Jim Cramer Explains Why Cisco (CSCO) Stock Will Reach $35 Within Six Months
NEW YORK (TheStreet) -- TheStreet's Jim Cramer comments on Cisco's (CSCO) - Get Report second-quarter earnings report in which the networking giant posted a 7% revenue increase, its largest in three years.
Cramer has known CEO John Chambers for years, and Cramer says this quarter reminds him of the vintage Chambers from the mid-1990s, when he recognized that he had a sweet spot. If you wanted to introduce the Internet into your enterprise at that time, then you needed to call in Chambers and he set it up for you.
Cramer says this is happening now with the Internet of Things. If you want to get digitized, then you have to call in Cisco because they offer a security component.
Must Watch: Jim Cramer: Cisco Stock Will Go to $35 Within Next 6 Months
Cramer believes this is why the stock is coming back, in addition to strong numbers for routers and switches. He adds the best thing about Chambers is his level of confidence, as he is basically telling everyone the stock is climbing by buying back a lot of stock and increasing the dividend.
Therefore, Cramer sees the stock at $35 within the next six months.
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