Cisco: consensus beaten and objectives raised, the title goes up


Cisco announced an upward revision to its growth forecast for the current fiscal year on Wednesday evening after reporting much better-than-expected quarterly results.

The network equipment manufacturer now plans to record growth in its turnover of between 5.5% and 6.5% over its 2021/2022 financial year, against a previous estimate which ranged from 4.5% to 6.5%. %.

In the second quarter of its fiscal year, the Californian group recorded a turnover up 6% to 12.7 billion dollars, against a consensus of 12.6 billion dollars.

Cisco also did better than expected at the level of the income statement by revealing an earnings per share (EPS) of 0.84 dollar, compared with a consensus of 0.80 dollar.

In a note of reaction, Credit Suisse analysts argue that the group of San Jos (California) is currently running ‘full speed’ despite supply problems affecting the sector.

They therefore maintain their ‘outperformance’ opinion on the stock, with a target price of 73 dollars.

At Wells Fargo, it is pointed out that this ‘immaculate’ publication coupled with the ‘record’ order book claimed by the group contrasts with the negative market sentiment of which the title is traditionally a victim.

Around 10:00 a.m. (New York time), the title consequently climbed 4.4%, posting the largest increase in a Dow Jones index down 1.2%.

Copyright (c) 2022 CercleFinance.com. All rights reserved.



Source link -88