Cisco Systems (CSCO) Rises Higher Than Market: Key Facts

Cisco Systems (CSCO) closed the most recent trading day at $68.42, moving +1.03% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.41%. At the same time, the Dow added 0.18%, and the tech-heavy Nasdaq gained 0.31%. Coming into today, shares of the seller of routers, switches, software and services had lost 1.98% in the past month. In that same time, the Computer and Technology sector gained 7.63%, while the S&P 500 gained 3.15%. Investors will be eagerly watching for the performance of Cisco Systems in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.98, showcasing a 7.69% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $14.77 billion, indicating a 6.69% increase compared to the same quarter of the previous year. CSCO's full-year Zacks Consensus Estimates are calling for earnings of $4.04 per share and revenue of $59.58 billion. These results would represent year-over-year changes of +6.04% and +5.17%, respectively. Investors should also note any recent changes to analyst estimates for Cisco Systems. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.77% higher. Right now, Cisco Systems possesses a Zacks Rank of #3 (Hold). Valuation is also important, so investors should note that Cisco Systems has a Forward P/E ratio of 16.75 right now. This valuation marks a discount compared to its industry average Forward P/E of 17.45. It's also important to note that CSCO currently trades at a PEG ratio of 2.34. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Computer - Networking stocks are, on average, holding a PEG ratio of 1.11 based on yesterday's closing prices. The Computer - Networking industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 64, which puts it in the top 26% of all 250+ industries. The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. To follow CSCO in the coming trading sessions, be sure to utilize Zacks.com. 7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.5% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cisco Systems, Inc. (CSCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks