Analysts at Pacific Crest lowered their rating on Cisco Systems, Inc (CSCO) shares to ‘Sector Perform’ from ‘Outperform’ in a research note issued to clients on Monday. The firm, which believes shares are fairly valued at $26 per share, cited [via Fly] “valuation and concern the company’s margin expansion could moderate in 2015.”
Cisco shares closed at $25.83 on Friday afternoon ; the stock is down 2.49% from its 52-week high set on Aug 7, 2013 of $26.49.
A number of other investment firms have also recently commented on the chip maker. Analysts at Buckingham Research and Morgan Stanley (MS) initiated coverage on Cisco in a report released on Wednesday, June 18, and Thursday, June 19, respectively. The firms set a ‘Neutral’ and ‘Overweight’ rating on the stock. Analysts at Stifel Nicolaus and Banc of America (BAC) also maintained their ‘Buy’ rating on CSCO in research notes issued on May, 21 and May 15, respectively. Both firms maintained a $28 price target on ticker. Finally, analysts at BMO Capital maintained an ‘Outperform’ rating and a $27.00 PT on shares of Cisco Systems in a research note on Thursday, May 15th.
Cisco shares, which currently have an average 3-month trading volume of 30.2 million shares, trade at a trailing-12 P/E of 17.52, a forward P/E of 12 and a P/E to growth ratio of 1.65. The median Wall Street price target on the company’s stock is $27.00 with a high target of $31.00.
In terms of profitability, Cisco’s trailing-12 profit margin currently stands at nearly 16.69% while operating margin is at 22.37%. The $133 billion market cap retailer reported $50.47 billion in cash vs. $20.90 billion in debt in its most recent quarter.
In today’s pre-market session, the equity is 0.85% lower, changing hands at $25.75 a share.
Cisco Systems sells Internet protocol and other products related to the communications and information technology industry worldwide. The company was founded in 1984 and is headquartered in San Jose, California.
Cisco’s next earnings date report: Aug 13, 2014.