Company Update: Cisco Systems Inc (NASDAQ:CSCO) – Analtsis – Earnings bolster Cisco, but raise concerns for broader IT spending

[Reuters] – Networking giant Cisco Systems Inc reported it is weathering a global slowdown in information-technology spending, but signs potential customers are putting some projects on hold exacerbated concerns about broader IT growth. Cisco shares rose 10 percent on Thursday, bucking the overall market after it set a profit target in line with Wall Street expectations despite the weaker spending it noted around the world by businesses. Cisco Chief Executive Chuck Robbins on Wednesday told analysts that customers in January “paused a bit” as they evaluated the economy . Read more on this. Cisco Systems, Inc. (CSCO) , with a current value of $125.28B, began trading this morning at $24.10. A quick look at the market, the company’s stock traded between $24.09 and $24.97 with a trailing 52-week range being $22.46 to $30.31. CSCO shares are currently priced at 10.15x this year’s forecasted earnings, which makes them relatively inexpensive compared to the industry ’s 14.48x forward p/e ratio. The company pays shareholders $0.84 per share in dividend income per year, for a current yield of 3.67%. According to a consensus of 33 analysts, the earnings estimate of $0.54 per share would be $0.01 better than the year-ago quarter and a $0.02 sequential decrease. Investors should also note that the full-year EPS estimate of $2.26 is a $0.05 improvement when compared to the previous year’s annual results. The quarterly earnings estimate is predicated on a consensus revenue forecast of $11.76 Billion. If reported, that would be a 1.51% decrease over the year-ago quarter. In terms of ratings, Jefferies upgraded CSCO from Hold to Buy (Feb 11, 2016). Previously, Macquarie upgraded CSCO from Underperform to Neutral. When considering if the stock is under or overvalued, the average price target is $29.90, which is 24.07% above where the stock opened this morning. See more in (NASDAQ:CSCO) Similar Articles: Market Update: Cisco Systems Inc (NASDAQ:CSCO) – Cisco Systems (CSCO) Stock Price Target Lowered at Pacific Crest Company Update: Cisco Systems Inc (NASDAQ:CSCO) – Cisco Systems (CSCO) Stock Rises After Winning U.S. Patent Dispute Company Update: Cisco Systems Inc (NASDAQ:CSCO) – Cisco Systems (CSCO) Inches Ahead After Barclays Begins Coverage