U.S. Movers: Cisco Systems, Deere & Company, HubSpot, MGM Resorts

Scott Peters
13 Feb, 2025
New York City

Cisco Systems Inc. gained 6.5% to $66.62 after the networking company reported a 9% revenue increase in the second quarter of fiscal 2025 ending in January.

Revenue jumped to $14 billion from $12.8 billion, net income dropped 8% to $2.42 billion from $2.63 billion, and earnings per diluted share fell 6% to 61 cents from 65 cents a year ago.

The company proposed to pay a quarterly dividend of 41 cents per share on April 23 to stockholders on record as of April 3.

In addition, Cisco approved a $15 billion increase to the authorization of its stock repurchase program, with a total remaining amount of $17 billion.

During the second quarter, the company acquired Deeper Insights AI Ltd., a privately held AI services company.

Looking into the fiscal third quarter, Cisco estimated revenue between $13.9 billion and $14.1 billion, compared to $12.7 billion a year ago, and GAAP earnings per share between 57 cents and 61 cents, compared to 46 cents a year earlier.

For the full year 2025, the company guided revenue between $56.0 billion and $56.5 billion, compared to $53.8 billion a year ago, and GAAP earnings per share between $2.40 and $2.52, compared to $2.54 a year earlier.

Deere & Company dropped 4.7% to $454 after the agricultural machinery manufacturer reported lower-than-expected earnings in the first quarter of 2025 ending on January 26.

Revenue declined 30% to $8.51 billion from $12.18 billion, net income plunged 50% to $869 million from $1.75 billion, and earnings per diluted share dropped to $3.19 from $6.23 a year ago.

For fiscal 2025, the company estimated net income between $5.0 billion to $5.5 billion, compared to $7.1 billion a year ago.

HubSpot Inc. surged 5.7% to $830.57 after the software company reported a 20% sales increase in the fourth quarter ending in December.

Revenue increased to $703.17 million from $581.91 million, net income swung to a profit of $4.93 million from a loss of $12.41 million, and earnings per diluted share rose to 9 cents from a loss of 25 cents a year ago.

For the first quarter of 2025, the company estimated revenue between $697.0 million and $699.0 million, up 13% from the same period in 2024, and non-GAAP earnings per share between $1.74 and $1.76, compared to diluted $1.68 a year ago.

Non-GAAP operating income is expected to be between $98.0 million and $99.0 million, representing a 14% operating profit margin.

For fiscal year 2025, revenue is guided between $2.98 billion and $2.99 billion, up 14% year over year, and non-GAAP earnings per share between $9.11 and $9.19, compared to diluted $8.12 a year ago.

Non-GAAP operating income is expected to be between $543.0 million and $547.0 million, representing an 18% operating profit margin.

MGM Resorts International gained 9.2% to $37.53 after the hospitality, sports, and entertainment company said revenue declined in the fourth quarter ending in December, despite the company’s strong annual performance in China.

Consolidated revenue decreased 1% to $4.3 billion, net income dropped to $157 million from $313 million, and earnings per diluted share fell to 52 cents from 92 cents a year ago.

While revenue in the Las Vegas Strip resorts declined in 2024, MGM China performed better, with an adjusted EBITDA rising to $1.09 billion from $866.89 million a year earlier.

The company repurchased over 33 million shares in 2024, reducing shares outstanding by more than 40% since 2021.

During the fourth quarter, MGM repurchased approximately 3 million shares for $121 million, and the remaining availability under the November 2023 repurchase plan was $826 million as of December 31, 2024.