Networking equipment maker Cisco Systems, Inc. ( CSCO ) on Thursday posted better-than-expected fiscal fourth quarter earnings, sending its shares soaring in premarket trading.
The San Jose-based company reported fiscal fourth quarter net income of $1.23 billion, or 22 cents per share, down from $1.94 billion, or 33 cents per share, in the year-ago period. Excluding several one-time items, adjusted profit was 40 cents per share.
Total net sales rose 3% from last year to $11.2 billion.
On average, Wall Street analysts expected a smaller profit of 38 cents per share, on lower revenue of $10.98 billion.
CEO John Chambers commented, "We've made significant progress on our comprehensive action plan to position ourselves for our next stage of growth and profitability, while delivering solid financial results in Q4."
Cisco shares rose $1.66, or +12%, in premarket trading Thursday.
The Bottom Line
Shares of Cisco Systems ( CSCO ) have a 1.75% dividend yield, based on last night's closing stock price of $13.73. The stock has technical support in the $10-$13 price area. If the stock can firm up, we see overhead resistance around the $16-$18 price levels.
Cisco Systems, Inc. ( CSCO ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.0 out of 5 stars.
Created by Dividend.com
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