Cisco Systems (Nasdaq: CSCO) Stock: Earnings Don't Tell the Whole Story

Email

A slight earnings beat apparently wasn't good enough for Wall Street, which nudged Cisco (Nasdaq: CSCO) stock down more than 4% in after-hours trading.

Even an increase in the quarterly dividend by $0.02 a share, to $0.19, wasn't enough to deter the bears. Cisco's yield will rise to about 3.3%.

CISCO SYSTEM INC
NASDAQ: CSCO
Nov 25
loading chart...
Price: 27.28 | Ch: 0.25 (0.9%)

The maker of networking gear announced results after the market closed Wednesday and said it earned $0.47 cents a share in its fiscal second quarter, just barely beating expectations for $0.46 cents a share.

Revenue was $11.2 billion, also slightly higher than the $11.04 billion that analysts had forecast.

Investors were disappointed despite the beat because both numbers represent declines from the year-ago numbers.

Still, it would be a mistake to underestimate the veteran tech giant. Cisco is very much a company in transition right now, with an eye toward the future.

Join the conversation. Click here to jump to comments…

Leave a Reply

Your email address will not be published. Required fields are marked *


× seven = 21

Some HTML is OK

© 2014 Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201, Email: customerservice@MoneyMorning.com