The networking industry has been a raging bull on Wall Street, but several of the bellwether companies have reported disappointing earnings of late. Bay Networks said last week that it would miss its earnings for the quarter; Cabletron yesterday posted a $6.3 million quarterly loss; and 3Com today posted quarterly results that were below the Street's expectations.
In addition, two firms recently have been laying off some employees. Can the stocks weather the storm?
3Com earnings disappoint
The company posts net profits down from for the same quarter a year ago but says inventory problems are under control.
Cabletron lays off 180 employees
Cabletron Systems lays off 180 full-time employees at its New Hampshire and Ohio manufacturing plants.
Cabletron posts $6.3 million loss
The networking firm posts a net loss of $6.3 million, about what analysts had expected, after
issuing a surprise warning earlier this month.
Bay to miss numbers for quarter
The networking company says its third-quarter revenues and profits will fall short, citing weaker than anticipated demand.
Post-merger 3Com to lay off 800
The networking company will lay off about 800 workers over the next year as a result of its merger with US Robotics.
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