Cisco Beats the Street

Shares of Cisco Systems jumped about 10% in after-hours trading Tuesday after the networking giant delivered better than expected results and guidance.

Cisco’s pro forma earnings of 30 cents a share and sales of $7.98 billion topped estimates. Cisco grew revenues 12.5% from the year-ago quarter, while Scientific-Atlanta contributed 15% growth.

Cisco also said it sees October quarter growth of 19-21%, in line with forecasts, and fiscal 2007 (July 2007) growth of 15-20%, above 15.5% forecasts.

On a conference call, CEO John Chambers said “momentum remains strong.”

Chambers said business was strong across markets and product lines, although Europe was a little sluggish. Enterprise growth was in the “low double-digits.”

Cisco also said it has found none of the stock option backdating issues that have hit other tech companies in recent months.

Stocks fell during the day after the Federal Reserve left interest rates unchanged for the first time since May 2004, but left the door open for further rate hikes.

Priceline soared 17% after beating estimates, and Bitstream , Sonus , Tekelec , Cray and Rudolph Tech rose on their results.

51Job plunged on its earnings report.

Loudeye soared on a buyout offer from Nokia , while Brocade and McData were mixed on their merger plans.

The Nasdaq lost 11 to 2060, the S&P 500 declined 4 to 1271, and the Dow fell 45 to 11,173. Volume rose to 2.37 billion shares on the NYSE, and 1.95 billion on the Nasdaq. Decliners led 19-13 on the NYSE, and 20-10 on the Nasdaq. Downside volume was 67% on the NYSE, and 62% on the Nasdaq. New highs-new lows were 100-87 on the NYSE, and 57-168 on the Nasdaq.

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