Valued at a market cap of $348.6 billion, Cisco Systems, Inc. (CSCO) is a networking, security, and cloud-based communication technology company. This San Jose, California-based company provides the foundational infrastructure for the modern internet and enterprise connectivity.
This tech company has outperformed the broader market over the past 52 weeks. Shares of CSCO have rallied 52.8% over this time frame, while the broader S&P 500 Index ($SPX) has gained 29.8%. Moreover, on a YTD basis, the stock is up 12.8%, compared to SPX’s 4.8% rise.
Zooming in further, this networking giant has also outpaced the Technology Select Sector SPDR ETF's (XLK) 51.7% return over the past 52 weeks and 9.6% uptick on a YTD basis.
CSCO reported strong Q2 FY2026 results on Feb. 11, with revenue increasing 10% year over year to $15.3 billion and adjusted EPS rising 11% to $1.04, both exceeding expectations. The upbeat performance was driven by double-digit product growth and solid demand for AI-focused infrastructure, with AI-related orders reaching approximately $2.1 billion.
Although gross margins faced some pressure due to elevated memory costs, Cisco raised its full-year guidance and returned $3 billion to shareholders, highlighting strengthening growth momentum. Despite these positives, the stock declined 12.3% in the following trading session.
For the current fiscal year, ending in July, analysts expect CSCO’s EPS to grow 10.8% year over year to $3.40. The company’s earnings surprise history is promising. It exceeded the consensus estimates in each of the last four quarters.
Among the 26 analysts covering the stock, the consensus rating is a “Moderate Buy” which is based on 15 “Strong Buy,” one "Moderate Buy,” and 10 “Hold” ratings.
The configuration has remained fairly stable over the past three months.
On Apr. 17, Amit Daryanani from Evercore Inc. (EVR) maintained a “Buy” rating on Cisco Systems, with a price target of $100, the Street-high price target, indicating a 15.1% potential upside from the current levels.
The mean price target of $88.76 indicates a 2.2% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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