Cisco Systems Shares Gain 2% Following Q4 Results

Cisco Systems Inc. (NASDAQ:CSCO) is a leading technology company known for its networking hardware, software, and telecommunications equipment. It competes with other tech giants like Juniper Networks and Arista Networks. On August 14, 2025, Stephen Bersey from HSBC set a price target of $69 for Cisco. At that time, the stock was priced at $69.30, showing a slight difference of -0.43% from the target. HSBC downgraded Cisco from "Buy" to "Hold," as reported by TheFly.

This downgrade reflects a more cautious outlook on the stock. On the same day, Cisco's stock price dropped by 1.56%, driven by investor dissatisfaction with the company's quarterly earnings report. The report failed to meet some investors' expectations, leading to a sell-off. Currently, Cisco's stock is priced at $69.30, with a decrease of 1.38% or $0.97 today.

The stock's trading range for the day was between $67.48 and $70.61. Over the past year, Cisco's stock has seen a high of $72.55 and a low of $47.85, indicating some volatility in its performance. Cisco's market capitalization stands at approximately $274.43 billion, reflecting its significant presence in the tech industry. The trading volume for the day is 38,508,445 shares, indicating active investor interest. Despite the recent downgrade and stock price fluctuations, Cisco remains a key player in the technology sector.

Cisco Systems (NASDAQ:CSCO) reported fiscal fourth-quarter results on Wednesday that exceeded expectations, but its in-line guidance for fiscal 2026 failed to impress, sending shares down more than 2% in after-hours trading.

For the quarter ended July 26, the networking equipment maker posted adjusted earnings of $0.99 per share on revenue of $14.76 billion, topping analyst forecasts of $0.98 and $14.62 billion, respectively. Product revenue, which makes up the majority of total sales, rose 10% year-over-year, while services revenue remained unchanged.

For the first quarter of fiscal 2026, Cisco projected adjusted earnings between $0.97 and $0.99 per share on revenue of $14.65 billion to $14.85 billion, ahead of consensus estimates for $0.97 and $14.62 billion. Looking at the full fiscal year, the company guided for adjusted earnings of $4.00 to $4.06 per share and revenue of $59 billion to $60 billion, compared with analyst expectations of $4.03 and $59.55 billion.

• The consensus price target for Cisco Systems, Inc. (NASDAQ: CSCO) has increased from $65.12 a year ago to $74 last month, indicating analyst optimism.
• Cisco is expected to report an operating income of $4.97 billion, a 14% year-over-year growth, with strategic acquisitions like Splunk contributing to its future performance.
• Despite a conservative price target of $59 from Morgan Stanley, Cisco's AI segment shows potential for growth, exceeding expectations in fiscal Q3 2025.

Cisco Systems, Inc. (NASDAQ: CSCO) is a prominent player in the global technology sector, specializing in networking and communication solutions. The company offers a wide range of products, including switching, enterprise routing, and security solutions, serving a diverse clientele worldwide. Cisco's operations span across the Americas, Europe, the Middle East, Africa, and the Asia Pacific, making it a key player in the tech industry.

The consensus price target for Cisco has been on an upward trajectory, reflecting growing analyst confidence. A year ago, the average price target was $65.12, which increased to $71.5 last quarter and further to $74 last month. This positive trend suggests that analysts are optimistic about Cisco's future performance, as highlighted by the expected earnings of $0.98 per share on $14.6 billion in revenue.

Cisco's financial performance is under the spotlight as it approaches its all-time high stock price from April 2000. The company is projected to report an operating income of $4.97 billion, marking a year-over-year growth of 14%. This growth is supported by Cisco's strategic initiatives, including the acquisition of Splunk, which will be reflected in its fiscal Q4 2025 results.

Cisco's AI segment exceeded expectations in fiscal Q3 2025. This indicates potential for future growth in this area. However, Morgan Stanley analyst Meta Marshall has set a price target of $59 for Cisco, suggesting a more conservative outlook compared to the consensus.

Investors are keenly watching Cisco's upcoming fiscal fourth-quarter earnings report, scheduled for release after market hours on August 13. This report is expected to provide insights into Cisco's ability to generate a steady stream of passive income for investors. As the tech sector experiences a resurgence, Cisco's stock performance remains a focal point for analysts and investors alike.

Evercore ISI downgraded Cisco Systems (NASDAQ:CSCO) from “Outperform” to “In Line,” citing limited upside after a 46% rally over the past year and assigning a price target of $72.

Analysts noted that while Cisco benefited from a cyclical rebound in enterprise networking and growing interest in cloud and AI, the stock now trades near their target. Cisco's price-to-earnings multiple has expanded to approximately 18x, compared to a five-year average of 14x, supported in part by AI-related order disclosures.

However, Evercore expressed concern that Cisco has yet to provide AI revenue figures, limiting its ability to be fully recognized as an AI leader. They also pointed to challenging growth comparisons, underperformance in Security and Observability, and a maturing recovery in campus networking.

Additionally, the firm cited the recent CFO transition as a risk factor that could lead to more conservative fiscal 2026 guidance. Overall, Evercore views Cisco’s current valuation as reflecting most of the near-term upside.

Cisco Systems, Inc. (NASDAQ:CSCO) is a global leader in networking and IT solutions. The company provides a wide range of products and services, including networking hardware, software, and telecommunications equipment. Cisco is a key player in the technology sector, competing with other giants like Juniper Networks and Huawei.

On July 13, 2025, CICC initiated coverage on Cisco with a bullish outlook, assigning it an "Outperform" grade. At that time, the stock price was $67.95. This positive sentiment from CICC suggests confidence in Cisco's future performance, despite the stock's recent decrease of 1.18% or $0.81, as highlighted by TheFly.

Cisco is also recognized for its commitment to returning value to shareholders through dividends. On July 3, 2025, Cisco, along with American Express and Globe Life, traded ex-dividend. Cisco is set to pay a quarterly dividend of $0.41 on July 23, 2025. This positions Cisco as a "future dividend aristocrats contender," having increased its dividends for over 14 years.

Investors should note that Cisco's stock is expected to open approximately 0.59% lower on the ex-dividend date, assuming all other factors remain constant. This is a common occurrence as the stock price typically adjusts to reflect the dividend payout.

Cisco's market capitalization is approximately $269.08 billion, with a trading volume of 14,699,412 shares. The stock has traded between a low of $67.93 and a high of $68.50 today. Over the past year, it has reached a high of $69.78 and a low of $44.50, indicating some volatility in its price movements.

• Morgan Stanley has maintained a "Hold" rating for Cisco Systems (NASDAQ:CSCO), with the stock priced at approximately $63.30, amidst strategic acquisitions and partnerships.
• Cisco reported a 4% increase in EPS to $0.96 and a 1% revenue upside surprise, indicating strong financial health and potential for future dividend growth.
• The company's strategic partnerships and involvement in the "UAE Stargate" AI data center project highlight its commitment to innovation and long-term growth.

Cisco Systems (NASDAQ:CSCO) is a leading technology company known for its networking hardware, software, and telecommunications equipment. On May 21, 2025, Morgan Stanley maintained its "Hold" rating for Cisco, with the stock priced at approximately $63.30. This decision comes amidst various developments within the company, including strategic acquisitions and partnerships.

Cisco recently reported a 4% increase in earnings per share (EPS), achieving $0.96 compared to the estimated $0.92. This performance, alongside a 1% revenue upside surprise, highlights the company's strong financial health. The acquisition of Splunk is a significant move for Cisco, expected to expand its security division and drive future growth.

Cisco's strategic partnerships with companies like NVIDIA and HUMAIN are positioning it for success in AI, security, and quantum computing. These collaborations, along with robust stock buybacks and secure dividends, are enhancing shareholder returns. Cisco's strong balance sheet suggests potential for future dividend growth, making it an attractive option for investors.

The company's involvement in the "UAE Stargate" AI data center project, alongside Nvidia and OpenAI, underscores its commitment to innovation. This ambitious project, featuring a 5-gigawatt capacity, highlights Cisco's role in advancing AI infrastructure. Such initiatives are likely to bolster Cisco's market position and drive long-term growth.

Despite a current stock price of $63.12, slightly down by 0.47%, Cisco's estimated value ranges between $70 and $75, according to an internal model. This suggests that the stock is not significantly undervalued. However, Morningstar values Cisco in the mid-$50s, indicating differing perspectives on its fair value.

Cisco Systems, Inc. (NASDAQ:CSCO) is a leading player in the computer networking sector, known for its innovative networking hardware, software, and telecommunications equipment. The company competes with other industry players like Digi International (DGII).

Both Cisco and Digi are currently rated with a Zacks Rank of #2 (Buy), indicating a positive earnings outlook due to favorable analyst estimate revisions. On March 6, 2025, Piper Sandler updated its rating for Cisco to Neutral, maintaining a hold action. At that time, the stock price was $63.10.

Currently, the stock price is $63.05, reflecting a slight decrease of 1.42% or $0.91. The stock has traded between $62.91 and $64.02 today, with a market capitalization of approximately $250.83 billion. Despite the Neutral rating from Piper Sandler, Cisco's Zacks Rank of #2 (Buy) suggests a strong value opportunity.

This rank targets companies with positive earnings estimate revision trends, indicating confidence in Cisco's improving earnings outlook. Investors may find this encouraging, as it reflects a favorable analyst sentiment towards the company's future performance. Cisco's stock has experienced fluctuations over the past year, reaching a high of $66.50 and a low of $44.50. The current trading volume is 10,405,959 shares on the NASDAQ exchange. This level of activity indicates significant investor interest, which could be attributed to the company's strong market position and positive earnings outlook.