Skip to main content

Cisco Stock Higher, Analysts Mostly Bullish Following Quarterly Report

Cisco's price target was increased by analysts at Citi, Raymond James, Barclays and Credit Suisse.
  • Author:
  • Publish date:

Shares of Cisco Systems  (CSCO) - Get Free Report were higher on Thursday after the communications-technology giant's full-year guidance came in below estimates but analysts are mostly bullish on the stock. 

At last check shares of the San Jose, Calif., company were 1.4% higher at $55.91.

Raymond James analysts affirmed their outperform rating on Cisco while raising their price target to $57 a share from $55. Visibility is strong and supply-chain issues haven't hurt sales, the analysts said. 

"The stronger sales forecast should outweigh the profitability headwind considering the supply chain challenges," Raymond James said, according to Bloomberg.

Barclays maintained an overweight rating while raising its price target to $62 from $55. 

Orders "continued to inflect meaningfully," but supply chain issues could come into play in the second half of 2022, the investment firm wrote. 

Analysts at Credit Suisse rate Cisco neutral while raising its price target to $56 from $46. "Revenue growth visibility is extending," they said. But the company's soft guidance for gross margins and negative supply chain dynamics are weighing, giving the stock "limited upside opportunity," according to Bloomberg.

Citi analysts also kept a neutral rating while raising their price target to $55 from $50. Citi is a fan of the company's fourth-quarter results, "especially the 4Q product order growth," which represents "the strongest order book in over a decade."

But the investment firm also said that "many investors may be concerned with the lack of EPS leverage in the company's outlook."

Cisco reported non-GAAP earnings of 84 cents a share on revenue of $13.1 billion. Analysts were expecting the company to report fiscal fourth-quarter earnings of 83 cents a share on revenue of $13.04 billion.

Cisco expects first-quarter earnings of 79 cents to 81 cents a share, compared with FactSet's consensus analyst estimate of 81 cents a share.