company background image
JNPR

Juniper Networks NYSE:JNPR Stock Report

Last Price

US$27.82

Market Cap

US$9.0b

7D

0.4%

1Y

-1.4%

Updated

09 Aug, 2022

Data

Company Financials +
JNPR fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance4/6
Financial Health5/6
Dividends2/6

JNPR Stock Overview

Juniper Networks, Inc. designs, develops, and sells network products and services worldwide.

Juniper Networks Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Juniper Networks
Historical stock prices
Current Share PriceUS$27.82
52 Week HighUS$38.14
52 Week LowUS$26.20
Beta0.88
1 Month Change-3.37%
3 Month Change-9.00%
1 Year Change-1.42%
3 Year Change9.27%
5 Year Change1.05%
Change since IPO68.82%

Recent News & Updates

Aug 09

Juniper Networks: A Dividend Growth Stock Not To Miss

Juniper Networks is benefiting from strong tailwinds in the form of the transition to 5G, cloud computing, and AI. It's demonstrating healthy revenue growth and this is expected to continue as it works its way through the record backlog. I also highlight the dividend, valuation, and other points worth considering. There are some industries that have oligopolies, like UPS (UPS) and FedEx (FDX), in which both companies are formidable players with sizeable market share. There are other industries that are led by one dominant company followed by a "second banana" of sorts. That was the case for many years with Intel (INTC) and Advanced Micro Devices (AMD), with the latter having been written off by the investment community for many, many years before AMD began to shine a few years ago. This brings me to the networking industry, which is led by Cisco (CSCO), a dominant force in the market, and Juniper Networks (JNPR) which has played second fiddle for many years. While I don't see JNPR disrupting networking what AMD did for semiconductors anytime soon, I do believe it offers compelling value at present for dividend growth investors, so let's get started. Why JNPR? Juniper Networks is a global networking products and services company that connects the way people work and live. It offers a high-performance network infrastructure that creates opportunities for service providers, enterprises, and governments worldwide. The company operates in Service Provider Routing, Enterprise Routing and Security, and Development and Services, and in the trailing 12 months, generated $4.9 billion in total revenue. Unlike Cisco, which posted flat YoY revenue growth in its latest reported quarter (Q3 FY22), Juniper is growing nicely, with 8% YoY revenue growth to $1.27 billion in the second quarter. This was driven by healthy demand signals, as the company continues to attract customers in its enterprise, cloud, and service provider markets with backlog orders sitting at a record level. This sets up Juniper for a strong revenue outlook as it works its way through customer orders, and this is reflected by the 6.3% sequential revenue growth to $1.35 billion that management has guided for in Q3. Also encouraging, Juniper is seeing higher profitability, with operating margin growing by 120 basis points on a YoY basis to 8.5%. The future for Juniper looks bright, as it has the scale to capitalize on the megatrend of helping customers transition to a secure and automated multi-cloud and AI-driven environments, as well as the global transition to 5G. This is reflected by its strong momentum in the service provider segment, with a recently secured 400 gig core win with one of the Tier 1 U.S. carriers. Moreover, Juniper is also making progress in large metropolitan markets where it recently introduced several new platforms to further its competitive position there. Management also highlighted its cloud/AI momentum during the recent conference call: Customer interest in our cloud-ready data center portfolio remains high and given the wins we've already secured, I am optimistic about our ability to capitalize on the attractive growth within this market over the next several years. Our AI-driven enterprise revenue continued to materially outpace the market, growing 17% year-over-year. This strength was led by our Mist-ified portfolio, which grew more than 60% year-over-year, achieving another record quarter for both Mist Wi-Fi and Mist-ified revenue. We are especially encouraged by the traction we're seeing with large customers across the globe with wins at a global financial bank, a global car manufacturer, and a global furniture retailer, each of which recently purchased a combination of AI-driven wireless, wired, security and/or SD WAN products from Juniper. To build on this AI-driven enterprise momentum we continue to deliver groundbreaking new products that optimize both end user and operator experiences such as a recently launched EX4100 family of access switches. Like the EX4400 family announced last year, these are truly enterprise grade access switches born in the cloud with native AIOps ensuring easy setup and management coupled with best-in-class scalability, security and performance.

Jul 25

Juniper Networks Q2 2022 Earnings Preview

Juniper Networks (NYSE:JNPR) is scheduled to announce Q2 earnings results on Tuesday, July 26th, after market close. EPS Estimate is $0.44 (+2.3% Y/Y) and the consensus Revenue Estimate is $1.26B (+7.7% Y/Y). has beaten EPS estimates 75% of the time and has beaten revenue estimates 88% of the time. upward revisions and 14 downward. Revenue estimates have seen 8 upward revisions and 4 downward.

Shareholder Returns

JNPRUS CommunicationsUS Market
7D0.4%0.4%0.3%
1Y-1.4%-13.1%-13.5%

Return vs Industry: JNPR exceeded the US Communications industry which returned -12.3% over the past year.

Return vs Market: JNPR exceeded the US Market which returned -13% over the past year.

Price Volatility

Is JNPR's price volatile compared to industry and market?
JNPR volatility
JNPR Average Weekly Movement4.1%
Communications Industry Average Movement8.3%
Market Average Movement7.9%
10% most volatile stocks in US Market17.2%
10% least volatile stocks in US Market3.2%

Stable Share Price: JNPR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: JNPR's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199610,191Rami Rahimhttps://www.juniper.net

Juniper Networks, Inc. designs, develops, and sells network products and services worldwide. The company offers routing products, such as ACX series universal access routers to deploy high-bandwidth services; MX series Ethernet routers that function as a universal edge platform; PTX series packet transport routers; wide-area network SDN controllers; and session smart routers. It also provides switching products, including EX series Ethernet switches to address the access, aggregation, and core layer switching requirements of micro branch, branch office, and campus environments; QFX series of core, spine, and top-of-rack data center switches; and juniper access points, which provide Wi-Fi access and performance.

Juniper Networks Fundamentals Summary

How do Juniper Networks's earnings and revenue compare to its market cap?
JNPR fundamental statistics
Market CapUS$8.97b
Earnings (TTM)US$390.90m
Revenue (TTM)US$4.93b

23.0x

P/E Ratio

1.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
JNPR income statement (TTM)
RevenueUS$4.93b
Cost of RevenueUS$2.14b
Gross ProfitUS$2.79b
Other ExpensesUS$2.40b
EarningsUS$390.90m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.21
Gross Margin56.55%
Net Profit Margin7.93%
Debt/Equity Ratio39.7%

How did JNPR perform over the long term?

See historical performance and comparison

Dividends

3.0%

Current Dividend Yield

68%

Payout Ratio

Does JNPR pay a reliable dividends?

See JNPR dividend history and benchmarks
When do you need to buy JNPR by to receive an upcoming dividend?
Juniper Networks dividend dates
Ex Dividend DateAug 31 2022
Dividend Pay DateSep 22 2022
Days until Ex dividend21 days
Days until Dividend pay date43 days

Does JNPR pay a reliable dividends?

See JNPR dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is JNPR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for JNPR?

Other financial metrics that can be useful for relative valuation.

JNPR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2x
Enterprise Value/EBITDA14.2x
PEG Ratio2.3x

Price to Earnings Ratio vs Peers

How does JNPR's PE Ratio compare to its peers?

JNPR PE Ratio vs Peers
The above table shows the PE ratio for JNPR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average30.8x
CIEN Ciena
18.2x20.6%US$7.7b
FFIV F5
29x23.3%US$10.0b
LITE Lumentum Holdings
33.1x29.3%US$6.2b
UI Ubiquiti
42.7x8.2%US$18.8b
JNPR Juniper Networks
23x9.8%US$9.0b

Price-To-Earnings vs Peers: JNPR is good value based on its Price-To-Earnings Ratio (23x) compared to the peer average (30.8x).


Price to Earnings Ratio vs Industry

How does JNPR's PE Ratio compare vs other companies in the US Communications Industry?

Price-To-Earnings vs Industry: JNPR is expensive based on its Price-To-Earnings Ratio (23x) compared to the US Communications industry average (22.5x)


Price to Earnings Ratio vs Fair Ratio

What is JNPR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

JNPR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio23x
Fair PE Ratio19.8x

Price-To-Earnings vs Fair Ratio: JNPR is expensive based on its Price-To-Earnings Ratio (23x) compared to the estimated Fair Price-To-Earnings Ratio (19.8x).


Share Price vs Fair Value

What is the Fair Price of JNPR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: JNPR ($27.82) is trading below our estimate of fair value ($54.34)

Significantly Below Fair Value: JNPR is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Future Growth

How is Juniper Networks forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


9.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JNPR's forecast earnings growth (9.8% per year) is above the savings rate (1.9%).

Earnings vs Market: JNPR's earnings (9.8% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: JNPR's earnings are forecast to grow, but not significantly.

Revenue vs Market: JNPR's revenue (4.7% per year) is forecast to grow slower than the US market (7.9% per year).

High Growth Revenue: JNPR's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JNPR's Return on Equity is forecast to be low in 3 years time (15.7%).


Discover growth companies

Past Performance

How has Juniper Networks performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-12.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: JNPR has high quality earnings.

Growing Profit Margin: JNPR's current net profit margins (7.9%) are higher than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: JNPR's earnings have declined by 12.1% per year over the past 5 years.

Accelerating Growth: JNPR's earnings growth over the past year (88.7%) exceeds its 5-year average (-12.1% per year).

Earnings vs Industry: JNPR earnings growth over the past year (88.7%) exceeded the Communications industry 42.1%.


Return on Equity

High ROE: JNPR's Return on Equity (9.2%) is considered low.


Discover strong past performing companies

Financial Health

How is Juniper Networks's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: JNPR's short term assets ($3.1B) exceed its short term liabilities ($1.9B).

Long Term Liabilities: JNPR's short term assets ($3.1B) exceed its long term liabilities ($2.7B).


Debt to Equity History and Analysis

Debt Level: JNPR's net debt to equity ratio (15.8%) is considered satisfactory.

Reducing Debt: JNPR's debt to equity ratio has reduced from 42% to 39.7% over the past 5 years.

Debt Coverage: JNPR's debt is not well covered by operating cash flow (10.6%).

Interest Coverage: JNPR's interest payments on its debt are well covered by EBIT (12.4x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is Juniper Networks's current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


3.02%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 10 2022Ex Dividend DateAug 31 2022Dividend Pay DateSep 22 202222 days from Ex DividendBuy in the next 21 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: JNPR's dividend (3.02%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: JNPR's dividend (3.02%) is low compared to the top 25% of dividend payers in the US market (4.08%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, JNPR has been paying a dividend for less than 10 years.

Growing Dividend: JNPR's dividend payments have increased, but the company has only paid a dividend for 8 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (67.6%), JNPR's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (384.4%), JNPR's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.9yrs

Average management tenure


CEO

Rami Rahim (51 yo)

7.75yrs

Tenure

US$11,870,290

Compensation

Mr. Rami Rahim has been the Chief Executive Officer of Juniper Networks, Inc. since November 2014. Mr. Rahim served as an Executive Vice President and General Manager of Platform Systems Division at Junipe...


CEO Compensation Analysis

Compensation vs Market: Rami's total compensation ($USD11.87M) is above average for companies of similar size in the US market ($USD8.25M).

Compensation vs Earnings: Rami's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: JNPR's management team is considered experienced (2.9 years average tenure).


Board Members

Experienced Board: JNPR's board of directors are considered experienced (7.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Juniper Networks, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Juniper Networks, Inc.
  • Ticker: JNPR
  • Exchange: NYSE
  • Founded: 1996
  • Industry: Communications Equipment
  • Sector: Tech
  • Implied Market Cap: US$8.975b
  • Shares outstanding: 322.61m
  • Website: https://www.juniper.net

Number of Employees


Location

  • Juniper Networks, Inc.
  • 1133 Innovation Way
  • Sunnyvale
  • California
  • 94089
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/09 00:00
End of Day Share Price2022/08/09 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.