UPDATE: Piper Jaffray Upgrades Cisco Systems to Overweight on FQ4 Expectations
Piper Jaffray raised its rating on Cisco Systems (NASDAQ: CSCO) from Neutral to Overweight and increased its price target from $20 to $22.
Piper Jaffray commented, "We believe Cisco will report respectable FQ4 results with revenues inline with consensus, but better margins and cost controls providing upside to EPS. Our confidence is based on proprietary channel checks and data points from distributors, coupled with Cisco's recent improved execution. We expect Cisco will provide some cautious commentary regarding macro headwinds in Europe and the Fed vertical, but believe these concerns are already factored into expectations and the current stock valuation. We believe CSCO's stock will work higher with investor interest in networking stocks returning and estimates likely moving higher (accretive acquisition and cost controls)."
Cisco Systems closed at $17.16 on Wednesday.
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