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Cisco Systems (CSCO) Rises Yet Lags Behind Market: Some Facts Worth Knowing
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Cisco Systems (CSCO - Free Report) ended the recent trading session at $47.42, demonstrating a +0.04% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.64% for the day. At the same time, the Dow added 1.85%, and the tech-heavy Nasdaq gained 0.2%.
Prior to today's trading, shares of the seller of routers, switches, software and services had gained 3.74% over the past month. This has outpaced the Computer and Technology sector's gain of 1.06% and lagged the S&P 500's gain of 3.82% in that time.
The upcoming earnings release of Cisco Systems will be of great interest to investors. The company's upcoming EPS is projected at $0.85, signifying a 25.44% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $13.51 billion, indicating a 11.15% downward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.71 per share and revenue of $53.67 billion. These totals would mark changes of -4.63% and -5.84%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Cisco Systems. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Right now, Cisco Systems possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Cisco Systems is currently trading at a Forward P/E ratio of 12.79. This represents no noticeable deviation compared to its industry's average Forward P/E of 12.79.
Investors should also note that CSCO has a PEG ratio of 2.33 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. The Computer - Networking was holding an average PEG ratio of 1.05 at yesterday's closing price.
The Computer - Networking industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 207, this industry ranks in the bottom 18% of all industries, numbering over 250.
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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Cisco Systems (CSCO) Rises Yet Lags Behind Market: Some Facts Worth Knowing
Cisco Systems (CSCO - Free Report) ended the recent trading session at $47.42, demonstrating a +0.04% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.64% for the day. At the same time, the Dow added 1.85%, and the tech-heavy Nasdaq gained 0.2%.
Prior to today's trading, shares of the seller of routers, switches, software and services had gained 3.74% over the past month. This has outpaced the Computer and Technology sector's gain of 1.06% and lagged the S&P 500's gain of 3.82% in that time.
The upcoming earnings release of Cisco Systems will be of great interest to investors. The company's upcoming EPS is projected at $0.85, signifying a 25.44% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $13.51 billion, indicating a 11.15% downward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.71 per share and revenue of $53.67 billion. These totals would mark changes of -4.63% and -5.84%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Cisco Systems. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Right now, Cisco Systems possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Cisco Systems is currently trading at a Forward P/E ratio of 12.79. This represents no noticeable deviation compared to its industry's average Forward P/E of 12.79.
Investors should also note that CSCO has a PEG ratio of 2.33 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. The Computer - Networking was holding an average PEG ratio of 1.05 at yesterday's closing price.
The Computer - Networking industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 207, this industry ranks in the bottom 18% of all industries, numbering over 250.
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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.