NEW YORK ( TheStreet) -- Cisco (CSCO) was one of a number of tech sector gainers in premarket trading Monday, climbing 0.67%% to reach $18.11, as investors digested the networking giant's latest acquisition.
Late on Sunday, Cisco announced a $1.2 billion deal to acquire privately held cloud networking specialist Meraki.
"The acquisition of Meraki enables Cisco to make simple, secure, cloud managed networks available to our global customer base of mid-sized businesses and enterprises," said Rob Soderbery, senior vice president of Cisco's Enterprise Networking Group, in a statement. "Meraki's solution was built from the ground up optimized for cloud, with tremendous scale, and is already in use by thousands of customers to manage hundreds of thousands of devices."
The acquisition, which follows Cisco's $125 million purchase of Cloupia announced last week, is expected to close in Cisco's fiscal second quarter.Cisco's shares gained 6.96% during last week's trading after the San Jose, Calif.-based company reported better-than-expected fiscal first-quarter results. Shares of HP (HPQ), which reports its fourth-quarter results after market close on Tuesday, gained 1.09% to reach $12.99 before market open on Monday, despite concerns about the PC environment following rival Dell's (DELL) third-quarter miss last week. Dell's top line felt the weight of falling desktop and mobility revenue, much to the chagrin of investors. Shares of the No. 2 PC maker ended Friday down 7.33%, but gained 1.14%% to reach $8.96 before market open on Monday. Apple (AAPL) was another winner in premarket trading, rising 1.3% to reach $534.55 on share volume of 109,619, while Facebook (FB) rose 1.27% to $23.86 on share volume of 74,164. Sirius XM (SIRI) RIM (RIMM) and Yahoo! (YHOO) shares rose 1.12%, 1.96% and $1.06%, respectively, reaching $2.72, $9.38 and $18.05. --Written by James Rogers in New York. Follow @jamesjrogers >To submit a news tip, send an email to: email@example.com.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV