Juniper Networks, Inc. (JNPR - Free Report) recently announced that it has been selected by BT Group plc — a renowned global service provider — to deliver its Network Cloud infrastructure initiative. Financial terms of the deal were not disclosed.
Markedly, the move to a single cloud-driven network infrastructure will likely allow BT to offer wider range of services, more efficiently to customers in the United Kingdom and around the world. It is expected to help BT’s Network Cloud rollout while enabling a more flexible, virtualized network infrastructure that can deliver the technology requirements of businesses.
The computer network equipment maker’s avant-garde solution enables communications service providers to combine an array of currently discrete network functions and deploy them on a cloud infrastructure that is built to a common framework and shared across the organization. This helps minimize operational expenditure and significantly simplify operations.
Juniper has long-term EPS growth expectation of 6.2%. Shares of Juniper have lost 6.4% against the industry’s rise of 13% in the year-to-date period, largely due to soft demand in its cloud business. Nevertheless, the company is witnessing encouraging developments in most areas of its business that augur well for its long-term growth.
The company has made significant changes to its go-to-market structure to better align its sales strategies to each of its core customer verticals. It plans to introduce several new products over the next few quarters, which are expected to further strengthen its competitive position across service provider, cloud and enterprise market.
These include new MX line card that will strengthen its ability to capitalize on carrier 5G initiatives, new 400 gig platform that will improve its ability to capture data centric footprint, particularly in the cloud, and enhancement to its Contrail Enterprise Multicloud platform that will help its mid to large enterprise customers transition to a multicloud world in a cost-effective manner.
Juniper is also planning to introduce new silicon photonics capability that will likely fortify its market dominance. It believes the 400 gig upgrade cycle, 5G deployment and enterprise multicloud initiatives hold huge opportunities where it is well positioned to benefit over the next several years.
Currently, Juniper carries a Zacks Rank #2 (Buy). Other top-ranked stocks in the industry include Harris Corp. and Ubiquiti Networks, Inc. , both carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Harris has long-term earnings growth expectation of 8%.
Ubiquiti has long-term earnings growth expectation of 19.8%.
Will you retire a millionaire?
One out of every six people retires a multimillionaire. Get smart tips you can do today to become one of them in a new Special Report, “7 Things You Can Do Now to Retire a Multimillionaire.”
Click to get it free >>