The stock market voted today, Cisco announced its new Valet consumer router and saw its stock dip -2%, while simultaneously, Cisco wireless competitor Meru Networks priced its IPO at $15 and watched its stock soar +27% to $19 per share.
So what the heck happened?
Well, in my personal opinion, while investors view Cisco as chasing consumer rainbows and moonbeams, Meru Networks is taking care of enterprise business, for example:
It's also my personal opinion that Cisco CEO John Chambers knows he's chasing consumer rainbows and moonbeams, which probably explains why he's sold $97 million of his Cisco stock over the prior 2 months (for example, Chambers sold $45 million of his Cisco stock on March 5 and $52 million of his Cisco stock on February 8).
However, it's also my opinion that Meru Networks will financially have its work cut out for it:
