Rosenblatt analyst Mike Genovese has adjusted the price target for Cisco Systems (CSCO, Financial), reducing it from $80 to $63 while maintaining a Buy rating. This revision reflects a cautious outlook on the company's financial performance in the face of looming economic challenges.
While the optical sector is projected to show "generally solid" results in the upcoming March quarter, Cisco and its peers face potential setbacks. Key concerns include the impact of higher tariffs, which could squeeze gross margins, and an anticipated macroeconomic slowdown. These elements are expected to exert pressure on the business environment and lead to rising costs, with significant effects likely materializing in the latter half of 2025.
In light of these factors, Rosenblatt has undertaken a broader reassessment, lowering price targets for the companies it covers by an average of 19%. This strategic adjustment underscores the growing uncertainty in the global market landscape and its possible implications for corporations like Cisco.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 17 analysts, the average target price for Cisco Systems Inc (CSCO, Financial) is $69.14 with a high estimate of $80.00 and a low estimate of $55.43. The average target implies an upside of 27.17% from the current price of $54.37. More detailed estimate data can be found on the Cisco Systems Inc (CSCO) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, Cisco Systems Inc's (CSCO, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Cisco Systems Inc (CSCO, Financial) in one year is $55.37, suggesting a upside of 1.84% from the current price of $54.37. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Cisco Systems Inc (CSCO) Summary page.
