Update Cisco Systems (CSCO)
When I was a kid and I’d turn up my turn up my nose at a great present that wasn’t exactly what I wanted, my grandmother would say, What do you want, egg in your beer?
Well, today, May 13, investors in Cisco Systems (CSCO) remind me of that little kid I was. They’ve sold off shares of Cisco Systems by a little more than 4% today because in earnings for the company’s fiscal third quarter announced after the market closed yesterday the company only reported the strongest quarter in company history (said CEO John Chambers) and didn’t raise guidance for the next quarter.
Mind you, Cisco didn’t cut guidance. On the conference call the company said revenue for the next quarter, the company’s fiscal fourth quarter, would be up 25% to 28% from the fourth quarter a year earlier. That works out to revenue of $10.6 to $10.9 billion. Exactly in line with the $10.68 that Wall Street analysts had projected.
And that’s the big disappointment? Got to be since I can’t find one in the rest of Cisco’s numbers. Read more
Update Cisco Systems (CSCO)
Cisco Systems (CSCO) rules the technology that runs the Internet, but it’s got a few things to learn about product announcements. On March 9 the company held a teleconference staged with all the hoopla of Apple (AAPL) announcing a new iPhone. But then Cisco unveiled a new core carrier routing platform with the catchy name of CRS-3.
The stock actually dropped 26 cents a share the day after the teleconference.
I can understand the investor disappointment. The CRS-3 isn’t an iPhone-like consumer product.
But the CRS-3 is still huge news. Read more
Update Cisco Systems (CSCO)
The recession is certainly over for Cisco Systems (CSCO). Today, February 3, after the market close the company reported earnings for the quarter that ended in January (Cisco’s second quarter of fiscal 2010) of 40 cents a share. That was 5 cents a share better than Wall Street projections.
Tech stocks had already finished strong for the day before Cisco reported. The positive surprise could be enough to keep what was one of the weakest sectors in January on the mend. (For more on the January slide in the technology sector and what it means for the market as a whole see my post http://jubakpicks.com/2010/01/28/odds-that-this-is-a-10-correction-and-not-just-5-rise-as-tech-stocks-sink/ )
Chances are pretty good since unlike a lot of tech companies that have followed great earnings reports with disappointing guidance, Cisco raised projections for the next quarter in its conference call. Read more
Technology shares leading this rally so far
Technology stocks look placed to lead the market on both technicals and earnings.
After Friday’s sell off, the sector resumed an uptrend on Tuesday January 19 that stretches back to the late November lows. Strong results from Intel (INTC) on Thursday and IBM (IBM) argue that earnings will support the strong technical upward trend. Both companies announced fourth quarter earnings that beat Wall Street estimates.
There’s one part of the technology sector that’s looking especially strong. Read more
Update Cisco Systems (CSCO)
Cisco Systems (CSCO) reported earnings of 36 cents a share for its fiscal first quarter of 2010 after the stock market close on November 4.
Both earnings—by 5 cents a share—and revenue—by $126 million—beat the consensus Wall Street estimates. However, revenue fell by 12.6% from the fiscal first quarter of 2009.
But the big news wasn’t the numbers from the just ended quarter but CEO John Chambers’ confirmation of his optimistic projections when the company reported fiscal fourth quarter earnings in July. Then Chambers had said Cisco saw the fourth quarter as a tipping point that marked a transition from falling sales to future growth.
This quarter he not only said that results confirmed that projection but backed it up by announcing very concrete actions. Read more
