Juniper Networks, Inc. (JNPR - Free Report) recently introduced a 5G-ready firewall processing card to meet high security requirements. The company’s latest SPC3 Advanced Security Acceleration card will offer an 11x performance boost to its line of SRX5000 Services Gateways.
Notably, the SPC3 Advanced Security Acceleration card will enable cloud providers, service providers and enterprises to meet the growing security demands of multicloud, Internet of Things, 5G as well as enterprise edge. Meanwhile, the card will continue to offer customers investment protection with its SPC2 installed base.
Juniper is set to capitalize on the growing demand for data center virtualization, cloud computing and mobile traffic packet/optical convergence. The company is offering new suite of products such as the T4000 core router, QFX data center platform, ACX and PTX packet/optical solution, among others. With the growing usage of smartphones and tablets, mobile data traffic has gone up. This has resulted in growing demand for advanced networking architecture, in turn, leading service providers to spend more on routers and switches. Juniper is expected to benefit from the higher spending pattern among carriers to upgrade their networks to support the incremental growth in data traffic.
Moreover, the company has been successful in developing global channel partners and strategic reseller relationships with market leaders. For instance, Juniper has worked with more than 9,000 channel partners to reach customers globally. The company created the J-Partner program for its preferred reseller and alliance partners. Juniper has also collaborated with VMware to provide private cloud-based solutions. These partnerships will enhance its networking technology, ultimately helping companies to transfer an enormous amount of data through different networks. These partnerships will help Juniper to enhance its reach and expand customer base.
In the past six months, shares of this Zacks Rank #3 (Hold) company have gained 4.8%, underperforming the industry’s growth of 6.6%
However, considering Juniper’s broad exposure to the service provider market, the ongoing consolidations could increase uncertainties and restrict its revenue growth over the long term. The security business may also remain a drag on results due to the loss of about $30 million quarterly contribution by the mobile security platform.
Some better-ranked stocks from the same space are Comtech Telecommunications Corp. (CMTL - Free Report) , Clearfield, Inc. (CLFD - Free Report) and QUALCOMM Incorporated (QCOM - Free Report) . While Comtech Telecommunications sports a Zacks Rank #1 (Strong Buy), Clearfield and QUALCOMM Incorporated carry a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Comtech Telecommunications surpassed estimates in each of the trailing four quarters, with an average positive earnings surprise of 123.70%.
Clearfield exceeded estimates in each of the trailing four quarters, with an average positive earnings surprise of 52.78%.
QUALCOMM Incorporated outpaced estimates in each of the preceding four quarters, with an average positive earnings surprise of 19.75%.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>