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Cisco Systems (CSCO) Stock Sinks As Market Gains: What You Should Know
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Cisco Systems (CSCO - Free Report) closed at $47.55 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's 0.75% gain on the day. At the same time, the Dow added 0.4%, and the tech-heavy Nasdaq gained 10.36%.
Prior to today's trading, shares of the seller of routers, switches, software and services had lost 1.34% over the past month. This has was narrower than the Computer and Technology sector's loss of 8.72% and the S&P 500's loss of 5.98% in that time.
Investors will be hoping for strength from Cisco Systems as it approaches its next earnings release. On that day, Cisco Systems is projected to report earnings of $0.86 per share, which would represent year-over-year growth of 2.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.42 billion, up 5.51% from the year-ago period.
CSCO's full-year Zacks Consensus Estimates are calling for earnings of $3.54 per share and revenue of $54.44 billion. These results would represent year-over-year changes of +5.36% and +5.59%, respectively.
Any recent changes to analyst estimates for Cisco Systems should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Within the past 30 days, our consensus EPS projection remained stagnant. Cisco Systems is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Cisco Systems's current valuation metrics, including its Forward P/E ratio of 13.53. This represents a discount compared to its industry's average Forward P/E of 18.95.
Meanwhile, CSCO's PEG ratio is currently 2.08. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Networking was holding an average PEG ratio of 2.08 at yesterday's closing price.
The Computer - Networking industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Cisco Systems (CSCO) Stock Sinks As Market Gains: What You Should Know
Cisco Systems (CSCO - Free Report) closed at $47.55 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's 0.75% gain on the day. At the same time, the Dow added 0.4%, and the tech-heavy Nasdaq gained 10.36%.
Prior to today's trading, shares of the seller of routers, switches, software and services had lost 1.34% over the past month. This has was narrower than the Computer and Technology sector's loss of 8.72% and the S&P 500's loss of 5.98% in that time.
Investors will be hoping for strength from Cisco Systems as it approaches its next earnings release. On that day, Cisco Systems is projected to report earnings of $0.86 per share, which would represent year-over-year growth of 2.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.42 billion, up 5.51% from the year-ago period.
CSCO's full-year Zacks Consensus Estimates are calling for earnings of $3.54 per share and revenue of $54.44 billion. These results would represent year-over-year changes of +5.36% and +5.59%, respectively.
Any recent changes to analyst estimates for Cisco Systems should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Within the past 30 days, our consensus EPS projection remained stagnant. Cisco Systems is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Cisco Systems's current valuation metrics, including its Forward P/E ratio of 13.53. This represents a discount compared to its industry's average Forward P/E of 18.95.
Meanwhile, CSCO's PEG ratio is currently 2.08. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Networking was holding an average PEG ratio of 2.08 at yesterday's closing price.
The Computer - Networking industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.