Cisco Systems, Inc.

Cisco Systems, Inc.

CSCO

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Market Cap$474.63B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Cisco Systems, Inc.Cisco Systems, Inc.39.81.37%25%8.41

Earnings Call Q3 2026

May 13, 2026 - AI Summary

Q3 results beat guidance (strong execution) - Revenue: $15.8B, +12% YoY (record). - Non-GAAP EPS: $1.06, +10% YoY, above the high end of guidance. - Products vs. services: Product revenue $12.1B (+17% YoY); Services $3.7B (-1% YoY) mainly from service contract timing. - Orders (demand signal): Total product orders +35% YoY; +19% YoY excluding hyperscalers (broad-based strength, not just AI).
AI infrastructure is the main growth engine; hyperscaler orders accelerating and raised full-year expectation - Hyperscaler AI infrastructure orders: $1.9B in Q3 vs $0.6B prior year. - FY26 AI infrastructure orders expectation: now ~$9B from hyperscalers (up from prior expectation of ~$5B), i.e. ~4.5x FY25 total. - FY26 AI infrastructure revenue expectation: ~$4B revenue to be recognized from hyperscalers (important because orders and revenue timing differ). - Non-hyperscaler AI orders: additional ~$300M in Q3 from Neocloud/Sovereign/Enterprise; ~$900M YTD and ~$3B pipeline. - Acacia (coherent pluggable optics): > $1B Q3 orders, on track for >200% YoY growth in FY26; >750,000 units shipped at 400G and >40,000 at 800G; #1+ design momentum with multiple new hyperscaler design wins.
Cisco sees demand durability beyond AI hyperscalers—enterprise modernization tied to AI + security - Networking orders: grew >50% YoY in Q3, and networking has 7 straight quarters of double-digit growth. - Enterprise: product orders +18% YoY; public sector +27% YoY with double-digit growth across geographies. - Service provider/cloud acceleration: orders +105% YoY; telco orders +9% YoY (AI-driven network modernization). - Campus refresh: wireless orders +40% YoY; strong WiFi 7 ramp (WiFi 7 is ~half of wireless mix in Q3). - Durability comments (investor “pull-forward?” question): management says any pull-forward is modest; ex-hyperscaler order growth accelerated from ~10% in Q2 to ~19% in Q3, with acceleration attributed to real demand plus pricing, not only supply constraints.

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$121.80

Target Price by Analysts

3.7% downsideCisco Systems Target Price DetailsTarget Price
$59.34

Current Fair Value

53.1% downside

Overvalued by 53.1% based on the discounted cash flow analysis.

Share Statistics

Market cap$474.63 Billion
Enterprise Value$515.47 Billion
Dividend Yield$1.65 (1.37%)
Earnings per Share$2.56
Beta0.91
Outstanding Shares3,954,000,000

Return

Return on Equity25.03%ROE
Return on Assets9.74%
Return on Invested Capital18.37%

Valuation & Multiples

P/E Ratio39.82P/E Ratio
PEG112.46PEG
Price to Sales8.43Price to Sales
Price to Book Ratio10.54Price to Book Ratio
Enterprise Value to Revenue8.49
Enterprise Value to EBIT32.63
Enterprise Value to Net Income42
Total Debt to Enterprise0.09
Debt to Equity0.98Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 20, 2026
EPS Estimate
$1.03
Average shareholder expectation
Revenue Estimate
$15.52 B
Average shareholder expectation

Next Earnings Call

Expected Date
August 12, 2026
EPS Estimate
$1.17
Average shareholder expectation
Revenue Estimate
$16.82 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio1.1397 3.94%
Total Calls26,571,461 29.80%
Total Puts30,284,287 27.28%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %76.44% 2.12%
Total Invested$234.41B 18.42%
Investors Holding3,806 3.00%

ESG Score

No data

About Cisco Systems, Inc.

CEO: Charles Robbins

Relevant Senate Committees

Joint Committee on Taxation

This committee provides critical non-partisan analysis and revenue estimates for all tax legislation. Its work directly informs and influences the tax policies that determine Cisco's corporate tax burden, R&D investment incentives, and overall financial performance.

Finance

This powerful committee controls taxation and trade policy. Changes in corporate tax rates, R&D credits, or international trade tariffs (e.g., on technology components) directly impact Cisco's profitability, global supply chain, and competitive position.

Appropriations

This committee directly allocates discretionary federal spending. Its subcommittees determine the precise budgets for federal agencies and defense programs, which are significant customers for Cisco, thus directly impacting Cisco's potential government contract revenues.

Judiciary

This committee oversees antitrust laws and intellectual property. As a large technology company, Cisco is subject to antitrust scrutiny and relies heavily on intellectual property protection. The committee's actions can directly influence market competition, M&A activity, and IP rights crucial to Cisco's business.

Armed Services

Cisco is a significant defense contractor, providing networking, cybersecurity, and collaboration tools to the Department of Defense. This committee directly authorizes the annual NDAA, which determines funding and policy for military technology and procurement, directly impacting Cisco's revenue from the DoD.

Select Committee on Intelligence

Cisco's networking equipment and cybersecurity solutions are critical infrastructure and vital for national security. Members of this committee receive classified information on global threats, cyber warfare, and intelligence initiatives, which can directly impact the demand for Cisco's security products and government contracts.

Commerce, Science, and Transportation

This committee holds vast jurisdiction over interstate commerce, telecommunications (FCC), and competition/privacy (FTC), directly impacting Cisco as a major player in networking, cybersecurity, and internet infrastructure. Regulations concerning net neutrality, data privacy, and 'Big Tech' are highly relevant.

Homeland Security and Governmental Affairs

Cisco is a major federal contractor, providing networking and cybersecurity solutions to government agencies. This committee directly influences federal procurement, cybersecurity standards for government, and regulations impacting critical infrastructure, all highly relevant to Cisco's public sector business.