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Cisco Systems (CSCO) Dips More Than Broader Markets: What You Should Know
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Cisco Systems (CSCO - Free Report) closed at $53.65 in the latest trading session, marking a -0.81% move from the prior day. This move lagged the S&P 500's daily loss of 0.33%.
Coming into today, shares of the seller of routers, switches, software and services had gained 1.16% in the past month. In that same time, the Computer and Technology sector gained 3.4%, while the S&P 500 gained 2.89%.
Investors will be hoping for strength from CSCO as it approaches its next earnings release, which is expected to be August 18, 2021. On that day, CSCO is projected to report earnings of $0.82 per share, which would represent year-over-year growth of 2.5%. Meanwhile, our latest consensus estimate is calling for revenue of $13.04 billion, up 7.25% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.20 per share and revenue of $49.67 billion, which would represent changes of -0.31% and +0.75%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for CSCO. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate remained stagnant within the past month. CSCO is currently sporting a Zacks Rank of #4 (Sell).
In terms of valuation, CSCO is currently trading at a Forward P/E ratio of 16.88. This represents a premium compared to its industry's average Forward P/E of 16.15.
Investors should also note that CSCO has a PEG ratio of 2.7 right now. 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. CSCO's industry had an average PEG ratio of 3.4 as of yesterday's close.
The Computer - Networking industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 206, putting it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Cisco Systems (CSCO) Dips More Than Broader Markets: What You Should Know
Cisco Systems (CSCO - Free Report) closed at $53.65 in the latest trading session, marking a -0.81% move from the prior day. This move lagged the S&P 500's daily loss of 0.33%.
Coming into today, shares of the seller of routers, switches, software and services had gained 1.16% in the past month. In that same time, the Computer and Technology sector gained 3.4%, while the S&P 500 gained 2.89%.
Investors will be hoping for strength from CSCO as it approaches its next earnings release, which is expected to be August 18, 2021. On that day, CSCO is projected to report earnings of $0.82 per share, which would represent year-over-year growth of 2.5%. Meanwhile, our latest consensus estimate is calling for revenue of $13.04 billion, up 7.25% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.20 per share and revenue of $49.67 billion, which would represent changes of -0.31% and +0.75%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for CSCO. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate remained stagnant within the past month. CSCO is currently sporting a Zacks Rank of #4 (Sell).
In terms of valuation, CSCO is currently trading at a Forward P/E ratio of 16.88. This represents a premium compared to its industry's average Forward P/E of 16.15.
Investors should also note that CSCO has a PEG ratio of 2.7 right now. 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. CSCO's industry had an average PEG ratio of 3.4 as of yesterday's close.
The Computer - Networking industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 206, putting it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.