Posts for Ticker ‘JDSU’

Tech Giants Now Hold ~$265 Billion Cash To Spend (HPQ, COMS, INTC, AMD, MSFT, CSCO, AAPL, GOOG, ORCL, JAVA, QCOM, EMC, YHOO, DELL, AMZN, EBAY, ONT, BRCD, JDSU, STAR, VMW)

You have already seen the Hewlett-Packard (NYSE: HPQ) buyout of 3Com Corporation (NASDAQ: COMS).  But this week before that deal was announced we covered how mergers in the technology sector have been very slow to develop over the scale in which we and others think is possible for the sector.  After the Intel Corporation (NASDAQ: INTC) settlement with Advanced Micro Devices (NYSE: AMD), the tally of cash that is now estimated would be an implied $265 billion that is available for the tech giants in our 24/7 Wall St. Real-Time 500 to make acquisitions.

The giant cash balances are held by Microsoft Corporation (NASDAQ: MSFT), Cisco Systems Inc. (NASDAQ: CSCO), Apple Inc. (NASDAQ: AAPL), Google Inc. (NASDAQ: GOOG), and Oracle Corp. (NASDAQ: ORCL), assuming nothing happens with Sun Microsystems Inc. (NASDAQ: JAVA).  But players like QUALCOMM Inc. (NASDAQ: QCOM), EMC Corporation (NYSE: EMC), International Business Machines (NYSE: IBM), Dell Inc. (NASDAQ: DELL), Yahoo! Inc. (NASDAQ: YHOO), Amazon.com Inc. (NASDAQ: AMZN), and eBay Inc. (NASDAQ: EBAY) are either all sitting with large amounts of cash or will be very soon.

We have broken out these technology, IT, software, and Internet companies by the cash amount they hold or what they have in a soon-to-be cash balance.  Of course only a fraction of this cash will be used for mergers.  But there is also a ton of room here for dividends and of course the share buybacks.

Read More »

Posted on: November 12, 2009 – 11:31 am in Consumer Electronics, Cramer, Dividend, Editor's Picks, Internet, Large Cap Stocks, Mergers and Buy Outs, PC Companies, Private Equity, Rumors, Semiconductor, Software, Stock Buybacks, Technology Companies, Telecom, , , , , , , , , , , , , , , , , , , ,

Top Day Trader Alerts (BRCD, COMS, GMCR, DRYS, AMD, JDSU)

These are this morning’s top day trader and active trader alerts on high price moves and/or high volume.  We have a link to more data and analysis at VSInvestor.com for each stock:

We have issued some options data and new levels to watch in Brocade Communications Systems, Inc. (NASDAQ: BRCD) now that its stock is down 10%.

3Com Corporation (NASDAQ: COMS) is setting multi-year record trading volume.  You already know why.

Green Mountain Coffee Roasters Inc. (NASDAQ: GMCR) is getting roasted on its own after earning.

DryShips Inc. (NASDAQ: DRYS) is challenging the $7.00 highs not seen since October.

Advanced Micro Devices Inc. (NYSE: AMD) is hitting 52-week highs on its settlement with Intel.

JDS Uniphase Corp. (NASDAQ: JDSU) is riding tech merger coattails with a 6% gain.

You can join our open email distribution list which goes out several times per week to be notified of key analyst calls, top early morning day trader alerts, along with news of IPO’s, key offerings, guru investor data on Buffett and others, key merger news, and more.

JON C. OGG

Posted on: November 12, 2009 – 9:16 am in Pre-Market Activity, Trading Alert, , , , , ,

Is JDSU Up For Grabs? (JDSU)

JDSU LogoJDS Uniphase Corp. (NASDAQ: JDSU) is seeing a run in the stock and in the options trading today.  The company announced this morning that had “licensed patent rights for fundamental picosecond laser technology to Hamamatsu Corporation for the development of microelectronic products.” Yet there may be more to the story here as some consider it one possible takeout or merger target in the land of technology.  This notion of an acquisition may seem impossible if you have known the company since it was a $100 and far higher stock back in the tech bubble days.

Read More »

Posted on: November 9, 2009 – 2:53 pm in Mergers and Buy Outs, Rumors, Technology Companies, Telecom,

Surprise: The Weakest Companies Are Leading the Rally

bank

Fed Chairman Ben Bernanke believes the green shoots of economic recovery are sprouting, and the market seems to agree: The S&P 500 is up 36 percent since March.

But a closer look reveals plenty of crabgrass on U.S. balance sheets —
enough to choke the rally before long. Balance sheets are the best snapshot of a company’s health. And for about 90 percent of the S&P 500 stocks outside the financial sector, the picture is still worse than a year ago. Read More »

Posted on: June 17, 2009 – 6:34 am in Accounting, Economy, ,

Increased Short Selling in Data-Comm Equipment Stocks (CIEN, CSCO, LVLT, JDSU, JNPR)

With the trends seen lately in communications equipment and data providers because of telecom spending dropping, it is no huge surprise that the short selling has been increasing in some of the stocks in the sector.  Some companies showed declines in short selling, but these are some of the larger companies that showed increases in short sales from mid-August to late in August:

Alternative Energy                          Aug 29         Aug 15      Change
Ciena Corp. (CIEN)                      10,613,944    10,213,947     3.92%
Cisco Systems (CSCO)               61,385,846    60,078,726     2.18%
Level 3 Communications (LVLT)  249,148,929  247,414,113     0.70%
JDS Uniphase Corp. (JDSU)         24,646,634   22,891,958      7.67%
Juniper Networks (JNPR)             29,631,812    26,574,049    11.51%

Jon C. Ogg
September 11, 2008

Posted on: September 11, 2008 – 2:24 pm in Short Interest, Technology Companies, , , , ,

Ciena Echoes Telecom & Data Slowdown (CIEN, JDSU)

Ciena_logo_2Ciena Corporation (NASDAQ: CIEN) has come out with earnings and posted a 7% drop in non-GAAP EPS to $0.37 EPS on a 24% revenue rise to $253.2 million. First Call had estimates at $0.37 and $253.6M. Unfortunately the fiber optic and networking company is seeing a slowdown and order delay from its Tier One telecom and data carrier clients.  It has now lowered revenue guidance to $190 to $210 million for its fiscal fourth quarter, which is a far cry from the $263 million expected by analysts in the First Call surveys.

Read More »

Posted on: September 4, 2008 – 6:17 am in Earnings, Earnings Warning, Technology Companies, Telecom, ,

24/7 Wall St. Most Overpaid CEO Of The Day: JDS Uniphase (JDSU) CEO Kevin Kennedy

Angrybear_2JDS Uniphase (JDSU) announced it business fell to pieces in the last quarter. On a non-GAAP basis, the company said it would have earned $15.5 million, or 7 cents per share. Revenue grew to $390.3 million from $350.7 million last year. Analysts were expecting earnings of 10 cents a share on revenue of $395.8 million, according to consensus estimates from Thomson Reuters, writes MarketWatch.

The market was upset and pushed the shares down 11% in the pre-market, falling to $10.50, about $1 from its 52-week low. Over the last two years, JDSU is down about 50%.

Read More »

Posted on: August 21, 2008 – 7:13 am in Management Change,

JDS Uniphase Votes For Buyback Over Expansion (JDSU)

JDS Uniphase Inc. (NASDAQ: JDSU) has just announced that its board of directors has authorized the repurchase of up to $200 million in shares of common stock.  The repurchases can be via open market or private transactions, and it set this as a two year period ending May 14, 2010.

JDS Uniphase’s market cap is roughly $2.6 Billion.  Based upon today’s prices, this would net out approximately 17 million shares.  That in turn is representative of nearly 2.5 days worth of average trading volume.

As far as how this relates to total cash, as of March 29, 2008, JDSU had $1.045 Billion in cash and short-term investments, and still had $26.7 million listed as long-term investments.  Its total liabilities were also $1.13 Billion. 

Unfortunately, this buyback doesn’t sound like it is going to be large enough to make any massive dent even though shares should run up initially on this news.  It also signals that there might not be that many great niche and complimentary or adjacent mergers it wants to make.

Shares closed at $11.51 yesterday and are up almost 1% pre-market at $11.61; its 52-week trading range is $9.49 to $16.05.

Jon C. Ogg
May 15, 2008

Jon Ogg produces and edits the "10 Stocks Under $10" newsletter and he does not own securities in the companies he covers.

Posted on: May 15, 2008 – 7:44 am in Stock Buybacks, Technology Companies,

JDSU (JDSU) Enterprise Broadband Spending Stays Down

It is the age of broadband, but no one could tell that from the results of companies which supply equipment to the broadband suppliers like cable and telecom firms

JDSU (JDSU), one of the oldest companies in the industry, reported poor earnings. Net revenue for the third quarter of fiscal 2008 was $383.9 million and the net loss was $6.2 million, or $(0.03) per share. This compares to net revenue of $361.7 million and a net loss of $14.2 million or $(0.07) per share for the third quarter of fiscal 2007.

What was worse was guidance. JDSU said that for the fourth quarter of fiscal 2008, ending June 28, 2008, the it expects non-GAAP net revenue to be in the range of $381 to $403 million, In other words, the business is not growing at all.

With capital spending dropping in the teeth of a bad economy, companies like JDSU may have a very rough year. Wall St. will be watching for orders to pick up as broadband landline and wireless picks up. If JDSU is not growing by then, it means the company is bleeding market share.

Douglas A. McIntyre

Posted on: May 1, 2008 – 8:42 am in Earnings,

Top 10 Pre-Market Analyst Calls (MT, DISCA, FNSR, GILD, GMXR, JDSU, LLTC, NU, UEIC, WMB)

These are some of the research calls we are looking at this morning that are impacting shares in early pre-market trading:

  • Arcelor Mittal (NYSE: MT) raised to Buy at Deutsche Bank.
  • Discovery Holding (NASDAQ: DISCA) raised to Neutral at Credit Suisse.
  • Finisar (NASDAQ: FNSR) started as Outperform at Morgan Keegan.
  • Gilead Sciences (NASDAQ: GILD) downgraded to Market Perform from outperform at Bernstein Research.
  • GMX Resources (NASDAQ: GMXR) started as Buy at Jefferies.
  • JDS Uniphase (NASDAQ: JDSU) started as Market Perform at Morgan Keegan.
  • Linear Tech (NASDAQ: LLTC) raised to Buy from hold at UBS.
  • Northeast Utilities (NYSE: NU) raised to Buy from hold at UBS.
  • Universal Electronics (NASDAQ: UEIC) downgraded to Hold from Buy at Deutsche Bank.
  • Williams Companies (NYSE: WMB) raised to Outperform at RBC Capital Markets.

Jon C. Ogg
February 22, 2008

Posted on: February 22, 2008 – 7:18 am in Analyst Calls, , , , , , , , , ,

Major Relief Rally in JDSU (JDSU)

If you have been following tech stocks for a decade or more, JDS Uniphase (NASDAQ: JDSU)  is one you will know quite well.  For almost the entire 2000’s, you probably wish you didn’t know it if you had not been short the stock.  We even noted this one recently as a turnaround that just hadn’t ever been turned.

Maybe that is changing.  Shares are surging in after-hours trading after the company blew the handle off of some estimates with its earnings report, despite earnings lower year over year.  Net revenues came in at $399.2 million and net income was $0.09 EPS or $21.2 million.  BUT… before items and charges, JDSU would have posted EPS at $0.22.   First Call had estimates pegged at $0.12 EPS on revenues of $386.39 million.

The optical components and fiber optic makers gave strong enough guidance as well.  JDSU said it now expects next quarter’s non-GAAP revenue to be $380 to $402 million and non-GAAP operating margin to be in the range of 4-7%.  First Call has estimates at $390+ million revenues.

Before calling this a success in a turnaround, we would probably rather see another couple quarters of strong orders.  We’d also caution that this successful post-earnings trading is on the heels of a significant stock drop.  This one got low enough that we even got to review it for our "10 Stocks Under $10" subscriber letter. 

Shares closed down almost 3% at $10.16 in normal trading but shares are up about 18% to $12.05 in an after-hours relief rally.  JDSU’s 52-week trading range is $9.49 to $17.15 and shares were nearly $15 just 90-days ago.

Jon C. Ogg
February 5, 2008

Posted on: February 5, 2008 – 5:34 pm in Earnings, Technology Companies, ,

Turnarounds That Haven’t Turned Around: JDS Uniphase (JDSU)

There are many companies that have been troubled and involved in turnarounds for quite some time that just never quite seem to get turned around.  Enter JDS Uniphase (NASDAQ: JDSU).  JDS Uniphase is in a true conundrum if you look into the time machine because it isn’t a dirt cheap value stock and it isn’t a high-growth engine. It’s now just an old fiber optics company trying to find its groove.  The good side (or less bad) is that it is far from being alone in old tech wrecks in the fiber optic and communications equipment sector, and it doesn’t really look like the situation is heading far south again.

JDSU still has a $3 Billion market cap, far short of its prior glory days during the tech bubble.  At $13.60 this is at the lower-end of its $12.41 to $17.99 52-week trading band, but on a split-adjusted basis this had climbed back to above $30 in mid-2006.  We aren’t even going to address that old huge $90 Billion or however much it was (biggest in history).

Read More »

Posted on: December 20, 2007 – 2:39 pm in Technology Companies, Turnarounds,

Nasdaq Short Interest Rises In Tech And Communications Stocks

The short interest in many Nasdaq-traded tech and communications stock rose sharply according to figures from November 30. They compare to number from November 15, 2007.

Shares sold short in Level 3 (LVLT) rose 14.4 million to 164.5 million. Shares short in Sirius (SIRI) moved up 14.4 million to 117.4 million. Short interest in Oracle (ORCL) was up 6.5 million to 37 millio shares. Shares short in Comcast (CMCSA) moved up 8.3 million to 23.5 million

The short interests in Marvell Technology, Tellab, JDS Uniphase, and Nvidia also spiked.

The largest drop in short interest came at Intel (INTC) where the figure fell 9.1 million to 60.9 million.

Largest Short Positions

Company                                    Shares Sold Short

Level 3                                        164.5 million shares short

Sirius                                          113.4 million

Microsoft (MSFT)                         112.9 million

Charter (CHTR)                              94.9 million

Intel                                              60.9 million

Yahoo! (YHOO)                             58.3 million

E*Trade (ETFC)                             49.9 million

Comcast                                      47.5 million

Cisco (CSCO)                              39.2 million

Oracle                                         37.0 million

Largest Increases In Short Position

Company                                     Increase

Level 3                                         14.4 million share increase

Sirius                                           14.4 million

PMC-Sierra                                    8.9 million

Oracle                                           8.5 million

Comcast                                       8.3 million

Telllabs                                         7.0 million

JDSU (JDSU)                                6.6 million

Nvidia                                           6.4 million

Largest Decreases In Shares Sold Short.

Company                                      Decrease

Intel                                              9.1 million share drop

Brocade                                        7.1 million

Charter                                         5.9 milion

Sun (JAVA)                                  4.9 million

Earthlink                                      3.4 million

Medarex                                      2.5 million

Data from Nasdaq

Douglas A. McIntyre

Posted on: December 12, 2007 – 4:23 am in Short Interest, , , , , , , , , , ,

Earnings Preview: JDS Uniphase (JDSU)

JDS Uniphase (NASDAQ:JDSU) is set to post earnings after today’s close and First Call had the last estimates seen at $0.06 EPS on revenues of $355.8 million.  The company usually offers some guidance, and next quarter estimates are $0.12 EPS on revenues of $392 million.

Stock options appear to be pricing in a move of up to almost $1.00 in either direction.  Analysts are far fewer than in the dot.com and fiber optic craze days, but the ratings are mixed with an average target apparently just north of $18 per share.  Shares have traded within a band of $13 to $16 for most of the  last six months, although shares are at the higher-end of that band now.  Its average daily volume is now about 4.3 million shares.

Since its reverse split, the split-adjusted trading range over the last year is $12.41 to $19.66 and shares traded north of $30 on a split-adjusted basis in the first half of 2006.

JSDU has mostly decoupled from its sector and no longer has any real impact on other stocks in the fiber optics and optical communications sector, or at least that is the prevailing opinion since it is no longer thought of as a leader in the sector.

Jon C. Ogg
October 31, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he produces the Special Situation Investing Newsletter and does not own securities in the companies he covers.

Posted on: October 31, 2007 – 12:34 pm in Earnings, Internet, Technology Companies, Telecom,

Media Digest 8/23/2007 Reuters, WSJ, NYTimes, FT, Barron’s

According to Reuters, a group of California gas stations filed suit against Chevron (CVX), Saudi Aramco, and Royal Dutch Shell for price fixing.

Reuters writes that Canon (CAJ) is spending another $862 million on its share buy-back.

Reuters reports that Bank of American (BAC) has invested $2 billion in Countrywide Financial (CFC).

The Wall Street Journal writes that Facebook is working on an ad system that will target marketers messages based on information given by the website’s members.

The Wall Street Journal writes that Nokia (NOK) will preload Microsoft (MSFT) applications on phones in eleven countries in an attempt to get additional revenue from web services.

The New York Times reports that customers are troubled by the multi-page billes they get from AT&T (T) for their Apple (AAPL) iPhones

The FT writes that Samsung is about to overtake Motorola (MOT) as the No.2 handset company.

The FT reports that the private equity deal for Home Depot (HD) Supply may be in deep trouble.

Barron’s reports that JDSU beat forecasts.

Douglas A. McIntyre

Posted on: August 23, 2007 – 3:08 am in Press Digest, , , , , , , , , , ,

JDSU: Still No Future

JDSU, which makes communications test and measurement solutions and optical products for the telecom and cable businesses, turned in another lackluster quarter. These are supposed to be the days of broadband expansion and fiber-for-everyone as companies like Verizon (VZ) build out their FiOS system and firms like Comcast (CMCSA) and Time Warner Cable (TWC) fight to keep up. And, that is just the business in the US. North America was only 53% of the company’s business in the last quarter.

But, revenue for the quarter ending June 30 was $350.7 million and the net loss was $17.9 million, or $(0.08) per share. This compares to net revenue of $361.7 million and a net loss of $14.2 million or $(0.07) per share in the same quarter last year of 2007.

Not much is expected in the next quarter, JDSU said for the period ending September 29, 2007 revenue should be in the range of $345 to $360 million.

JDSU’s large optical communications business lost money again–over $9 million. This was offset by modest improvements in operating income in the company’s test and measurement and advanced optical units.

It is still difficult to understand how this company does well under $1.5 billion in revenue a year in the current environment. Maybe that is why the stock trades at under $14.50 down from $34 in March 2006.

Posted on: August 22, 2007 – 4:01 pm in Telecom, , , ,

The 52-Week Low Club (May 18, 2007)

Despite day after day of the "New DJIA High" headlines some companies keep going the opposite direction and put in new 52-week lows.  This little piggy went to market…..

Atherogenics (AGIX)…. Keeps drifting lower. $140 million implied cash on the books, but negative liquidity with the debt.  Maybe it’s easier to be in the parachute business.

CalAmp (CAMP).. Customer issues hurting earnings results, and shareholders.

Gaming Partners (GPIC)… Not all casino suppliers are doing well, even if the company customers are.

Healthcare Realty (HR)… This is and was surprising.  Now you have to wonder if that 8% divdend is going to be real.

JDS Uniphase (JDSU)… Dark fiber, is it 2000 all over again?

JAPAN SMALLER CAP FUND (JOF)… this was surprising, even though we usually leave funds off the list.

Shoe Pavilion (SHOE)… must have Digger selling the shoes or it must be smelly feet.

Sonic Solutions (SNIC).. lower revenues, a Roth downgrade, and breaking the sound barrier the way the test pilots did before Chuck Yeager made it.

Jon C. Ogg
May 18, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Posted on: May 18, 2007 – 3:34 pm in HI/LOW, , , , , , , ,

JDS Uniphase: Fiber Not Lit Up Enough

JDS Uniphase (JDSU-NASDAQ) just reported earnings: non-GAAP EPS was $0.06 (but was -$0.07 on GAAP) on revenues of $361.7 million; versus estimates of $0.10 and $346.5 million.  The company’s guidance for revenues to come in between $325 to $345 million compared to First Call estimates of $354.5M.  The company did at least generate positive cash flow.

Americas’ customers represented 54% of net revenue. European and Asia- Pacific customers represented 27% and 19% of net revenue.  Here is the unit break-down:  Communications Test and Measurement non-GAAP net revenue of $162.9 million was down 3% from last quarter, and up 28% from the same quarter a year ago. This segment represented 45% of total revenue.  Optical Communications non-GAAP net revenue of $128.7 million was down 3% from last quarter, and up 1% from the same quarter a year ago, representing 36% of total net revenue.  Advanced Optical Technologies non-GAAP net revenue of $45.6 million was up 13% from last quarter, and up 12% from the same quarter a year ago. This segment represented 12% of total net revenue.

The problem with playing JDS Uniphase ahead of earnings is that it has a scattered history, and if you have been trading long enough you will know that comment is the understatement of the year.  Options traders were only prepared for this stock to move $0.55 to $0.70 in either direction.

Shares closed up 2.5% at $16.64 in regular trading and the 52-week trading range adjusted for its reverse split is $13.93 to $29.28.  If all the numbers are accurate, it looks like JDSU is still having a hard time with street expectations.  Shares are down over 4% to under $16.00 in after-hours trading.

Jon C. Ogg
May 2, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Posted on: May 2, 2007 – 3:17 pm in Earnings, Earnings Warning, Telecom,