Market Overview

Jefferies Rockets Cisco To Buy, Claims: 'Here's The Entry Point'

Share:
Related CSCO
The Week Ahead: The Year's Biggest Biotech Conference, Host Of IPO Quiet Period Expirations, And Other Coming Catalysts
Lightning Round: Jim Cramer Shares His Thoughts On Allergan, ETP, Cisco And More
My Journey To Financial Independence: 86-Stock November Portfolio Update - Buying Apple, AbbVie And BMW (Seeking Alpha)
  • Shares of Cisco Systems, Inc (NASDAQ: CSCO) are down 17 percent year-to-date and currently trading near their 52-week low of $22.46.
  • Jefferies’ George C. Notter upgraded the rating on the company from Hold to Buy, while raising the price target from $26.00 to $27.50.
  • The recent decline in Cisco’s share price makes the risk reward attractive, Notter said.

Analyst George C Notter mentioned that the recent decline in Cisco’s share price makes it an attractive investment. “Our upgrade is driven, in part, by our view that the downside in the stock is limited,” the analyst said.

Related Link: JPMorgan Sees Cisco's Overarching Fundamentals As Weak, Consistent With Macro Deterioration

Cisco is poised to benefit from any improvement in the macro environment, but in case the situation worsens, the company is capable of protecting its earnings power by managing its cost structure, Notter wrote.

The analyst mentioned that the concerns about the company’s BRIC-M exposure have declined. He added that several growth opportunities exist in the areas of Security and Hyper-converged storage.

Cisco’s efforts in the SMB space could also drive incremental growth in its business, the report mentioned. The analyst also sees additional potential for Cisco to increase capital returns to shareholders, including increased dividends.

Latest Ratings for CSCO

DateFirmActionFromTo
Dec 2017Stifel NicolausReinstatesHoldHold
Nov 2017ArgusMaintainsBuy
Nov 2017BarclaysMaintainsOverweight

View More Analyst Ratings for CSCO
View the Latest Analyst Ratings

Posted-In: Analyst Color Earnings Long Ideas News Upgrades Price Target Analyst Ratings Trading Ideas

 

Related Articles (CSCO)

View Comments and Join the Discussion!