Ciena

Ciena is well-positioned in AI-driven network infrastructure, with strong technology and first-mover advantage, but faces stagnant revenue and shrinking margins. Blue Planet's rapid growth is promising, yet its revenue contribution remains small; overall financials show declining cash flow and rising leverage. Valuation is stretched at a 32x forward P/E, far above peers, making the stock too expensive given current financial performance and risks.» Mehr auf seekingalpha.com

Live Updates Live Coverage Updates appear automatically as they are published. Share price spiking after release 4:10 pm Cisco is trading at $63.39 after earnings. Guidance for the next quarter and full year: Guidance Q4 FY2025 Revenue: $14.5B – $14.7B GAAP EPS: $0.62 – $0.67 Non-GAAP EPS: $0.96 – $0.98 Full-Year FY2025 Revenue: $56.5B – $56.7B GAAP EPS: $2.53 – $2.58 Non-GAAP EPS: $3.77 – $3.79 Cisco Earnings Are Out 4:08 pm Cisco delivered a robust $14.1 billion in revenue, marking an 11% year-over-year increase, and coming in above the high end of guidance. This strength was broad-based across geographies and customer segments. Product orders rose 20% YoY, or 9% excluding Splunk, signaling strong end-market demand. AI infrastructure orders from webscale customers topped $600 million, helping Cisco hit its $1 billion AI order goal a full quarter early. Metric Q3 FY2025 Q3 FY2024 YoY Change Revenue $14.1B $12.7B +11% GAAP EPS $0.62 $0.46 +35% Non-GAAP EPS $0.96 $0.88 +9% GAAP Net Income $2.5B $1.9B +32% Non-GAAP Net Income $3.8B $3.6B +8% Margins also impressed: GAAP gross margin: 65.6% | Non-GAAP: 68.6% GAAP operating margin: 22.6% | Non-GAAP: 34.5% Segment Performance Americas: +14% YoY EMEA: +8% APJC: +9% By product line: Security: +54% Observability: +24% Networking: +8% Collaboration: +4% ash & Shareholder Returns Operating cash flow: $4.1B (+2% YoY) Cash/investments on hand: $15.6B Returned to shareholders: $3.1B (via dividends and buybacks) Quarterly dividend: Maintained at $0.41/share, payable July 23 Segment breakdown 3:18 pm Cisco’s business is increasingly anchored in recurring revenue, with software and services making up over 40% of total sales. Key segments to watch: Secure, Agile Networks: Still the largest contributor, driven by enterprise hardware refresh cycles Security & Observability (Splunk): Now critical to margin expansion and recurring ARR Internet for the Future: Telco and data center routing — weaker in past quarters, sensitive to macro budgets If Splunk growth accelerates or services outpace hardware, the market could reward Cisco with multiple expansion. Cisco and Splunk convergence 2:10 pm Previously, Cisco’s leadership has emphasized Splunk’s integration as a long-term driver of security + observability convergence — but many analysts have yet to bake in meaningful top-line synergy. “We see Splunk transforming our software portfolio — not just as a bolt-on, but a catalyst across secure networking.” If Cisco signals early cross-sell traction or faster ARR onboarding than expected, this could reshape near-term margin and software revenue expectations. Cisco Shares Dropping Today 1:31 pm by Joel South Cisco shares are dropping today before their third-quarter earnings. There’s no notable news on the company, but shares are down 1.24%. Competitors like Ciena (NYSE: CIEN) are also seeing weakness today, so this could be some sector-related negativity leading to investors rotating out of networking stocks. Consensus Check 10:28 am Cisco is expected to report Q3 FY25 EPS of $0.92 and revenue of $14.05 billion, squarely within company guidance of $13.9B–$14.1B. That reflects flat to modest top-line growth, with consensus focused on stability over acceleration. The Street is largely looking for: Continued strength in enterprise networking Signs of integration progress post-Splunk acquisition Growth in AI-related orders (previous quarter: $350M AI bookings) Cisco has beaten earnings estimates for four straight quarters, but revenue beats have been modest. For the stock to move higher, investors may need an uptick in FY guidance or an AI-specific revenue breakout. Cisco (Nasdaq: CSCO) reports Q3 FY2025 results this evening, with Wall Street expecting EPS of $0.92 on revenue of $14.05 billion, near the top end of company guidance. The stock has traded flat year to date and is looking for a catalyst as enterprise and government networking spend remains uneven. Key themes to watch tonight include how much traction Cisco is seeing in AI-related infrastructure demand, as it competes with hyperscalers and vertical integrators. Orders for AI networking surpassed $350 million last quarter, and commentary around growth in that line will be critical. Also in focus is the early performance of Splunk, the $28 billion acquisition aimed at boosting Cisco’s cloud-native and security footprint. Investors will also want clarity on macro demand signals across enterprise, cloud, and service provider segments. Gross margins held firm last quarter, but hardware mix and FX remain swing factors. Cisco has beaten EPS estimates in four straight quarters, including a 14% beat a year ago. With the bar set around top-line stabilization and forward guidance, anything short of a modest raise could weigh on sentiment. The post Cisco Systems (NASDAQ: CSCO) — Earnings Live: What To Watch Today appeared first on 24/7 Wall St..» Mehr auf 247wallst.com

Review Ciena's (CIEN) international revenue performance and how it affects the predictions of financial analysts on Wall Street and the future prospects for the stock.» Mehr auf zacks.com