Cisco Systems (CSCO) Rallies On Strong Earnings, Cycles Point Higher

Cisco Systems (CSCO) rose by 6% on Thursday after the company posted earnings that beat Wall Street expectations. 

Having completed its intermediate market cycle, we see plenty more upside in the coming months. 

The company reported earnings per share of $0.78 and total revenue of $12.96 billion, compared to analyst estimates of $0.77 and $12.90 billion. For next quarter, management expects revenue growth of 4.5-6.5%, above the average estimate of 3.5%.

CEO Chuck Robbins beamed, “Our strong performance was across the business, reflecting our customers’ confidence in our strategy, business model and market-leading portfolio.”

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Our analysis focuses on market cycles. We believe CSCO has now completed its most recently cycle and is in the rising phase of a new cycle.

This has been a strong stock. Its cycle patterns suggest new highs coming into the summer. Our target is well over $60.

Cisco Systems (CSCO) Stock Weekly Chart 

cisco systems stock research investing forecast news image bullish higher price target

For more from Slim, or to learn about cycle analysis, check out the askSlim Market Week show every Friday on our YouTube channel.

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Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.