John, did you see this:
Juniper Down 15%; Report Shows Market Share Loss To Cisco
By AMY BRAUNSCHWEIGER
Of DOW JONES NEWSWIRES
NEW YORK -- Juniper Networks Inc. (JNPR) fell as much as 15% Thursday after a research report said the company lost some of its fourth-quarter Internet router sales to rival Cisco Systems Inc. (CSCO).
Juniper's share of the market for these high-end routers, which are sold to telecommunications companies, fell to 26.9% during the fourth quarter from 32% in the third quarter. Meanwhile, Cisco's market share rose to 69.1% from 64.9%, according to Dell'Oro Group, a Redwood City, Calif., firm specializing in network equipment research.
The results of the survey didn't surprise UBS Warburg analyst Nikos Theodosopoulos, as Juniper's total fourth-quarter router sales fell 25% sequentially. Cisco said its router revenue for its second quarter ended Jan. 26 was flat to slightly up sequentially, the analyst said in a note
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My comment: This is what I expected, since Cisco is the Gorilla of their space. I've started placing orders, to buy CSCO LEAPs, 04C17.5, in increments, beginning with CSCO at 17 and on down. I still don't think Cisco is going to get any huge increase in business (and therefore, no big sustainable increase in stock price), until 2003, so I've got time to wait for a dip. But I'm getting quite comfortable that business conditions are not going to get any worse, and the bad news is out, so I think it's time, finally, to start thinking about reestablishing the LT position in CSCO that I sold in 1999. |
