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Cisco Systems (CSCO) Gains But Lags Market: What You Should Know
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Cisco Systems (CSCO - Free Report) closed at $57.63 in the latest trading session, marking a +0.02% move from the prior day. This move lagged the S&P 500's daily gain of 0.65%.
Prior to today's trading, shares of the seller of routers, switches, software and services had gained 5.36% over the past month. This has lagged the Computer and Technology sector's gain of 6% and the S&P 500's gain of 6.38% in that time.
CSCO will be looking to display strength as it nears its next earnings release, which is expected to be November 17, 2021. The company is expected to report EPS of $0.81, up 6.58% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.98 billion, up 8.79% from the year-ago period.
CSCO's full-year Zacks Consensus Estimates are calling for earnings of $3.43 per share and revenue of $52.8 billion. These results would represent year-over-year changes of +6.52% and +5.99%, respectively.
Investors might also notice recent changes to analyst estimates for CSCO. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. CSCO is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, CSCO currently has a Forward P/E ratio of 16.81. For comparison, its industry has an average Forward P/E of 17.67, which means CSCO is trading at a discount to the group.
Investors should also note that CSCO has a PEG ratio of 2.4 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CSCO's industry had an average PEG ratio of 2.39 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 161, putting it in the bottom 37% 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.
To follow CSCO in the coming trading sessions, be sure to utilize Zacks.com.
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Cisco Systems (CSCO) Gains But Lags Market: What You Should Know
Cisco Systems (CSCO - Free Report) closed at $57.63 in the latest trading session, marking a +0.02% move from the prior day. This move lagged the S&P 500's daily gain of 0.65%.
Prior to today's trading, shares of the seller of routers, switches, software and services had gained 5.36% over the past month. This has lagged the Computer and Technology sector's gain of 6% and the S&P 500's gain of 6.38% in that time.
CSCO will be looking to display strength as it nears its next earnings release, which is expected to be November 17, 2021. The company is expected to report EPS of $0.81, up 6.58% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.98 billion, up 8.79% from the year-ago period.
CSCO's full-year Zacks Consensus Estimates are calling for earnings of $3.43 per share and revenue of $52.8 billion. These results would represent year-over-year changes of +6.52% and +5.99%, respectively.
Investors might also notice recent changes to analyst estimates for CSCO. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. CSCO is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, CSCO currently has a Forward P/E ratio of 16.81. For comparison, its industry has an average Forward P/E of 17.67, which means CSCO is trading at a discount to the group.
Investors should also note that CSCO has a PEG ratio of 2.4 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CSCO's industry had an average PEG ratio of 2.39 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 161, putting it in the bottom 37% 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.
To follow CSCO in the coming trading sessions, be sure to utilize Zacks.com.