Cisco stock: buy or sell?

CSCO stock price: $48.18 -1.21% At close on August 22nd, 2019

Updated on:
August 22nd, 2019

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Cisco Systems shares depreciated -1.21% to $48.18 today. On Aug/15 CSCO plunged a hair-raising -9.43%.

Cisco Systems, Inc. designs, manufactures, and sells Internet Protocol (IP) based networking and other products related to the communications and information technology industry worldwide.

Should I buy Cisco stock?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Following a trading strategy helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Cisco Systems stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean CSCO will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Cisco Systems stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we collected 15 ratings published for CSCO stock in the last month.

The general sentiment of these ratings is bullish for CSCO stock, with 10 positive ratings.
Is CSCO a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-15UBS Groupn/aBuy
2019-8-15Royal Bank of Canadan/aOutperform
2019-8-15Raymond Jamesn/aOutperform
2019-8-15Morgan Stanleyn/aEqual Weight
2019-8-15MKM Partnersn/aNeutral
2019-8-15KeyCorpn/aOverweight
2019-8-15Credit Suisse Groupn/aNeutral
2019-8-15Cowenn/aOutperform
2019-8-15Citigroupn/aBuy
2019-8-12Robert W. Bairdn/aBuy
2019-7-30Nomuran/aNeutral
2019-7-10Robert W. Bairdn/aBuy
2019-7-10Bank of American/aBuy
2019-6-26UBS Groupn/aBuy
2019-6-12William BlairOutperformMarket Perform

Cisco stock analysis

Daily outlook

Shares of Cisco Systems closed today at $48.18 and depreciated a bad -1.21%.

Shares of Cisco Systems depreciated a bad -1.21% and closed at $48.18. CSCO marked a lower low and a lower high in the short term, defining a downward trend. Climbing above $53.36 would break this short term down trend and open possibilities for reversing this situation. In the last 20 days when CSCO stock price broke down the SMA100d line, it slid $-7.21 per share (-13.02%).

CSCO stock chart (daily)

Weekly outlook

After sliding for 4 weeks, this week Cisco Systems escalated a fine 2.60%, closing at $48.18. Last week CSCO collapsed a hair-raising -11.65% in just one week. After 4 weeks sliding, this week raised a 2.33%.

Since price and 40-weeks moving average lines crossed down last week, CSCO fell $-4.25 per share (-8.11%). Stocks under the 200 days moving average line are usually not recommended for average traders.

CSCO stock chart (weekly)

Cisco stock price history

Cisco stock went public on February 16th, 1990 with a price of $0.061. Since then, CSCO stock surged a 80,200.00%, with a yearly average of 2,765.50%. If you had invested $1,000 in Cisco stock in 1990, it would worth $802,000.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Cisco stock historical price chart

CSCO stock reached 52-week highs on July 16th at $58.26, and all-time highs 2000-03-27 with a price of 64.43.

Cisco stock price target is $56.00

Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' CSCO stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we found 14 price forecasts for CSCO stock:
CSCO stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-15UBS GroupSet Price Targetn/a$58.00-
2019-8-15Royal Bank of CanadaLowers Targetn/a$53.00-
2019-8-15Raymond JamesRaises Target$58.00$59.001.7%
2019-8-15Morgan StanleyLowers Target$51.00$49.00-3.9%
2019-8-15MKM PartnersLowers Target$56.00$51.00-8.9%
2019-8-15KeyCorpLowers Target$60.00$56.00-6.7%
2019-8-15Credit Suisse GroupLowers Target$52.00$50.00-3.8%
2019-8-15CowenLowers Target$65.00$61.00-6.2%
2019-8-15CitigroupLowers Target$65.00$57.00-12.3%
2019-8-12Robert W. BairdReiteratesn/a$57.00-
2019-7-30NomuraRaises Target$50.00$53.006%
2019-7-10Robert W. BairdReiteratesn/a$57.00-
2019-7-10Bank of AmericaReiteratesn/a$62.00-
2019-6-26UBS GroupSet Price Targetn/a$61.00-
(in average)$57.10$56.00-2.0%
The price target for Cisco Systems stock is $56.00, moving in a range between $62.00 and $49.00.

Financials and fundamental analysis

Earnings date and Earnings per Share

Cisco Systems presented slightly good results for 2019-Q1 on February. Cisco Systems grew Earnings per Share (EPS) by 3.10%, beating experts consensus of $0.65. Cisco Systems posted $0.67.
CSCO earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.51n/a
2017-Q3-n/a0.51n/a
2017-Q42017-11-150.60.611.7%
2018-Q12018-05-160.650.661.5%
2018-Q22018-05-160.590.61.7%
2018-Q32018-08-150.630.653.2%
2018-Q42018-11-140.660.683.0%
2019-Q12019-02-130.650.673.1%
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Cisco Systems annual revenues stayed steady a tight 0.00% to $49,329.00 M USD from $49,330.00 marked in 2018. In line, its profit margin (compared to revenues) remained stable to 0.22%, that is $110.00 million.

Cisco Systems fiscal year ends in July, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Cisco Systems TTM sales up to January 2019 were $50,824.00 and earnings $12,865.00 M USD. If we compare this TTM figures with the last reported annuality, we can esteem Cisco Systems business evolution since July 2018: Annual revenues up to January, compared to lastest yearly report, appreciated a good 3.03%. Instead, profit margin (net income/revenues) rocketed at 0.22%.

CSCO annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2014$47,140 M-$7,850 M16.7%-
2014$47,140 M0.00%$7,850 M16.7%0.00%
2015$49,160 M4.29%$8,980 M18.3%14.39%
2015$49,161 M0.00%$8,981 M18.3%0.01%
2016$49,250 M0.18%$10,740 M21.8%19.59%
2016$49,247 M-0.01%$10,739 M21.8%-0.01%
2017$48,010 M-2.51%$9,610 M20.0%-10.51%
2017$48,005 M-0.01%$9,609 M20.0%-0.01%
2018$49,330 M2.76%$110 M0.2%-98.86%
2018$49,329 M0.00%$110 M0.2%0.00%
TTM $50,824 M3.03%$12,865 M25.3%11,595.45%

Quarterly financial results

Cisco Systems reported $12,446.00 million in sales for 2019-Q1, a -4.79% decline compared to previous quarter. Reported quarter earnings marked $2,822.00 M with a profit margin of 22.67%. Profit margin decreased a -4.48% compared to previous quarter when profit margin was 27.15%. When comparing turnover to same quarter last year, Cisco Systems sales marked a nice gain and gained a 4.70%.
CSCO quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$11,940 M-$2,520 M21.1%-
2017-Q3$12,130 M1.59%$2,420 M20.0%-3.97%
2017-Q4$12,136 M0.05%$2,394 M19.7%-1.07%
2018-Q1$11,887 M-2.05%$-8,778 M-73.8%-466.67%
2018-Q2$12,463 M4.85%$2,691 M21.6%-130.66%
2018-Q3$12,843 M3.05%$3,803 M29.6%41.32%
2018-Q4$13,072 M1.78%$3,549 M27.1%-6.68%
2019-Q1$12,446 M-4.79%$2,822 M22.7%-20.48%

Cisco Systems ownership

When you are planning to invest in a company, it's always worth to overview its ownership structure.

Cisco Systems shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.07% of all shares.

In case of Cisco Systems stock, 77.33% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for CSCO stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Cisco Systems:

CSCOCTXSERICFFIVHPQ
Market cap$206.2 B$12.2 B$0.0 M$7.7 B$28.6 B
Total shares4,280.0 M131.7 M0.0 M59.7 M1,510.0 M
Float shares4,280.0 M130.0 M2,800.0 M59.9 M1,500.0 M
  - Institutional holdings (%)77.3%103.2%221.9%105.4%83.9%
  - Insider holdings (%)0.1%1.0%0.0%0.5%0.2%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Cisco summary

Thursday, August 22nd, 2019
Open$49.24
Close$48.18
Day range$47.95 - $49.24
Previous close$48.77
Session gain-1.21%
Average true range$1.65
50d mov avg$54.63
100d mov avg$54.65
200d mov avg$50.71
Daily patternlb06a
Weekly pattern

Cisco Systems performance

Stocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. In the following table, we compare Cisco Systems performance to Citrix Systems, , F5 Networks, HP, International Business Machines, Juniper Networks, Microsoft, Motorola Solutions, NETGEAR and Vmware:
Stock3m6m12m
CSCOCisco Systems-10.83%-2.63%6.88%
CTXSCitrix Systems-1.69%-11.24%-17.08%
ERIC-17.15%-11.50%-1.42%
FFIVF5 Networks-5.52%-24.81%-31.05%
HPQHP-4.58%-18.80%-19.15%
IBMInternational Bus...2.68%-1.29%-3.58%
JNPRJuniper Networks-4.84%-12.57%-14.49%
MSFTMicrosoft9.51%25.04%29.10%
MSIMotorola Solution...19.07%28.65%43.40%
NTGRNETGEAR30.88%-5.26%-24.91%
VMWVmware-25.20%-14.59%17.77%

Cisco Systems competitors

We picked a few stocks to conform a list of Cisco Systems competitors to examine if you are interested in investing in CSCO:

Latest Cisco stock news