Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades and downgrades, please see our analyst ratings page. Considering buying CSCO stock? Here’s what analysts think:Read More: ...

Cisco Systems TodayCSCOCisco Systems$48.53 +3.09 (+6.80%) 52-Week Range$44.50▼$58.19Dividend Yield3.30%P/E Ratio16.34Price Target$56.50Add to WatchlistCisco Systems NASDAQ: CSCO Q4 results and guidance prove that its AI play was smart. Once a networking giant and now a networking and AI-powered data management platform, the company outperformed its guidance and analysts estimates, raised guidance, and the guidance is likely cautious. The takeaway is that weakness in the legacy business is offset by strength ...

Sundry Photography I presented a ‘Sell’ thesis for Cisco (NASDAQ:CSCO) in my previous article published in March 2024, highlighting their internal issue of inventory destocking and sluggish demands from Telco/Cable markets. The company released its Q4 result on August 14th , showing a 10.3% decline in total revenue. The stock price has underperformed the S&P 500 since my last article. The company announced a second round of job cuts this year and a shift in focus towards growth areas such as AI and cybe ...

Cisco Systems, Inc CSCO stock gained in Wednesday after-hours trading after the company reported upbeat fourth-quarter earnings. The stock price maintained the upward trajectory on Thursday.The results came amid an exciting earnings season. Here are some key analyst takeaways.Cisco reported fiscal fourth-quarter revenue of $13.64 billion, exceeding the analyst consensus estimate of $13.537 billion. The company reported adjusted EPS of $0.87, topping analyst consensus estimates of $0.85.Needham analyst Alex ...

gremlin/E+ via Getty Images Shares of Cisco Systems, Inc. (NASDAQ:CSCO) have quite a storied history, but in trading and investing, it does not matter where a company or stock has been, it matters where it is going. For many quarters, performance at Cisco has been one of very slow progress. The stock in turn has reflected the slow progress and really has been a zombie, slowly moving sideways to down for many, many months. Although shares are popping today, they are barely back to the $50 mark. Data by YChar ...

Cisco CEO Chuck Robbins participates in a Bloomberg Television interview at the World Economic Forum in Davos, Switzerland, on Jan. 18, 2023.Cisco shares jumped about 8% on Thursday and headed for their best day since March 2020, after the computer networking company said it's cutting 7% of its workforce and reported quarterly results that beat analyst estimates.Morgan Stanley analysts said in a note to investors that Cisco's results were better than feared."Cisco's FQ4 beat, and better than expected order ...

Core Viewpoint - Cisco Systems reported a decline in both earnings and revenues for the fourth quarter of fiscal 2024, with a notable drop in product revenues, while security revenues showed significant growth [1][2]. Financial Performance - Non-GAAP earnings for Q4 fiscal 2024 were 87 cents per share, exceeding the Zacks Consensus Estimate by 2.35%, but down 23.7% year over year [1]. - Total revenues decreased 10.3% year over year to $13.64 billion, slightly beating the consensus mark by 0.9% [1]. - Product revenues, which account for 72.3% of total revenues, fell 15.4% year over year to $9.86 billion [1]. - Networking revenues dropped 28% year over year to $6.80 billion, while security revenues rose 81% to $1.79 billion [1]. - Service revenues increased 6.5% year over year to $3.78 billion, representing 27.7% of total revenues [1]. Regional Performance - Revenues in the Americas decreased 11% year over year to $8.07 billion, missing the consensus mark by 0.7% [2]. - EMEA revenues declined 11% year over year to $3.51 billion but exceeded the consensus mark by 5.08% [2]. - APJC revenues fell 6% year over year to $2.06 billion, missing the consensus mark by 1.79% [2]. Margins and Expenses - Non-GAAP gross margin expanded by 200 basis points year over year to 67.9% [2]. - Non-GAAP operating margin contracted 280 basis points year over year to 32.5% [3]. - Non-GAAP operating expenses were $4.83 billion, up 3.9% year over year, with operating expenses as a percentage of revenues increasing 480 basis points to 35.4% [2][3]. Balance Sheet and Cash Flow - As of July 27, 2024, cash and cash equivalents totaled $17.9 billion, down from $18.8 billion as of April 27, 2024 [3]. - Total debt decreased to $30.96 billion from $32 billion as of April 27, 2024 [3]. - Cash flow from operating activities was $3.7 billion, lower than the previous quarter's $4 billion [3]. - Remaining performance obligations (RPO) increased 18% to $41 billion, with 51% expected to be recognized as revenue in the next 12 months [3]. Guidance - For Q1 fiscal 2025, revenues are projected between $13.65 billion and $13.85 billion, indicating a 7.5% year-over-year decline [4]. - Non-GAAP earnings are anticipated to be between 86 cents and 88 cents per share, suggesting a 24.3% year-over-year decline [4]. - For fiscal 2025, revenues are expected to range between $55 billion and $56.2 billion, with non-GAAP earnings anticipated between $3.52 and $3.58 per share [4]. Stock Performance - Cisco currently holds a Zacks Rank 2 (Buy) [5]. - CSCO shares have declined 10.1% year to date, contrasting with the Zacks Computer & Technology sector's growth of 18% [5].

This article has been reviewed according to Science X's editorial process and policies . Editors have highlighted the following attributes while ensuring the content's credibility: The Cisco logo appears on a screen at the Nasdaq MarketSite on Oct. 3, 2018 in New York's Times Square. Credit: AP Photo/Richard Drew, File Cisco Systems is planning to lay off 7% of its employees, its second round of job cuts this year, as the company shifts its focus to more rapidly growing areas in technology, such as artific ...

Key TakeawaysShares in Cisco Systems jumped ahead of Thursday’s opening bell after the technology and networking company released earnings that topped Wall Street’s estimates and announced that it’s cutting 7% of its global workforce.The share price broke below the neckline of a head and shoulders pattern earlier this month, but lackluster trading volumes indicate a lack of conviction behind the move.Cisco shares could run into overhead resistance at key chart levels including $48.50, $50, $52.50, and $58. ...

Financial Data and Key Metrics Changes - Cisco reported Q4 revenue of $13.6 billion, exceeding the high end of guidance, and total revenue for fiscal year 2024 was $53.8 billion, down from $57 billion in fiscal 2023 [7][24] - Non-GAAP net income for Q4 was $3.5 billion, with non-GAAP earnings per share at $0.87, also above guidance [19][10] - The gross margin for Q4 was 67.9%, the highest in 20 years, reflecting a 200 basis point increase year-over-year [22][25] Business Line Data and Key Metrics Changes - Total product revenue was $9.9 billion, down 15% year-over-year, while services revenue increased by 6% to $3.8 billion [20] - Security revenue surged by 81% due to the acquisition of Splunk, with a 6% growth excluding Splunk [20] - Collaboration revenue remained flat, while observability revenue grew by 41%, with a 12% increase excluding Splunk [20][21] Market Data and Key Metrics Changes - Product orders increased by 14% year-over-year, with a 6% increase excluding Splunk, indicating a recovery from inventory digestion [22] - Public sector orders rose by 20%, enterprise orders increased by 13%, and service provider cloud orders grew by 5% [22] - Geographic product order growth was 15% in the Americas, 12% in EMEA, and 16% in APJC [22] Company Strategy and Development Direction - Cisco is focusing on integrating its networking, security, and collaboration teams to enhance product offerings and customer solutions [8] - The company is investing in AI, cloud, and cybersecurity as key growth areas, with a restructuring plan to improve efficiency and resource allocation [9][26] - The integration of Splunk is expected to enhance Cisco's capabilities in security and observability, driving further innovation [8][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate a dynamic environment, emphasizing the importance of execution in growth markets [18] - The restructuring plan is aimed at reallocating resources to high-growth areas rather than merely cutting costs [26] - Management noted that customers are increasingly preparing their infrastructure for AI applications, indicating a shift in investment priorities [30] Other Important Information - Cisco returned $3.6 billion to shareholders in Q4, totaling $12.1 billion for fiscal 2024, representing 119% of free cash flow [11][25] - The company expects fiscal Q1 revenue to be between $13.65 billion and $13.85 billion, with a non-GAAP earnings per share guidance of $0.86 to $0.88 [26] Q&A Session Summary Question: Customer budget prioritization and AI initiatives - Management noted balanced demand across regions and sectors, with enterprise customers upgrading infrastructure in preparation for AI [29][30] Question: Impact of layoffs on fiscal '25 guidance - Management confirmed that the restructuring is embedded in the fiscal '25 guidance, focusing on reallocating resources rather than cost savings [34][35] Question: Concerns about restructuring amid growth - Management clarified that the restructuring is about ensuring agility in a rapidly changing market, not a response to declining demand [39] Question: Security performance and market dynamics - Management reported strong growth in security, with increasing customer adoption of new security solutions [41][42] Question: AI orders and revenue translation - Management indicated that AI orders are primarily from web scale customers, with enterprise adoption expected to grow [44][46] Question: Integration of networking, security, and collaboration - Management emphasized the need for cross-integration to enhance competitive differentiation and meet customer needs [50][51] Question: Cloud order growth and performance - Management acknowledged mixed results in cloud orders but expressed optimism about future growth as the market stabilizes [68][70]