UPDATE: Deutsche Bank Reiterates Hold Rating, Lowers PT on Juniper Networks Following Q3 Negative Pre-Announcement

In a report published Friday, Deutsche Bank analyst Brian Modoff reiterated a Hold rating on

, but lowered the price target from $24.00 to $19.00. In the report, Deutsche Bank noted, “JNPR negatively pre-announced their Q3 results – attributing to weak demand from their US carrier customers (we think mainly AT&T, and Verizon and the cablecos as well). JNPR now expects Q3 revs: $1.11 b to $1.12 b, vs prior guide: $1.15 b to $1.2 b. Q3 pro forma EPS is expected to be $0.34 to $0.36, vs prior $0.35 to $0.40. We are not entirely surprised by the weaker than anticipated demand trends for router upgrades; our research noting setup for a ‘long winter' in routing due to the telcos ‘architectural' transition to a Software and Cloud centric infrastructure. Maintain our Hold rating; lower PT from $24 to $19 on our lowered forward estimates.” Juniper Networks closed on Thursday at $20.94.