SAN FRANCISCO (TheStreet) -- Cisco Systems (CSCO - Get Report) got a boost Friday, following a favorable research report on the traction it's gaining with its customers for its cloud computing. Twitter (TWTR - Get Report) also rose, despite a decline in the broader markets, as investors jumped on media reports that the company is preparing to release a new video offering. Cloud company E2open (EOPN) and semiconductor company SunEdison Semiconductor (SEMI) weren't so lucky, with post posting substantial losses.


Cisco rose 1% to close the day at $27.79.  The tech-heavy Nasdaq, meanwhile, fell 0.68% to 4,704.07 and the Dow dropped 0.95% to 17,737.37.

The networking giant apparently got a boost from a favorable research report from USB Investment Bank. In the research note, analyst Amitabh Passi pointed to traction Cisco is gaining with customers for its cloud business, according to a Silicon Valley Business Journal report.

Passi is quoted as saying:

We believe an accelerated shift to the cloud is a positive for Cisco, potentially at the expense of Arris (ARRS) .

... An accelerating pace of migration to the cloud positions Cisco to recover some of the market share it has ceded the past two years, potentially at Arris' expense.

Telecommunications equipment maker Arris is also building up its TV hardware business, an area that Cisco has played in over the past decade with its cable TV set-top boxes.

Earlier this week, Cisco announced at the Consumer Electronics Show in Las Vegas that it would supply Charter Communications' (CHTR - Get Report)  "Worldbox" initiative with its set-top boxes and its cloud security suite.


Twitter jumped 2.8% to end the day at $40.17.

The social media giant is preparing to trot out a new video offering next month, according to a report in Re/code.

For Twitter, video may improve its efforts to keep users engaged with its service for longer periods of time. Most Internet sites want users to linger on their Web pages for as long as possible, in part because it shows how engaged users are with the content and that, in turn, helps these sites sell advertising.

Under its rumored video product play, Twitter is looking to offer a video app that would allow users to post up to a 20-second video. That would more than triple the time that is currently allowed on its Vine video service, which gives users a full 6 seconds per video clip to post.


E2open plummeted 35.9% to $5.65 at the close.

The on-demand cloud company took a hit after issuing a weaker than expected fourth quarter forecast. The company did not list a reason for the weaker than expected performance its in its third-quarter earnings announcement.

For the quarter, E2open now expects to report a non-GAAP net loss of 22 cents to 20 cents a share on revenue of between $19.2 million to $19.7 million. Wall Street had been expecting a net loss of 16 cents a share on revenue of $22.9 million for the period.


SunEdison Semiconductor fell 10.5% to end the day at $16.85.

The semiconductor company took a hit after it announced after the markets close Thursday that it would hold a public offering by its selling shareholders. The move comes more than six months after the company launched its IPO.

Generally, insiders are able to sell shares in a company once six months have passed from the time that a company holds its IPO. As in the case of SunEdison and most companies that experience this post IPO, the move usually puts pressure on the stock as investors are worried about a flood of shares hitting the open market and diluting their holdings. 

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.