RS ups 01 rev,EPS, maintains BUY
quote.fool.com
Sycamore Networks, Inc. (Nasdaq: SCMR) $22.56 Buy
F2001E EPS: $0.24, up from $0.23 F2002E EPS: $0.35, down from $0.37
Paul Johnson, Communications/Networking
"Sycamore reported financial results for their fiscal second quarter
(January) which exceeded our and Street expectations," said Johnson.
"Revenues of $149.2 million and pro forma EPS of $0.06 were above our and
Street estimates of $138.0 million and $0.05, respectively. Sequential
revenue growth during the quarter was driven by continued strong
acceptance of the company's products at Williams Communications, as well
as two unnamed "10% customers" in the quarter. The company also announced
the addition of 2 new customers during the quarter, Vodaphone and
CoreExpress. Sycamore shipped to 14 customers in the quarter, as well as
1 international distributor. Though Sycamore beat our estimates for the
January quarter, we are making only minor changes to our forward
estimates. Our Fiscal 2001 revenue and EPS estimates are being increased
slightly due to the upside in the January quarter, with lower gross margin
expectations being offset by a lowered share count. For Fiscal 2002, we
are leaving our revenue estimates unchanged, and slightly reducing EPS due
to lowered gross margin estimates from a change in expected product mix.
We are maintaining our Buy rating on the stock." |
