Cisco Systems (CSCO) has been making some substantial moves in the market, seeing a rise in the stock despite lagging behind overall market trends. A blend of institutional backing with 77% ownership, higher software sales, and an acquisition of Splunk seem to be driving factors. While the transition to subscription-based models is speculated to enhance long-term growth potential, the company is also judged to be undervalued at $46 amid network recovery and Splunk revenue gains. The Q4 2024 earnings surpassed estimates, suggesting some positive market sentiment. However, Cisco is also said to fall more steeply than the broader market and questions about surging prices. Some insiders have lowered their holding suggesting a mixed view on the company's performance. Notably, Cisco announces a 7% cut in its workforce despite AI spurring order growth. The company is launching a $1B Global AI Investment Fund but some claim that Cisco is not yet a 'true AI play'. The Nexus HyperFabric AI Clusters with NVIDIA reveal Cisco's ambitious push into AI and cloud domains. Nonetheless, Cisco recently acquiring Isovalent showcases a clear drive for multicloud networking and security. The company's variability makes it an interesting watch for investors.
Cisco Systems CSCO News Analytics from Thu, 21 Dec 2023 08:00:00 GMT to Sat, 28 Sep 2024 17:16:05 GMT -
Rating 6
- Innovation 7
- Information 8
- Rumor -3
