NEW YORK (TheStreet) -- Cisco Systems (CSCO) shares are climbing in early market trading on Thursday, up 2.43% to $25.72, after the release of its first quarter earnings results after the closing bell yesterday.
The IP networking solutions provider reported a 1.3% increase in first quarter revenue over the previous year to $12.23 billion, ahead of analysts' $12.2 billion expectations for the period.
Sales of products, which make up 77% of the company's total revenue, saw an uptick of 0.4% over the previous year to $9.4 billion, while services, which contributed the remaining 23% of the company's revenue, rose 4.5% to $2.8 billion.
The company reported net earnings of 48 cents per diluted share, in line with analysts' guidance for the quarter.
TheStreet has coverage of the light guidance the company issued in its report here.
TheStreet Ratings team rates CISCO SYSTEMS INC as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate CISCO SYSTEMS INC (CSCO) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, increase in stock price during the past year, largely solid financial position with reasonable debt levels by most measures, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company has had sub par growth in net income."