Cisco Systems stock: buy or sell
Jan 27th, 2021
Cisco Systems stock brief
- Cisco Systems closed on Tuesday at $45.26 after merely moving a 0.51%.
- The stock is configuring an uptrend pattern since last October, when it bottomed at $35.00. This rally marked a 29.31% gain. On Tuesday Cisco Systems broke out above $45.20 giving an entry point
- On Tuesday broke out above its latest top at $45.20
- JPMorgan Chase & Co. published a neutral rating for Cisco Systems on Monday, with a forecast of $50.00
- On January 20 broke out above its latest top at $45.20
Should I buy Cisco Systems stock?
Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $CSCO stock a buy?
Currently, Cisco Systems stock matches one trading strategy:
Uptrend buy setup
Cisco Systems stock is in an uptrend since last October that so far has marked an amazing 29.00% gain. Price marked a pull back in this uptrend at $43.35 on January 4, and since then it bounced up a 4.41%. Price just broke out above the entry point at $45.20, but it's still eligible. If price goes beyond $47.46, it would be better to wait to another pullback. If you decide to enter this trade, the suggested stop loss is at $42.05
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$45.20||$42.05||6.97%|
Should I sell Cisco Systems stock?
When you are a novel trader and you own stock shares with some profit, it's really difficult to decide the best moment to sell and get your benefits. As when we have to buy shares, deciding when is appropiate time to sell is not a fickle decision, and we must follow our own trading style. When selling, as well as buying, detailed setups are very simple to use but are only applicable for selling stocks in your porfolio, not for selling short $CSCO stock
A golden rule is that you should not mantain an operation that yields losses greater than those expected upon the buy. When to sell shares always has to be dictated by the stop-loss (automatic or manual)
Is it time to sell Cisco Systems stock?
Currently, Cisco Systems stock doesn't match any of our preferred sell setups, so if you hold Cisco Systems stock and your operation is in profit probably is not time to sell now
Cisco Systems ratings
In the last month, just one rating was published for Cisco Systems
|Jan 25th, 2021|
|JPMorgan Chase & Co.||Neutral|
Cisco Systems stock analysis
Since last October, Cisco Systems has been printing an uptrend that so far marked a gorgeous 29.31%. The chart shows higher highs and lows, and along the way gave very few entry points for those who wanted to trade in. Latest pullback was on January 4, when price bounced at $43.35. On Tuesday, Cisco Systems broke out above its last top ($45.20) offering a good buy point
Supports and resistances
The current resistances are:
The current support levels are:
The evolution of the Bollinger Bands on the chart proves that they are quite narrow (4.62%), which clearly indicates that price volatility is low. The tightness of the Bollinger bands is typically a signal of a sharp price movement (up or down), so we must be cautious and manage our buy or sell orders accordingly
Relative strength index
The RSI dropped below the overbought level of 70 on January 13 after just crossing to the overbough zone for 1 day (weak signal). The RSI value on Tuesday was 59.11. Cisco Systems shares sliced a 1.16% since then
Cisco Systems stock price history
Cisco Systems IPO was on Feb 16th, 1990 at $0.00 per share1. Since then, CSCO stock surged by -, with an average of 0.00% per year. If you had invested thousand dollars in Cisco Systems stock on the IPO, it would have a value of $inf today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Cisco Systems stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations post their analysis forecasting how a stock will performance in the future.
The following table shows the price predictions released by financial institutions in the last 30 days. Again, these forecasts are not direct recommendations for small traders and must not be followed blindly.
There is just one price target available for Cisco Systems that predicts a price of $50.00.
|Brokerage firm||Price target|
|Jan 25th, 2021|
|JPMorgan Chase & Co.||$44.00 → $50.00|
Earnings and financials
Cisco Systems, Inc. ($CSCO) came out with quarterly earnings of $0.76 per share last November, slightly beating the analysts consensus estimate of $0.70 per share. This Q1 report means an earnings surprise of 8.57%. On the contrary, reported sales were $11.9 billion, consistent with the market estimates.This compares to Earnings of $0.84 per share same quarter last year, so reported EPS means a loss of -9.52%. Sales fell a -9.35% on an annualized basis in the , from $131.6B to $119.3B last quarter.
Cisco Systems ($CSCO) is hosting the earnings call next Wednesday. Estimated for this quarter is $0.75, compared to $0.76 that was reported for Q1.
Cisco Systems performance
|Cisco Systems ($CSCO)||2.70%||18.80%||-2.00%|
Please read:The viewpoints expressed in this post are personal and should not be followed as recommendations for you to buy or sell stocks. The author of this document does not have an understanding of the individual positions of the reader, his or her financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Opinions are published for learning purposes only
Cisco Systems summary
|Tuesday, January 26th, 2021|
|Day range||$44.77 - $45.35|
|Average true range||$0.85|
|50d mov avg||$43.73|
|100d mov avg||$41.07|
|200d mov avg||$42.43|
|Earnings date||February 10th, 2021|