Juniper Networks (JNPR) Solid Q2 Overshadowed by CEO Resignation; PT Raised at Nomura
Nomura Securities raised its price target on Juniper Networks (NYSE: JNPR) from $18 to $21 but maintained a Neutral rating. The firm notes solid Q2 was dampened by the CEO resignation.
Analyst Stuart Jeffrey comments, "Juniper beat revenues by 6% and EPS by 19% driven by strength in service provider and enterprise. Business momentum appears to be improving for Juniper, as evidenced by the 14% revenue growth in routing and switching. The strong deferred revenue and order bookings in the quarter imply the momentum should carry into the H2. Management is investing back into the company after targeting $150mn in cost cuts in 2013. Despite the positives in Q2, we retain our Neutral rating on the shares. We believe much of the positive momentum is baked into estimates. We are raising our target price to $21 from $18 due to an increase in market multiples. We expect the shares to be range-bound over the near term. FY13E EPS from $1.16 to $1.2; FY14E EPS from $1.37 to $1.32."
For an analyst ratings summary and ratings history on Juniper Networks click here. For more ratings news on Juniper Networks click here.
Shares of Juniper Networks closed at $21.34 yesterday, with a 52 week range of $14.55-$22.98.
Analyst Stuart Jeffrey comments, "Juniper beat revenues by 6% and EPS by 19% driven by strength in service provider and enterprise. Business momentum appears to be improving for Juniper, as evidenced by the 14% revenue growth in routing and switching. The strong deferred revenue and order bookings in the quarter imply the momentum should carry into the H2. Management is investing back into the company after targeting $150mn in cost cuts in 2013. Despite the positives in Q2, we retain our Neutral rating on the shares. We believe much of the positive momentum is baked into estimates. We are raising our target price to $21 from $18 due to an increase in market multiples. We expect the shares to be range-bound over the near term. FY13E EPS from $1.16 to $1.2; FY14E EPS from $1.37 to $1.32."
For an analyst ratings summary and ratings history on Juniper Networks click here. For more ratings news on Juniper Networks click here.
Shares of Juniper Networks closed at $21.34 yesterday, with a 52 week range of $14.55-$22.98.