#Cisco ’s AI Rally Faces a Reality Check 📊
Morgan Stanley downgraded Cisco from Overweight to Equal-weight and cut its price target from $135 to $120, arguing that much of the recent upside may already be priced in. CSCO has gained 43% over 12 months, significantly outperforming the S&P 500’s 14% rise, but the stock slipped 2.84% in the latest trending data.
The next catalyst is Cisco’s fiscal first-quarter earnings. Investors will examine AI-related orders, hyperscaler demand, backlog quality, and gross margins. Strong demand is encouraging, but lower-margin hardware sales and customer purchases brought forward ahead of price increases could challenge the growth story.
$CSCO $CSCO.US #CoinVahini #Cisco #Networking #AIInfrastructure
Morgan Stanley downgraded Cisco from Overweight to Equal-weight and cut its price target from $135 to $120, arguing that much of the recent upside may already be priced in. CSCO has gained 43% over 12 months, significantly outperforming the S&P 500’s 14% rise, but the stock slipped 2.84% in the latest trending data.
The next catalyst is Cisco’s fiscal first-quarter earnings. Investors will examine AI-related orders, hyperscaler demand, backlog quality, and gross margins. Strong demand is encouraging, but lower-margin hardware sales and customer purchases brought forward ahead of price increases could challenge the growth story.
$CSCO $CSCO.US #CoinVahini #Cisco #Networking #AIInfrastructure