:57 AM
    Though VMware, EMC, and BMC Software's Q1 guidance hasn't exactly stoked enthusiasm about the IT spending environment, Gartner is forecasting global IT spending will grow a healthy 4.2% in 2013 to $3.7T, after rising just 1.2% last year. A re-accelerating China, a stabilizing Europe, and a resolution (for now) of the fiscal cliff drama are all seen lifting demand. Needham thinks growth could hit 5%. (previous)
    | Jan. 30, 2013, 10:57 AM | Comment!
  • Jan. 29, 2013, 5:23 PM
    Cisco (CSCO) is acquiring Czech software firm Cognitive Security. Cognitive's products use artificial intelligence techniques and the real-time analysis of network traffic to detect cyber threats. Like Intucell and NDS, Cognitive can be paid for with Cisco's giant overseas cash hoard. EMC acquired a cyber threat-detection software firm in October. John Chambers has made it clear Cisco is on the lookout for security purchases.
    | Jan. 29, 2013, 5:23 PM | Comment!
  • Jan. 24, 2013, 5:43 PM
    Cisco (CSCO) is selling its Linksys home networking unit to rival Belkin for an undisclosed sum. The price tag is likely well below the $500M Cisco paid for Linksys in '03. Belkin says it will maintain the Linksys brand - both brands compete with NetGear (NTGR). The deal is another step in Cisco's efforts to cut its dependence on low-margin hardware, and increase its reliance on software and services. (previous) Update: PrivCo thinks the price may be around $275M, given Linksys' revenue and multiples for comparable deals.
    | Jan. 24, 2013, 5:43 PM | 3 Comments
  • Jan. 23, 2013, 9:49 AM
    Cisco (CSCO) makes another big network management software purchase, snapping up Israel's Intucell for $475M in cash and incentives. Intucell's products analyze mobile radio networks in order to optimize performance (e.g. more capacity, fewer dropped calls, better coverage) and automate management tasks. The company also offers small cell solutions, an area of focus for Cisco. The acquisition follows deals to buy management software firms BroadHop and Cariden. Cisco recently said it wants to double software sales in the next 5 years.
    | Jan. 23, 2013, 9:49 AM | Comment!
  • Jan. 22, 2013, 1:15 PM
    Fortinet (FTNT -1.5%) slips after catching a downgrade to Market Perform from JMP, which is worried about rising competition. Fast-growing Palo Alto Networks (PANW -0.5%) has emerged as a rival of sorts for Fortinet: while Fortinet's UTM appliances deliver better performance, Palo Alto's next-gen firewalls offer a more integrated set of tools for analyzing Web content and apps. Cisco, meanwhile, says it's willing to spend aggressively to turn around its security ops.
    | Jan. 22, 2013, 1:15 PM | Comment!
  • Jan. 22, 2013, 12:06 PM
    To the chagrin of telecom equipment firms, Verizon (VZ +0.9%) is staying frugal with its capex: after spending $16.2B in 2012 (down slightly Y/Y in spite of a 4.5% revenue gain), the carrier forecasts 2013 capex will be flat Y/Y. Big Red also says it wants to lower wireless expenses by $2B, and forecasts a 2013 wireless EBITDA margin of 49%-50% (up from 2012's 46.6%). Lower smartphone subsidies are a goal (possibly bad news for Apple and Samsung), and stock buybacks aren't ruled out - a heavy debt load and cash distributions to Vodafone limit Verizon's flexibility here. (more)
    | Jan. 22, 2013, 12:06 PM | 1 Comment
  • Jan. 17, 2013, 2:19 PM
    Intel's (INTC +1.9%) chip foundry business has reeled in Cisco (CSCO -0.1%) as a customer, sources tell Bloomberg ahead of the chip giant's Q4 report. If true, the deal would easily be the largest thus far for Intel's foundry ops, which are trying to leverage the company's manufacturing process edge to gain ground against the likes of TSM, UMC, and Samsung. Cisco's switches and routers depend heavily on custom ASICs produced by foundries. Piper reported of an Intel-Cisco tie-up in September.
    | Jan. 17, 2013, 2:19 PM | 2 Comments
  • Jan. 17, 2013, 8:31 AM
    Cisco (CSCO) is downgraded to Sell with $18 price target at JPMorgan. Positive investor sentiment on the stock "(has) gotten ahead of itself" given the sluggish enterprise spending environment. "Investors should be using Cisco as a source of funds from current levels." Shares -1.5% premarket.
    | Jan. 17, 2013, 8:31 AM | 2 Comments
  • Jan. 15, 2013, 12:56 PM
    A month after buying software-defined networking (SDN) controller vendor Contrail (I, II), Juniper (JNPR) is outlining its SDN vision. Like Cisco and VMware's Nicira, Juniper is supporting network virtualization and the centralization of management features on a controller. Just as importantly, it's announcing a novel pay-as-you-go software licensing model that allows licenses to be moved between devices. The move follows Cisco's efforts to use SDN to boost software sales, and is arguably an attempt to counter the commoditizing impact SDN could have on Juniper's switches.
    | Jan. 15, 2013, 12:56 PM | Comment!
  • Jan. 14, 2013, 2:08 PM
    John Chambers recently said he gave Chris Young, the SVP in charge of Cisco's (CSCO) security ops, a "blank check" to hire and acquire as necessary over the next 2-3 years. Moreover, sources tell Reuters Cisco has been actively looking for security acquisitions. Chambers' motivation: while Cisco's security ops post modest growth, upstarts such as PANW, FTNT, and FIRE are growing much faster thanks to their focus on segments such as next-gen firewalls, UTM hardware, and IPS systems, products that offer deeper analysis of content/apps than traditional firewalls.
    | Jan. 14, 2013, 2:08 PM | 1 Comment
  • Jan. 14, 2013, 7:36 AM
    Cisco (CSCO) is upgraded to Buy by William Blair's Jason Ader who says the company - moving past its mid-life crisis - has emerged "significantly leaner, focused, and more self-aware." Shares +1.2% premarket.
    | Jan. 14, 2013, 7:36 AM | Comment!
  • Jan. 8, 2013, 9:26 AM
    Cisco (CSCO) intros its Videoscape Unity software platform for pay-TV providers, Combining its traditional Videoscape platform with the offerings of recently-acquired NDS, Unity enables a slew of Web-based TV features, including cloud DVR, TV Everywhere support, and the ability to send IP video streams to non-traditional devices. It acts as a hedge against the threat posed by pay-TV platforms that eliminate the need for Cisco's set-top boxes - just yesterday, Intel and Comcast announced one such solution.
    | Jan. 8, 2013, 9:26 AM | Comment!
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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.