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JN0-661 - Service Provider Routing and Switching, Professional (JNCIP-SP) - BrainDump Information

Vendor Name : Juniper
Exam Code : JN0-661
Exam Name : Service Provider Routing and Switching, Professional (JNCIP-SP)
Questions and Answers : 132 Q & A
Updated On : June 22, 2018
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Juniper Service Provider Routing

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Nokia denies studies it is buying Juniper Networks | killexams.com real questions with brain dumps

Nokia is refuting a CNBC report that the company is going to buy Juniper Networks, one among its closest opponents, for $16 billion.

The company stated that while it doesn't customarily touch upon market rumors, it needed to reply as a result of the specificity of press reviews.

"Nokia is not presently in talks with, neither is it preparing a suggestion for, Juniper Networks concerning an acquisition of that business,” Nokia referred to in a prepared remark.

connected: Juniper’s Rahim: Telecom is still a challenging market environment

Citing unnamed sources, the CNBC record revealed that the present would value Juniper above its market capitalization of about $eleven.12 billion on the close of Wednesday buying and selling.

Juniper would now not give a comment to CNBC, citing a policy in opposition t addressing "market hypothesis or rumors."

Wall road favored the rumors of a potential tie-up with Nokia, sending up Juniper’s shares 19% in after-hours trading on the big apple inventory exchange.

Following its $16 billion deal for the previous Alcatel-Lucent—one which reestablished Nokia in the wireline community with complementary remaining mile, optical and switching and routing—an acquisition of Juniper would make Nokia a fair larger chance to Cisco in the part and core routing area.

combating Cisco for enhanced dominance of the routing market is a tall order. in response to Synergy research’s third-quarter document, the San Jose-based mostly routing supplier done a 51% share of the whole market as of third-quarter 2017. Cisco’s shares latitude from sixty three% for commercial enterprise routers to 38% for carrier company routers.

on the equal time, Cisco could have develop into a fair higher business had the partnership with Ericsson it dependent in 2015 turned right into a merger or acquisition. despite the fact, no such deal has taken vicinity.

Being got by means of Nokia comes at a time when Juniper has been seeing its own share of struggles, chiefly regarding slower provider provider customer spending. Juniper pronounced in its third-quarter salary call that carrier company customers prolong spending as they begin moving their networks towards a software-based mostly architecture.

These delays triggered Juniper to lessen its fourth-quarter counsel. despite the fact, the supplier spoke of it remains assured that it may get a piece of new alternatives regarding 5G wireless and SD-WAN.

Nokia's Rumored present for Juniper Is wealthy | killexams.com real questions with brain dumps

Juniper Networks for approximately $16 billion, a hefty 43% premium to its $11.2 billion market capitalization at today’s close. This valuation implies a stock price of approximately $42 per share, levels last seen by Juniper shareholders in February 2011. On the surface, we find it difficult to justify such a transaction for Nokia given significant product overlap in its service provider switching and routing segment. Vice versa, we think a bid of $42 per share would be a good deal for Juniper shareholders if the deal were to come to fruition. We will maintain our $26 fair value estimate for Juniper shares and $5.50 per Nokia U.S. ADR until a definitive deal is reached, if at all." data-reactid="11">CNBC stated late on Nov. 29 that Nokia (NOK) is in talks to purchase Juniper Networks for approximately $16 billion, a hefty 43% top class to its $eleven.2 billion market capitalization at these days’s close. This valuation implies a stock expense of approximately $forty two per share, degrees closing viewed by means of Juniper shareholders in February 2011. On the floor, we find it problematic to justify such a transaction for Nokia given tremendous product overlap in its provider company switching and routing section. Vice versa, we think a bid of $42 per share would be a great deal for Juniper shareholders if the deal had been to come to fruition. we are able to retain our $26 fair cost estimate for Juniper shares and $5.50 per Nokia U.S. ADR unless a definitive deal is reached, if in any respect.

Juniper's enterprise switching and routing portfolio, although Alcatel-Lucent (which Nokia acquired in 2016) spun-off its enterprise business in 2014 to China Huaxin. In software, both firms also have competing SDN/NFV products. Potentially, we see some merit in terms of market consolidation, especially in the carrier space. However, we find it hard to justify the premium, given significant product overlaps. Meanwhile, Nokia is still in the midst of the challenging integration of Alcatel-Lucent acquisition, while its core telecom market is in a cyclical decline." data-reactid="12">Strategically, Nokia seems to be concentrated on Juniper's enterprise switching and routing portfolio, besides the fact that children Alcatel-Lucent (which Nokia bought in 2016) spun-off its enterprise enterprise in 2014 to China Huaxin. In software, each enterprises also have competing SDN/NFV products. probably, we see some advantage in terms of market consolidation, primarily within the service area. youngsters, we discover it complicated to justify the top rate, given colossal product overlaps. in the meantime, Nokia continues to be in the midst of the challenging integration of Alcatel-Lucent acquisition, whereas its core telecom market is in a cyclical decline.

Morningstar premium participants benefit unique entry to our full analyst stories, including fair value estimates, bull and bear breakdowns, and chance analyses. now not a premium Member? Get this and different experiences automatically should you try Morningstar premium free for 14 days.

four recommendations on Nokia's stated $sixteen Billion Bid for Juniper | killexams.com real questions with brain dumps

replace: Nokia has responded to CNBC's record with the aid of declaring or not it's now not in buyout talks with Juniper. Juniper gave again most of its after-hours beneficial properties following the remarks.

Following the Nov. 29 shut, CNBC mentioned anything that some have speculated for years would eventually ensue: European telecom infrastructure enormous Nokia Oyj (NOK) is in talks with router, change and protection hardware dealer Juniper Networks Inc. (JNPR) .

Sources state Nokia is providing about $16 billion for Juniper, which means a forty%-plus top class to Juniper's shut on the 29th. The cost is roughly equal to 19 times Juniper's consensus 2018 EPS estimate of $2.15 a share.

As of the time of this article, Juniper shares -- latitude-bound on the grounds that 2014 -- are up 21.5% in after-hours buying and selling to $35.90. Nokia is up a couple of pennies to $5.05. With Juniper having risen 5% on heavy volume forward of CNBC's file, it seems like some parties knew about deal talks in increase.

listed here are some initial techniques on the report:

1. Nokia's core markets are weak, and Juniper would support it diversify.

Nokia, which ultimate 12 months closed its $17 billion merger with French telecom gadget tremendous Alcatel-Lucent, is coming off a third quarter in which its core Nokia Networks unit noticed profits drop 9% yearly amid vulnerable U.S. and chinese mobile infrastructure demand. Nokia has also guided for Networks' "basic addressable market" to decline via 4% to 5% in 2017 in steady forex (CC), and by 2% to five% in CC in 2018.

4G network buildouts are usually comprehensive, and cellular carriers seeing little or no income growth are feeling force to preserve their capital spending down. Wireline carriers, meanwhile, are compelled by declining voice salary streams and (in some areas) intense broadband competition. And for the spending that continues to be, Nokia and rival LM Ericsson  (ERIC) frequently face stiff competitors from China's Huawei and ZTE, which have a addiction of bidding aggressively for gigantic deals.

Juniper is rarely precisely proof against these challenges: The enterprise still receives almost half its earnings from telecom and cable service providers (SPs), and counts Huawei as a rival in its mainstay carrier issuer router company. however due to growing revenue to cloud giants purchasing Juniper's core routers and resourceful QFX-sequence Ethernet switches, along with moderate business income boom, Juniper's sales are expected to rise a little bit in 2017 and 2018.

The concept of acquiring huge and starting to be non-telco corporations has to attraction to Nokia. particularly on the cloud side of things, given the pace at which the likes of Alphabet's Google (GOOGL) , fb (FB) and Amazon (AMZN) have been upping their capital spending. moreover, for telco cloud infrastructures, Nokia could create solutions pairing its current cloud choices with Juniper's.

2. Cisco and Ericsson are in the crosshairs.

In late 2015, Cisco methods Inc. (CSCO) and Ericsson fashioned an alliance promising to convey joint solutions encompassing (amongst other issues) Ericsson's cell infrastructure and repair offerings and Cisco's switches and routers. however things have not fairly long gone as deliberate: notwithstanding the partnership has yielded some big joint offers, each and every business's SP income stay beneath drive, and Ericsson recently disclosed the tie-up may not hit its normal intention of producing as a minimum $1 billion in annual profits for each and every firm via 2018.

via including Juniper's telecom router, change and software offerings to its portfolio, Nokia doubtless sees an opportunity to take share from Ericsson and Cisco as 5G rollouts start in earnest in 2-to-3 years. as it is, Juniper (#2 in carrier routers) has been taking SP router share from Cisco (#1), and has been one in all a number of corporations pressuring Cisco in switching.

A Nokia-Juniper deal might gasoline speculation that Cisco and Ericsson could also tie the knot. however Cisco, both by way of M&A and organic investments, has been attempting complicated to lessen its hardware dependence considering that Chuck Robbins grew to become CEO in 2015

3. There is a few product overlap so one can must be addressed.

Nokia competes in opposition t Juniper in the core and edge carrier company router markets, and to an extent in the optical networking space. there may be additionally some overlap in the organizations' telecom application offerings, together with ones targeting increase areas equivalent to application-described networking (SDN) and network functions virtualization (NFV).

Assuming a deal happens, look for some of these product strains to be shuttered or divested. regarding routers, one has to expect Nokia's items are definitely to head, given Juniper's suitable-2 place inside SP routing.

four. depending on deal phrases, Nokia's debt ratings could be impacted.

Nokia has been seeing declining sales, sports a $29 billion market cap and had just 2.7 billion euros ($three.2 billion) in web cash and liquid belongings on the end of the third quarter. consequently a $16 billion acquisition (most likely $14.8 billion with the exception of Juniper's net money) that's utterly or mostly paid for by means of cash is probably going to affect the business's debt scores, that are currently just under investment-grade.

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Killexams JN0-661 Real Questions Sample

JN0-661 Certification Brain Dumps Source : Service Provider Routing and Switching, Professional (JNCIP-SP)

Test Code : JN0-661
Test Name : Service Provider Routing and Switching, Professional (JNCIP-SP)
Vendor Name : Juniper
Q&A : 132 Real Test Questions/Answers

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