Cisco's Supply Situation

And, a Bed Bath & Beyond exit.

Steven Lerner
Steven Lerner

Today is Thursday, August 18, 2022.

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Cisco's Supply Situation

Shares of Cisco Systems (Nasdaq: CSCO) grew 4.41% in after-hours trading on Wednesday after the technology company posted positive financial earnings results.

Financials: Cisco reported earnings of 83 cents per share and revenue of $13.1 billion; both were better than expected.

The Good: Demand pushed sales up in the quarter. Cisco also raised its full-year revenue guidance.

Quote: "Total revenue exceeded our expectations in Q4, as a result of our strong execution and the numerous initiatives we have taken to reduce the impact of the global supply situation." - Scott Herren, CFO of Cisco.

The Bad: Gross margin and net income both decreased a bit during the quarter.

Numbers: Cisco’s stock is down 26% in 2022, but is up 9% in the past 30 days.

Final Thoughts: Cisco is trying to grow its technology business, but the rise of cloud computing poses a challenge.


Notable Earnings Today: BJ's Wholesale Club Holdings (NYSE: BJ), Kohl's (NYSE: KSS), Applied Materials (Nasdaq: AMAT), (NYSE: BILL), Canadian Solar (Nasdaq: CSIQ), Ross Stores (Nasdaq: ROST), Tapestry (NYSE: TPR), Globant (NYSE: GLOB), NetEase (Nasdaq: NTES), Estee Lauder (NYSE: EL), 360 DigiTech (Nasdaq: QFIN), Nice (Nasdaq: NICE), OSI Systems (Nasdaq: OSIS), Canaan (Nasdaq: CAN), Lantronix (Nasdaq: LTX), (NYSE: DESP), Navigator Holdings (NYSE: NVGS), Maxeon Solar Technologies (Nasdaq: MAXN), Bilibili (Nasdaq: BILI), Melco Resorts & Entertainment (Nasdaq: MLCO), Nio (NYSE: NIO), Weibo (Nasdaq: WB).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: Iconic Motorbikes (StartEngine), TargaZyme (StartEngine).

Notable Economic Events Today: Jobless Claims (8:30 a.m. ET), Philadelphia Fed Manufacturing Index (8:30 a.m. ET), Existing Home Sales (10:00 a.m. ET).

Bed Bath & Beyond Faces An Investor’s Potential Exit

Photo by Christopher Jolly / Unsplash

Shares of Bed Bath & Beyond (Nasdaq: BBBY) fell 18.33% in after-hours trading on Wednesday after a report indicated a potential exit from a prominent investor.

Details: Ryan Cohen of RC Ventures filed to sell his entire stake in the retail company on Tuesday. The filing basically revealed Cohen’s intent to sell 9.45 million shares of the company’s stock. Bed Bath & Beyond did not comment on the filing.

Background: The company’s stock is up 365% in the past 30 days as meme stock traders piled in. Before that surge, the stock was down 33% this year.

Final Thoughts: There are concerns about Bed Bath & Beyond as a meme stock, but Cohen’s recent intent to sell could scare investors. The valuation of the stock is still low.

Equity Crowdfunding Spotlight: Uprising Food

Briefly describe your business. A “health-first”, artisan bakery at digital scale, Uprising Food sells functional food staples designed to fix a broken food system. Our products leverage low-carb, prebiotic, gluten-free, functional food ingredients. We are backed by doctors and health experts.

What are the terms of the investment for your campaign? We are raising a reg CF equity offering on Start Engine at an $11.2M pre-money valuation. For more details visit our offering page.

What makes your startup special? We’ve invented a breakthrough product and are founded by a one-of-a-kind, expert-level team. We have a product that is beloved by consumers and a team of CPG veterans and award-winning artisan bakers. We refuse to be out-executed.

Seeing Risk: Bitcoin, Ether Drop as Analysts Fear Fed Minutes Will Dash Hopes for 2023 Easing (CoinDesk)

Not Buying: Target profit plunges 90% as inflation-weary shoppers pull back (CNN)

No Pullback Here: Fed sees interest rate hikes continuing until inflation eases substantially, minutes show (CNBC)

That Was Quick: Company on Seedrs Raises Funding Target in JUST 42 Seconds, Jarvo Closes Funding Round 2X Over Goal (Crowdfund Insider)

Jump the Ark: ARKK Shares Still Beloved By Retail Investors (The Wall Street Journal)

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