The stock of Cisco Systems, Inc. (NASDAQ:CSCO) is now priced at $42.22 and the shares are 0.02 points up or 0.05% higher compared to its previous closing price of $42.2. CSCO shares have a float of 4220 million and although its performance was 0.09% over the week, it’s one to watch. Analysts have given the CSCO stock a yearly average price target of $49.35 per share. It means the stock’s upside potential is 16.89% with the CSCO share price recently placing at $41.94 to $42.35. However, some brokerage firms have priced the stock below the average, including one that has called $44.
The shorts are running away from the Cisco Systems, Inc. stock, with the latest data on short interest released on August 14, 2020, showing that short interest numbers in the CSCO shares have declined. Short interest in the stock represents just 0.71% of its float, but the volume has dropped by -7961384. The volume of shorted shares dropped to 29.816 million from 37.778 million shares over the last two weeks. The average intraday trading volume has been 22.376 million shares, which means that days to cover moved to roughly 1.33248.
In the last trading session, Cisco Systems, Inc. (NASDAQ:CSCO) raised by $0.04 over the week and lost -$4.94 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $50.3. The stock recorded its established 52-week high on 09/12/19.
Since 03/16/20, the stock has traded to a low of $32.4 at 30.31%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 0.83. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Cisco Systems, Inc.’s two-week RSI is 34.94. This suggests that the stock is neutral at the moment and that CSCO shares’ price movement remains stable. The stochastic readings are equally revealing at 11.41% meaning the CSCO share price is currently in overbought territory.
The technical chart shows that the CSCO stock will likely settle at between $42.4 and $42.58 per share. However, if the stock dips below $41.99, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $41.76.
Currently, the stock is trading in the green of MACD, with a reading of 0.07. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Maxim Group assigned CSCO a rating of Outperform in their intiating review released on July 24. JP Morgan analysts downgraded their recommendation of the stock from Overweight to Neutral while keeping its target price at $50 in a flash note released to investors on July 16. Morgan Stanley seeing the improvements upgraded the stock from Equal-Weight to Overweight on July 09, placing it at $54.
The average rating for the CSCO equity is 2.3 and is currently gathering a bullish momentum. Of 28 analysts tracking Cisco Systems, Inc. polled by Reuters, 14 rated CSCO as a hold. The remaining 14 analysts were split evenly. However, the split wasn’t equal as a majority (14) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the CSCO stock price is 12.67X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands at 16 below the group’s average of 31.7. Cisco Systems, Inc. has its P/E ratio at 4.7, which means that the stock is currently trading at a premium relative to the 3.6 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Cisco Systems, Inc. (NASDAQ:CSCO) will decrease by about -2.42%, which will see them reach $11900 million. The company’s full-year revenues are, however, expected to diminish by about -1.97%, down from $49300 million to $48300 million. CSCO’s expected adjusted earnings should drop almost -16.67% to end up at $0.7 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -3.43% to record $3.1/share.