Cisco Systems, Inc. First Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Cisco Systems, Inc. (NASDAQ:CSCO) will unveil its latest earnings on Wednesday, November 9, 2011. Cisco Systems is a multinational corporation engaged in the design, manufacturing, and sales of Internet Protocol-based consumer electronics, networking, and other services related to communications and information technology.

Cisco Systems, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 34 cents per share, a decline of 8.1% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. Analysts are projecting profit to rise by 6.4% versus last year to $1.49.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 3 cents, reporting profit of 35 cents per share against a mean estimate of net income of 32 cents per share.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 2.4% in revenue from the year-earlier quarter to $11.01 billion.

Analyst Ratings: Analysts seem relatively indifferent about Cisco Systems with 17 of 29 analysts surveyed maintaining a hold rating.

A Look Back: In the fourth quarter of the last fiscal year, profit fell 36.3% to $1.23 billion (23 cents a share) from $1.94 billion (34 cents a share) the year earlier, but exceeded analyst expectations. Revenue rose 3.3% to $11.2 billion from $10.84 billion.

Key Stats:

Revenue has risen the past four quarters. Revenue rose 4.8% in the third quarter of the last fiscal year from the year earlier, climbed 6% in the second quarter of the last fiscal year from the year-ago quarter and 19.2% in the first quarter of the last fiscal year.

The company has seen net income fall in each of the last three quarters. Net income fell 17.6% in the third quarter of the last fiscal year and 17.9% in the second quarter of the last fiscal year.

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), and ADTRAN, Inc. (NASDAQ:ADTN).

Stock Price Performance: During August 10, 2011 to November 3, 2011, the stock price had risen $4.50 (32.9%) from $13.68 to $18.18. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 1, 2011 when shares rose for six-straight days, rising 6.3% (+93 cents) over that span. It saw one of its worst periods between April 6, 2011 and April 19, 2011 when shares fell for 10-straight days, falling 8.1% (-$1.45) over that span. Shares are down $1.82 (-9.1%) year to date.

(Source: Xignite Financials)

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