Cisco Systems: Piper Sandler Raises PT to $70, Maintains Neutral Rating

Cisco Systems: Piper Sandler Raises PT to $70, Maintains Neutral Rating

Piper Sandler has raised its price target for Cisco Systems (NASDAQ: CSCO) to $70.00, from a previous target of $65.00, while maintaining a Neutral rating on the technology company. The new price target is within the analyst range of $55-$80, reflecting Cisco's strong performance and market position.

The research firm attributed the upward revision to Cisco's robust financial performance and strategic initiatives. Over the past year, Cisco has demonstrated remarkable strength, with a 115% return on its stock. According to InvestingPro analysis, the company maintains impressive gross profit margins of 85.1%.

Piper Sandler cited Cisco's focus on innovation and digital transformation as key drivers for the increased valuation. The company's AI and automation initiatives, including Cisco DNA Center and Cisco Meraki, have contributed to solid revenue growth of 18% over the last twelve months. The research firm also noted that Cisco's overall financial health score is "GOOD," suggesting strong operational execution.

The price target increase was also partially attributed to a lower tax rate in the firm's discounted cash flow model. Piper Sandler expressed confidence that Cisco's strategic focus on innovation and digital transformation will enable the company to capitalize on heightened demand from existing and prospective customers.

In other recent news, Cisco Systems reported impressive financial results for the first quarter of fiscal year 2026, exceeding Wall Street’s expectations. The company achieved an earnings per share (EPS) of $0.45, surpassing the anticipated $0.40 by 25%. Revenue figures were also strong, reaching $16.3 billion, which was 5.8% higher than the projected $15.4 billion. These results indicate a robust start to the fiscal year for Cisco. The financial performance reflects positively on the company’s operational efficiency and market position. Analysts and investors have shown enthusiasm for the company’s outlook, as indicated by these figures.

References:
[1] https://in.investing.com/news/analyst-ratings/doximity-stock-price-target-raised-to-69-by-piper-sandler-on-ai-innovation-93CH-4954521