NEW YORK, NEW YORK - MAY 21: Chuck Robbins, Chair and CEO, Cisco speaks onstage during The Wall ... [+] Street Journal's Future of Everything Festival at Spring Studios on May 21, 2024 in New York City. (Photo by Dia Dipasupil/Getty Images)Getty ImagesCisco stock currently trades at $48.50 per share, roughly 17% below its pre-inflation shock high of $58.70 seen on December 29, 2021. Cisco’s product sales have witnessed a slowdown as customers focused on utilizing the inventory purchased post the Covid-19 pa ...

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 ...

Core Insights - Cisco shares surged approximately 8% following the announcement of a 7% workforce reduction and quarterly results that exceeded analyst expectations [1][2] - The company reported $13.64 billion in revenue for the quarter, surpassing Wall Street's forecast of $13.54 billion, although this represented a 10% decline year-over-year [1][2] - Net income fell 45% compared to the previous year, yet still exceeded profit expectations [1] Financial Performance - Cisco's revenue decline marks the third consecutive quarter of sales decreases [1] - Networking sales dropped 28.1% year-over-year, attributed to challenging comparisons, but there was a notable recovery in order numbers [2] - Data center switching orders increased by double digits year-over-year, while campus switching and routing orders rose in the high single digits [2] Restructuring and Workforce Changes - The company is implementing a restructuring plan that will incur $1 billion in pretax charges, aimed at investing in growth opportunities and enhancing operational efficiency [3] - This marks the second significant round of layoffs in 2023, following a previous reduction of 5% of the workforce, equating to over 4,000 jobs [3] - Cisco had 84,900 employees at the end of fiscal 2023 prior to the layoffs [3] Strategic Focus - Orders related to artificial intelligence surpassed $1 billion, with revenue expected to ramp up in the first half of 2025 [2] - The CEO indicated that the company aims to utilize AI to improve efficiency in general and administrative tasks through automation [3]

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 ...

Group 1 - Cisco Systems' shares increased in premarket trading after the company reported earnings that exceeded Wall Street's expectations and announced a 7% reduction in its global workforce [1][2] - The company's shares have declined approximately 10% since the beginning of the year, but they rose by 6% to $48.17 shortly before the market opened [2] - Cisco plans to invest in key growth opportunities to diversify its revenue, as its core networking business has faced pressure due to enterprise customers transitioning to cloud computing [2] Group 2 - Cisco shares formed a head and shoulders pattern from April 2023 to January 2024, indicating a potential market top, and a bearish death cross occurred when the 50-day moving average fell below the 200-day moving average [3] - Despite breaking below the neckline of the head and shoulders pattern, trading volumes have been low, indicating a lack of conviction in the downward movement [3] - Following the earnings report, investors should watch for resistance levels at $48.50, $50, $52.50, and $58, where selling pressure may occur [4][5]