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Cisco Systems, Inc. (CSCO)

  • Nov. 12, 2012, 5:40 AM
    Cisco (CSCO), Netgear (NTGR) and Motorola Solutions (MSI) formulate a new strategy in their battle with patent trolls by accusing them of racketeering. One of the trolls, Innovatio, has attempted to collect royalty payments from the users of the tech companies' networking gear, such as coffee chains, rather than the manufacturers, and has sent 8,000 "threatening" letters. That, says Cisco, breaks the law.
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  • Nov. 9, 2012, 7:33 AM
    Cisco (CSCO) is downgraded to Neutral from Overweight at JPMorgan, the analysts proving they read the papers by citing weak government and corporate spending. Shares -1.4% premarket.
  • Nov. 7, 2012, 6:42 PM
    Pres. Obama's re-election doesn't bode well for the odds of a tax holiday on overseas cash, notes Eric Savitz. That's problematic for large-cap tech names such as Apple (AAPL), Microsoft (MSFT), and Cisco (CSCO), which respectively have $83B, $54B, and $42.5B stashed overseas (per their most recent financials). As Savitz observes, there's a good chance some of that cash will be used on foreign acquisitions, especially in light of recent deals such as Microsoft/Skype and Cisco/NDS.
  • Nov. 7, 2012, 1:36 PM
    U.S. cell tower owners American Tower (AMT +2.4%), SBA (SBAC +1.6%), and Crown Castle (CCI +0.8%) are also getting a lift from AT&T's (T -2.3%) capex plans, which include a push to offer 4G LTE services as a broadband option for rural areas. Wells Fargo expects AMT to benefit from AT&T's plan to adds 10K new cell sites and 40K small cells, while Citi views Ciena (CIEN +8%), Juniper (JNPR +1.8%), Cisco (CSCO -0.9%), and Adtran (ADTN +4.2%) as beneficiaries of Ma Bell's wireline investments.
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  • Nov. 6, 2012, 1:43 PM
    Ahead of its investor day, Ericsson (ERIC -1.2%) forecast the telecom equipment market will show a CAGR of just 3%-5% from 2012-2015. In light of all the bad earnings news and capex forecasts to hit the telecom equipment space lately, not too many will argue with Ericsson's assessment. The company does, however, think the telecom services, support solutions, and OSS software markets, where it has been trying to grow its positions, will post healthier (though not spectacular) CAGRs.
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  • Nov. 6, 2012, 1:19 PM
    MKM, Deutsche, and Oppenheimer's Cisco (CSCO +0.7%) checks all indicated slowing activity. MKM, which upgraded a month ago, says 60% of polled U.S. resellers reported October sales below plan. Deutsche reported seeing "below seasonal" trends for enterprise switching and routing, offset some by strength in servers, Wi-Fi, and security. Oppenheimer thinks a U.S. slowdown is a clear headwind, and will lead to below-consensus guidance when Cisco reports on Nov. 13. Some of this is likely baked in following October's earnings reports (I, II, III).
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  • Nov. 5, 2012, 2:55 PM
    Brocade (BRCD +1.1%) is acquiring Vyatta, developer of an operating system that allows networking gear to be built using off-the-shelf hardware and virtualization software, for an undisclosed amount of cash. GigaOm notes the services enabled by Vyatta's software help protect Brocade from seeing its hardware commoditized as software-defined networking (driven by the likes of VMware's Nicira) takes flight. Wunderlich observes Vyatta has generated plenty of industry hype.
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  • Oct. 31, 2012, 11:16 AM
    Polycom (PLCM -4%) is among the day's tech losers. Possibly hurting is an IBD column noting the threat posed to Polycom and Cisco's (CSCO) videoconferencing hardware sales by cheap cloud-based solutions that work with PCs. The article notes GoMeetNow, one prominent cloud-based rival, offers services that start at $12.95/month for two PC users. Polycom, whose sales growth has turned negative, is trying to return fire with its CloudAxis platform, which will be available in Q1.
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  • Oct. 24, 2012, 11:59 AM
    The Street initially seemed comfortable with the soft Q4 guidance Juniper (JNPR -8.3%) provided with its Q3 report, but it's had a change of heart. Earnings call remarks about there being "no evidence of ... a significant improvement in the spending environment over the next few quarters" are likely a big reason why. Other networking equipment/component names are also off: CSCO -1.9%. CIEN -3.3%. JDSU -2.9%. RVBD -3.3%. FNSR -2.9%. APKT -2.6%. Soft guidance from Corning, Altera, and Broadcom could also be having an impact.
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  • Oct. 23, 2012, 5:33 PM
    More on Juniper's Q3: Q4 guidance is for revenue of $1.1B-$1.13B and EPS of $0.19-$0.22, below a consensus of $1.15B and $0.24. Q3 product revenue -3% Y/Y, services +15%. Routing product sales -7% Y/Y (share losses to Cisco), switching +20% (share gains), security -9% (likely share losses to Palo Alto Networks). Service provider revenue +3%, enterprise -2%. Switching/routing chief Stefan Dyckerhoff stepping down to become a VC, will remain a consultant. JNPR +2.5% AH. (PR)
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  • Oct. 22, 2012, 6:29 PM
    Gartner now expects 2012 global IT spending of $3.6T (hurt by forex), down a bit from a prior forecast of $3.75T. Spending is expected to grow a muted 3.8% next year to $3.7T. Microsoft and IBM's Q3 reports and commentary (I, II) have already raised fears of a soft IT spending environment. Also: Gartner expects half of all non-PC devices sold in 2016, and half of all business IT devices sold at the end of the decade, will be bought by employees - that's a long-term trend that could benefit Apple and hurt Microsoft.
  • Oct. 18, 2012, 11:22 AM
    If some top Cisco (CSCO) resellers had their way, development/sales chief Rob Lloyd would replace John Chambers as CEO when Chambers steps down, as he says he might do so in 2-4 years. Lloyd's sales experience - he ran a Canadian reseller before joining Cisco - is seen as a big feather in his cap. Lloyd and COO Gary B. Moore are considered the front-runners for Chambers' job after each received the title of President earlier this month.
  • Oct. 17, 2012, 8:32 AM
    More on Cisco: Shares -1.6% premarket thanks to a downgrade to Hold from Cantor. The firm thinks shares are likely to be range-bound near-term following the rebound seen over the last 3 months, and believes there's growing evidence the firm's "recovery thesis" will be delayed by a quarter or two. MKM upgraded Cisco earlier this month following positive reseller checks.
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  • Oct. 17, 2012, 8:21 AM
    Cisco (CSCO) and Citrix (CTXS) make their rumored partnership official. Among the details: 1) Cisco will recommend Citrix's NetScaler application delivery controllers (competes with hardware from FFIV and RDWR) to clients. 2) The companies will develop a cloud solution that combines Cisco's UCS servers and Nexus switches with Citrix's CloudPlatform (competes with VMW's vCloud). 3) The companies will develop mobile solutions that feature their collaboration, remote access, and file-sharing tools.
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  • Oct. 16, 2012, 11:45 AM
    Oppenheimer and MKM both believe Cisco (CSCO) is about to strike a reseller deal with Citrix (CTXS) related to the latter's NetScaler application delivery controllers (ADCs) - Oppenheimer thinks it could pave the way for Cisco, which recently said it would de-emphasize its own ADC hardware, to eventually acquire NetScaler for $1.5B-$2.1B. MKM argues F5 (FFIV), which is believed to control half of the ADC market to Citrix's 20% and Cisco's 15%, and maintains an edge in 3rd-party developer support, remains on solid ground. (also)
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  • Oct. 15, 2012, 3:29 AM
    ZTE shares plunge 15.1% in Hong Kong after China's second-largest telecom-equipment maker warns that it will make a Q3 loss of up to 2B yuan ($319.1M). ZTE blames a delay in some overseas deals and a large number of low-margin contracts in Europe, Asia and the domestic market. U.S.-listed shares on watch include ALU (-1.7% in Paris), ERIC (-0.85% in Stockholm), CSCO, JNPR,CIEN, MMI, BBND. (PR)
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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.