Cisco Shares Continue to Outperform After Beating Wall Street
Yesterday, I asked if Cisco Systems (NASDAQ:CSCO) will continue to outperform competitors such as Juniper Networks (NYSE:JNPR), Hewlett-Packard (NYSE:HPQ), and Alcatel-Lucent (NYSE:ALU) after earnings. I now have an answer, at least for the short-term.
Investor Insights: Will Cisco Continue to Outperform Competitors?
After hitting a 52-week high of $24.60 last November, shares declined to a low of $13.30 on August 9. However, since the August low, shares have rebounded 35%. On Wednesday, after the closing bell, Cisco reported earnings for its fiscal first quarter. Net income for the networking and communication devices company fell 7.9% to $1.78 billion (33 cents per share), compared to $1.93 billion (34 cents per share) a year earlier. However, revenue increased 4.7% to $11.26 billion, and the company raised guidance for the second quarter.
Investors were pleased with the results and the bump in guidance, which sent shares nearly 4% higher in extended trading. For now, Cisco shares look poised to outperform competitors once again.
Competitors to Watch: Hewlett-Packard Company (NYSE:HPQ), Juniper Networks, Inc. (NYSE:JNPR), Alcatel-Lucent (NYSE:ALU), Microsoft Corporation (NASDAQ:MSFT), Intl. Business Machines Corp. (NYSE:IBM), Extreme Networks, Inc (NASDAQ:EXTR), Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC), Motorola Mobility Hldgs. Inc (NYSE:MMI), NetGear, Inc. (NASDAQ:NTGR), Apple (NASDAQ:AAPL), and ADTRAN, Inc. (NASDAQ:ADTN).