CSCONASDAQ— Cisco Systems Inc Price & Analysis

Cisco Systems Inc

TECHNOLOGY — COMMUNICATION EQUIPMENT

$109.43

+$0.26+0.24%

Market Cap: $430.41B; Mega Cap
P/E Ratio: 32.78; Fwd: 20.33
EPS (TTM): $3.33
Div. Yield: 1.52%

Technical Summary

RSI (14)41.78Neutral

SMA (50)$114.03Bearish

SMA (200)$94.82Bullish

MACD-1.6996Bearish

Bollinger$105.00 – $117.66Mid

Stochastic31.15Neutral

Theo Outlook

Cisco Systems (CSCO) presents a bullish thesis with a $430.4 billion market cap, trailing P/E of 32.78 (forward P/E 20.33), EPS of $3.33, and 17.6% year-over-year revenue growth to $63.3 billion TTM. The stock trades near its 50-day moving average of $114.28, supported by strong profitability metrics including a 20.9% profit margin and 27.3% return on equity. This valuation reflects Cisco's transition to higher-margin software and services amid steady demand for networking infrastructure. Key catalysts include expansion in IoT, cybersecurity, and cloud networking solutions, with recent quarterly revenue growth of 17.6% signaling earnings momentum. Product launches in enterprise security and Webex collaboration tools, alongside market expansion in emerging economies, position Cisco for continued double-digit growth. Analyst consensus targets $137.62, with 19 buy/strong buy ratings versus 9 holds, underscoring positive sentiment ahead of the October 2026 earnings date. Risks encompass intense competition from Huawei and Arista in hardware, potential regulatory scrutiny on acquisitions, and macro headwinds from elevated interest rates curbing enterprise capex. Mitigations include Cisco's 83.5% institutional ownership, diversified revenue streams, and a 1.52% dividend yield with the next ex-dividend date on October 2, 2026, providing downside support. The forward P/E compression to 20.33 offers a buffer against cyclical slowdowns. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.

Analysis generated by HeyTheo AI on Sep 9, 2026.

Company Overview

Cisco Systems, Inc. is an American multinational technology conglomerate headquartered in San Jose, California, in the center of Silicon Valley. Cisco develops, manufactures and sells networking hardware, software, telecommunications equipment and other high-technology services and products. Through its numerous acquired subsidiaries, such as OpenDNS, Webex, Jabber and Jasper, Cisco specializes in specific tech markets, such as the Internet of Things (IoT), domain security and energy management. On January 25, 2021, Cisco reincorporated in Delaware.

Fundamental Snapshot

Revenue: $63.33B
EBITDA: $18.64B
Gross Profit: $40.86B
Operating Margin: 27.7%
Profit Margin: 20.9%
ROE: 27.3%
Book Value: $12.74
Beta: 0.99
52-Wk High: $129.88
52-Wk Low: $64.79
Avg Volume: 1.23M
PEG Ratio: 1.01

Frequently Asked Questions

What is Cisco's business model?

Cisco Systems develops and sells networking hardware, software, and services focused on enterprise connectivity, security, and collaboration. It generates revenue through product sales (routers, switches) and recurring subscriptions in software and services, with TTM revenue of $63.3 billion and a 20.9% profit margin.

What are Cisco's primary revenue sources?

Primary revenue comes from networking equipment, cybersecurity solutions, and collaboration tools like Webex. TTM revenue reached $63.3 billion with 17.6% YoY growth, supplemented by high-margin software subscriptions and services that now represent a growing share of the mix.

What are Cisco's key competitive advantages?

Cisco benefits from its extensive installed base, global scale, and integrated portfolio spanning hardware to cloud security. With an 83.5% institutional ownership and strong R&D, it maintains leadership in enterprise networking despite competition, supported by a forward P/E of 20.33.

What are the key risks for Cisco investors?

Key risks include competition from lower-cost rivals, regulatory hurdles on M&A, and macro pressures reducing IT spending. The stock's 52-week range of $64.79-$129.88 highlights volatility, though a 1.52% dividend yield and October 2, 2026 ex-dividend date provide some income stability.

What is Cisco's growth outlook?

Cisco's outlook is positive with 17.6% quarterly revenue growth and analyst target of $137.62. Expansion in IoT and security, plus earnings momentum, supports EPS of $3.33 and potential multiple compression from the current trailing P/E of 32.78, with next earnings around late October 2026.