Cisco (CSCO:Nasdaq) lost 1.55 (-8.33%) to 17.06, after it
reported second-quarter earnings that easily beat Wall Street’s
expectations. Its shares jumped in after-hours trading, but fell
again as traders took profits on the good news. For the current
fiscal third quarter, the computer networking gearmaker told
analysts on an earnings conference call that despite the
traditionally week seasonal sales for the first three months of
the year, it expects flat to slightly higher revenue growth, but
declined to provide any longer-term forecast. During the second
quarter ended Jan. 26, Cisco earned 9 cents a share on a pro
forma basis, down from 18 cents a year earlier. Wall Street had
forecast a 5-cent pro forma profit. Cisco’s ability to deliver
strong results in a tech recession pleased a few fans on the
earnings call Wednesday.
Nothing is ever good enough for Wall Street.