Core Viewpoint - Analysts are increasing their target prices for Cisco, Inc. (CSCO) based on management's guidance, with a recommendation for shorting out-of-the-money (OTM) put options as a potential strategy [1][6]. Group 1: Price Performance and Analyst Targets - CSCO closed at $68.21 on September 19, 2025, up from a recent low of $66.53 on September 12, but down from a peak of $71.79 on August 8 [1]. - Analysts have raised their price targets for CSCO, with a survey showing 26 analysts now targeting $76.10, up from $75.58 a month ago [5]. - Barchart's survey indicates a price target increase from $75.06 to $76.58, while AnaChart's survey shows a rise from $77.17 to $79.18, representing a +16% upside from the recent close [5]. Group 2: Financial Metrics and Forecasts - Cisco is expected to generate nearly $60 billion in sales for the year ending July 2026, with a free cash flow (FCF) margin of 27.38% last quarter [4]. - The average FCF is projected to reach 25.4% of forecast sales, leading to an estimated FCF of $15.15 billion [4]. - Using a 5.0% FCF yield metric, Cisco's market cap could potentially reach $303 billion, indicating a 12.37% increase from the current market cap of $269.648 billion [4]. Group 3: Investment Strategy - The slight increase in price targets suggests limited upside potential for CSCO stock, estimated between +12.4% and +16% [6]. - This scenario presents a favorable opportunity for short sellers of out-of-the-money (OTM) puts, particularly if CSCO maintains its current price level over the next month [7].

Group 1 - Cisco Systems, Inc. (NASDAQ:CSCO) is recognized as one of the 12 best dividend-paying stocks to buy now, highlighting its strong position in the market [1] - The company develops and markets a range of products including networking gear, security solutions, collaboration platforms, and observability tools, focusing on connectivity, network protection, and actionable data insights [2] - Cisco has enhanced its portfolio through significant acquisitions such as ThousandEyes, Acacia Communications, and Splunk, positioning itself to benefit from increasing infrastructure investments driven by the demand for AI applications [3] Group 2 - Cisco has a strong track record of rewarding shareholders, having increased its dividends for 18 consecutive years, with a current quarterly dividend of $0.41 per share and a dividend yield of 2.41% as of September 19 [4]

Group 1 - Cisco Systems, Inc. is a technology conglomerate specializing in networking, cloud management, collaboration, and security solutions [1] - CSCO stock has increased by more than 30% over the past 12 months, driven by strong performance in both top and bottom lines and significant demand for its products [1]

Group 1 - The focus is on growth and dividend income as a strategy for retirement planning [1] - The portfolio is structured to generate monthly dividend income that grows through reinvestment and annual increases [1] Group 2 - The article expresses personal opinions and is not intended as investment advice [2][3] - It emphasizes the importance of conducting individual research before making investment decisions [2]

Group 1 - Cisco Systems, Inc. (NASDAQ:CSCO) is perceived as lacking the growth potential seen in companies like Oracle, which may impact its future performance [1] - The company is held in a charitable trust for its steady yield and good management, despite not delivering significant growth [1] - Cisco provides a range of solutions including networking, security, collaboration, and cloud services, facilitating secure connectivity and digital transformation [2] Group 2 - There is a belief that certain AI stocks may offer greater upside potential compared to Cisco, indicating a competitive landscape in the tech sector [3]

Summary of Key Points Group 1: Stock Analysis - Apple: The latest iPhone 17 models are considered a bargain, especially with trade-in values and provider incentives [1] - Amazon: Potential for upside if margin expansion continues, particularly in e-commerce and cloud growth [1] - Abbott Laboratories: Valued at approximately 24 times earnings, seen as a high-quality med tech stock worth holding [1] - Broadcom: Recent profit-taking due to exceeding 5% portfolio weighting, but long-term outlook remains positive [1] - Boeing: Newly added to the portfolio, expected to benefit from trade policies and has significant multi-year upside potential [1] - BlackRock: Described as a "bull market stock," with a focus on fast-growing investments [1] - Bristol Myers Squibb: Awaiting results from upcoming studies on its schizophrenia drug, Cobenfy, which could improve sentiment [1] - Capital One: Anticipating share repurchases post-Discover acquisition, with strong management praised [1] - Costco: Long-term outlook remains positive despite recent struggles attributed to market perception [1] - Salesforce: Current levels are not recommended for buying or selling ahead of the Dreamforce conference [1] - CrowdStrike: Ambitious target of $20 billion in annual recurring revenue set, indicating strong management confidence [1] - Cisco Systems: Continued support despite underperformance, with a solid dividend [1] - DuPont: Progressing towards a planned breakup, with Qnity expected to unlock more value [1] - Danaher: Facing headwinds from China but announced a significant buyback [1] - Disney: Shares have stalled, but theme park business remains strong [1] - Dover: Future outlook remains bright despite recent disappointing earnings [1] - Eaton: Potential for increased business from data centers as AI spending rises [1] - GE Vernova: High valuation justified by demand for energy generation in AI infrastructure [1] - Goldman Sachs: Expected revenue growth in investment banking and attractive wealth management business [1] Group 2: Additional Stock Insights - Home Depot: Likely to trim position due to housing market turnaround not meeting expectations [2] - Honeywell International: Shares lagging until split is complete, but value remains [2] - Linde: Continues to deliver for shareholders despite challenging end markets [2] - Eli Lilly: Position maintained due to strong performance and potential game-changing products [2] - Meta Platforms: Dominance in advertising market bolstered by generative AI [2] - Microsoft: Attractive long-term investment, with potential for trimming positions [2] - Nvidia: Partnership with Intel solidifies its leadership in GPUs [2] - Palo Alto Networks: High valuation justified by leadership in cybersecurity [2] - Starbucks: Promising turnaround plan under new CEO [2] - TJX Companies: Strongest earnings performance seen, recognized as a top retail performer [2] - Texas Roadhouse: Stock performance tied to cattle futures, expected surge in share price [2] - Wells Fargo: Positive outlook with increased buybacks and diversification into fee-based businesses [2]

Core Insights - Okta (OKTA) focuses on identity and access management, while Cisco Systems (CSCO) emphasizes Threat Intelligence, Detection, and Response offerings [1] - Global end-user spending on information security is projected to reach $213.025 billion in 2025, growing from $193.408 billion in 2024, with a year-over-year growth of 12.5% expected in 2026 [2] Okta Overview - Okta's new offerings, such as Okta Identity Governance and Identity Threat Protection with Okta AI, are driving market share growth and top-line revenue [3] - The company has a strong partner ecosystem, including major players like Amazon Web Services and Microsoft, enhancing its market position [4] - Okta is developing an end-to-end secure identity fabric for non-human identities (NHIs), providing visibility and governance similar to human identities [5] - For fiscal 2026, Okta anticipates revenues between $2.875 billion and $2.885 billion, reflecting a growth rate of 10-11%, lower than the 15% growth reported in fiscal 2025 [6] Cisco Overview - Cisco's security business is experiencing strong demand, with mid-single-digit growth in orders for Cisco Secure Access and XDR in Q4 of fiscal 2025 [7] - AI Infrastructure orders from webscale customers exceeded $800 million in Q4 of fiscal 2025, contributing to total revenues of $2 billion, which is double the initial expectations [8] - Cisco's partnership with NVIDIA aims to create AI-ready data center networks, enhancing its product offerings and market competitiveness [9] - For fiscal 2026, Cisco expects revenues between $59 billion and $60 billion, indicating a growth of 5.2% over fiscal 2025 [10] Stock Performance and Valuation - Year-to-date, Cisco shares have appreciated by 14.3%, while Okta shares have returned 14.2% [11] - Both companies are currently considered overvalued, with Cisco trading at a forward Price/Sales ratio of 4.47X compared to Okta's 5.17X [14] - The Zacks Consensus Estimate for Cisco's fiscal 2026 earnings is $4.04 per share, reflecting a 6% increase, while Okta's estimate is $3.36 per share, indicating a 19.6% increase [18][19] Conclusion - Cisco's strong security portfolio and growing AI order backlog provide a competitive edge over Okta, which is gaining traction with its solutions and partner base [20]

Core Viewpoint - Cisco Systems, Inc. has been downgraded from a hold to a sell rating due to weak guidance despite a strong AI infrastructure business [1] Company Summary - The AI infrastructure business of Cisco is performing robustly, indicating potential in this segment [1] - However, the overall guidance provided by the company is weak, which raises concerns about future performance and valuation [1]

In 2000, Intel traded at 16X sales.In 2003, it traded at just 4X sales.In 2000, Cisco traded at 37X sales.In 2002, it traded at just 5X sales. ...

ARLINGTON, Va., Sept. 16, 2025 (GLOBE NEWSWIRE) --  Federated Wireless and Cisco have successfully validated and deployed Standard Power Wi-Fi 6E and Wi-Fi 7 in enterprise environments across the U.S. and Canada. Enabled by Federated Wireless’s Automated Frequency Coordination (AFC) service and Cisco’s advanced wireless infrastructure, these deployments demonstrate Wi-Fi 6E’s readiness for enterprise use and provide a blueprint for organizations preparing for Wi-Fi 7. Enterprises and venues have historicall ...