Market Overview

Morgan Stanley Maintains Overweight on Cisco Systems Following Channel Checks

Related CSCO
Court Vacates VirnetX Holding Corporation Patent Victory Against Apple Inc., Shares Plummet 50%
UPDATE: Shares of Cisco Edge Lower Following 10-K; Could Be Related to Comment 'Investigation Into Allegations...Regarding Possible Violations of US Foreign Corrupt Practices Act,' Regarding Russia
Is Your Portfolio Ready for the IOT Boom? (Fox Business)

Morgan Stanley has published a research report on Cisco Systems (NASDAQ: CSCO) that raised estimates following channel checks on the company.

In the report, Morgan Stanley wrote, "A full 50% of Cisco partners report business has been above plan the last 3 months, 44% were on plan and just 7% were below plan. Furthermore, resellers report growth expectations in '12 and '13 are higher today than they were 3 months ago. Therefore, we believe improving demand Cisco reported in 2H FQ4 is continuing. Based on our checks U.S. Fed is stronger than seasonal in what is already a seasonally strong quarter, compared to declining order momentum in the last two quarters of (11%) and (8%) y/y order growth. We believe EMEA remains a weak spot, while U.S. momentum could tail-off towards the end of the quarter since our survey only covers 1H FQ1. However, since typical Cisco quarters are back-end loaded, we view a strong start to the quarter as a positive sign."

Morgan Stanley maintained its Overweight rating and $22 price target on Cisco Systems, which closed Thursday at $18.80.

Latest Ratings for CSCO

DateFirmActionFromTo
Aug 2014BarclaysMaintainsEqual-weight
Aug 2014Stifel NicolausMaintainsBuy
Aug 2014UBSMaintainsBuy

View More Analyst Ratings for CSCO
View the Latest Analyst Ratings

Posted-In: Morgan StanleyAnalyst Color Reiteration Analyst Ratings

 

Related Articles (CSCO)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters