Juniper Networks Earnings on Deck

S&P 500 (NYSE:SPY) component Juniper Networks (NYSE:JNPR) will unveil its latest earnings on Tuesday, October 23, 2012. Juniper Networks offers products and services that facilitate the deployment of services and applications over the Internet.

Juniper Networks Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for profit of 10 cents per share, a decline of 47.4% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved down from 13 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 10 cents during the last month. Analysts are projecting profit to rise by 49.4% compared to last year’s 44 cents.

Past Earnings Performance: The company topped estimates last quarter after missing forecasts the quarter prior. In the second quarter, it reported net income of 11 cents per share against a mean estimate of profit of 8 cents per share. In the first quarter, it missed forecasts by one cent.

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A Look Back: In the second quarter, profit fell 50.1% to $57.7 million (11 cents a share) from $115.6 million (21 cents a share) the year earlier, but exceeded analyst expectations. Revenue fell 4.2% to $1.07 billion from $1.12 billion.

Stock Price Performance: Between July 24, 2012 and October 17, 2012, the stock price rose $2.49 (16.8%), from $14.81 to $17.31. The stock price saw one of its best stretches over the last year between March 22, 2012 and March 30, 2012, when shares rose for seven straight days, increasing 9.2% (+$1.93) over that span. It saw one of its worst periods between December 5, 2011 and December 19, 2011 when shares fell for 11 straight days, dropping 22.4% (-$5.24) over that span.

Wall St. Revenue Expectations: Analysts predict a decline of 4.5% in revenue from the year-earlier quarter to $1.06 billion.

Key Stats:

On the top line, the company is hoping to use this earnings announcement to snap a string of three-straight quarters of revenue declines. Revenue fell 5.8% in the fourth quarter of the last fiscal year and 6.3% in first quarter before falling again in the second quarter.

The company is trying to stem some negative momentum heading into this earnings announcement. Profit has dropped by a year-over-year average of 56.2% over the past four quarters.

Analyst Ratings: There are mostly holds on the stock with 21 of 29 analysts surveyed giving that rating.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 2.91 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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