Cisco, Motorola and Nokia have the money, but not necessarily the need. |
Everyone expects a pickup in enterprise spending in the last half of the year but we're not seeing it yet. This is still an environment where it is hard to have a high level of confidence forecasting a recovery. |
On balance I think it was an okay quarter. It would be nice if they were doing better. |
Revenue growth is likely to be stronger in the second half (of the fiscal year ending in July) than in the first half. |
That'll be an enormous opportunity for companies like Cisco to build those networks. |
There has been a modest pickup in spending but it's still pretty tough out there. It's definitely growth initiatives that are driving sales since the switch and router market is pretty tepid. |
There's still a lot of uncertainty. Cisco had a good quarter but that doesn't mean that there will be another one out there like this one. |
We're in a market where you don't get any credit for a great quarter. I don't think beating the numbers will benefit Cisco very much. |
With the prospect of relatively slow top-line growth over the next two quarters, we believe the upside in the stock is limited. |