CSCO gained 5% in revenue year over year and that pushes the stock up..what joke..they made a whopping .15 which by the way is WAY above what JNPR is, yet they trade fairly close to each other..Fuzzy math going on.
I almost always advise setting a risk tolerance and protecting any gains in JNPR through derivatives or sell covered calls for a couple of months to make some quick money from the premium and use those to go for the big game when opportunities arise (like the earning runs). It doesn't have to be gambling but of course without the "gamblers" who pay me to take the maximum risk, there will not be a safe strategy.
I don't think anyone on 50% margin is going to last very long play stocks like JNPR. In any case, it will crazy and next to impossible to make money shorting with this kind of up trend and momentum in both JNPR, its sector and the market. The right move is to go long and hedge.
> where does the stock go from here to year end.
Isn't it obvious? The exact same arguments that make it worth 19.40 today make it worth 19.75 tomorrow.
In January, we'll have the same nail biting earnings release which amazingly enough Kriens, et al will beat by .02 or .03 causing another feeding frenzy at the greed trough. Ipso facto, it is absolutely impossible for this to be trading at under $21.50 come mid January.
It has been ordained.
I respect that answer..your right the object is to make money, however if your playing the long side and you admit its overvalued, your in effect gambling..so far if you gambled long your right..It has not been going straight up for 2 years however, its more like in the last 9 months. I have followed this stock for quite a while..and I think its a lot more difficult to truly project where the stock is going..To me if you bought at 17.50 and then watched it drop to 15, its tough to stand there and say let me add more to this position even though its overvalued..If you did then you have more courage than I. I just have never bought the argument the chart looks good buy it..one day can change the chart..if you notice now a lot of stocks are dropping over 20% in a day (look at PCLN today which btw made more money in the quarter on a EPS basis than JNPR did. If your playing the sentiment you can get burned badly.
I don't particularly like to be short howeever to me, I know more people out of work then I ever did, and this hocus pocus on the economy in a recovery I simply am just not buying it. I just think as a long there are far better choices than JNPR.
Since you have a crystal ball where does the stock go from here to year end.
Interesting how you read what you want to believe... Or it's just as amusing to me that even when you do realize that you're wrong, it won't change your opinion of this sector.
Note the first line 5.3% REVENUE increase y/y.
If you're looking for hype, why not point out that GAAP numbers are up 87.5% y/y! Yipee!
> Q1 Revenues: $5.1 Billion (5.3% increase year over year; 8.5% increase quarter over quarter)
Q1 Earnings Per Share: $0.15 GAAP (87.5% increase year over year); $0.17 Pro Forma (21.4% increase year over year) IT DOES SAY 21% INCREASE YEAR OVER YEAR!
Its a seasonal business, with IT managers spending more in 3Q and 4Q. Year over year, up 5.8%. IT budgets are up about 2% next year over this.
Pumpers will point to y/y when it suits them, and q/q otherwise. Overall, Cisco demonstrated that they could grow at 2% above inflation, below the supposed GDP rate, and spend twice as much as they earn buying back stock that they gave to insiders for this performance.