Cisco Systems (CSCO) closed the most recent trading day at $57.34, moving +0.88% from the previous trading session. The stock's change was more than the S&P 500's daily gain of 0.58%. On the other hand, the Dow registered a gain of 0.75%, and the technology-centric Nasdaq increased by 0.55%.

Coming into today, shares of the seller of routers, switches, software and services had lost 7.89% in the past month. In that same time, the Computer and Technology sector gained 0.6%, while the S&P 500 lost 0.84%.

The investment community will be paying close attention to the earnings performance of Cisco Systems in its upcoming release. The company is forecasted to report an EPS of $0.91, showcasing a 3.41% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $14.05 billion, up 10.58% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.73 per share and a revenue of $56.44 billion, signifying shifts of 0% and +4.9%, respectively, from the last year.

Investors should also take note of any recent adjustments to analyst estimates for Cisco Systems. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.16% upward. Right now, Cisco Systems possesses a Zacks Rank of #3 (Hold).

With respect to valuation, Cisco Systems is currently being traded at a Forward P/E ratio of 15.26. This expresses a premium compared to the average Forward P/E of 12.95 of its industry.

One should further note that CSCO currently holds a PEG ratio of 2.99. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Computer - Networking industry stood at 0.98 at the close of the market yesterday.

The Computer - Networking industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 67, positioning it in the top 28% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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