Cisco Slips as Investors Await Results
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Shares of Cisco Systems (NASDAQ: CSCO) traded modestly lower a day ahead of the company's quarterly results, while the Nasdaq managed to end the day with a small gain.
In its first earnings report as a member of the Dow Jones Industrial Average, Cisco's revenues are expected to fall more than 17 percent from the year-ago quarter to $8.52 billion, while earnings are expected by analysts to decline by 11 cents to 29 cents a share, according to Thomson Reuters.
Analysts predict another 17 percent decline in sales for Cisco's October quarter, so any upside to Cisco's results or guidance could add fuel to economic recovery hopes. But Cisco shares have also gained 65 percent off their March low, so it could take better than expected results to keep moving the stock.
Cisco shares lost 0.6 percent Tuesday as the Nasdaq edged 0.1 percent higher.
Cognizant (NASDAQ: CTSH) jumped 10 percent on better than expected results, while STEC (NASDAQ: STEC) fell 8 percent on news of insider selling.
Mellanox (NASDAQ: MLNX) fell 17 percent on a report that it could be weighing an acquisition.
Research in Motion (NASDAQ: RIMM) and Symantec (NASDAQ: SYMC) were among the big-cap gainers, while Palm (NASDAQ: PALM) and Amazon (NASDAQ: AMZN) traded lower.
The Nasdaq rose 2 to 2011, the S&P 500 added 3 to 1005, and the Dow gained 33 to 9320. Volume rose to 5.71 billion shares on the NYSE, and 2.29 billion on the Nasdaq. Advancers led by a 22-15 margin on the NYSE, and 15-11 on the Nasdaq. Upside volume was 67% on the NYSE, and 56% on the Nasdaq. New highs-new lows were 167-77 on the NYSE, and 83-11 on the Nasdaq.