Cisco (CSCO): New Buy Recommendation for This Technology Giant

Oppenheimer analyst Ittai Kidron maintained a Buy rating on Cisco (CSCOResearch Report) yesterday and set a price target of $52. The company’s shares closed yesterday at $47.50.

Kidron said:

“Cisco reported strong Jan.-quarter results while guiding Apr.-quarter revenues/EPS in line with consensus. Strength was broad-based geographically and across product lines, with robust enterprise, public sector and commercial order growth trends. Management commentary indicated Cisco remains relatively unaffected by the noisy macro/political atmosphere, and we believe it is benefiting from its position at the intersection of secular digitization trends, the importance of the network, and a product refresh cycle/software transition. These elements enable Cisco to execute when not all can. We see further upside as Cisco builds its multi-domain architecture coupled with an aggressive buyback and solid dividend yield. Raising estimates for guidance/ results; our PT goes to $52 (from $50). Maintain Outperform.”

According to TipRanks.com, Kidron is a top 25 analyst with an average return of 28.6% and a 69.9% success rate. Kidron covers the Technology sector, focusing on stocks such as Citrix Systems, New Relic Inc, and Cloudera Inc.

The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Cisco with a $52.85 average price target, implying an 11.3% upside from current levels. In a report issued on February 11, Raymond James also reiterated a Buy rating on the stock with a $52 price target.

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Cisco’s market cap is currently $214.6B and has a P/E ratio of 131.94. The company has a Price to Book ratio of 4.89.

Based on the recent corporate insider activity of 78 insiders, corporate insider sentiment is negative on the stock.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

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