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With a market cap of $217 billion, Cisco Systems, Inc. (CSCO) designs and sells Internet Protocol-based networking and other products for the communications and information technology industry. The San Jose, California-based company's operations span the Americas, Europe, EMEA, and the Indo-Pacific.
The tech giant is expected to release its Q3 2025 earnings on Wednesday, May 21. Ahead of this event, analysts expect CSCO to post adjusted earnings of $0.75 per share, reflecting a growth of 4.2% from $0.72 per share reported in the same quarter last year. In addition, the company has surpassed Wall Street's bottom-line estimates in each of the past four quarters.
Meanwhile, for fiscal 2025, analysts forecast Cisco Systems to report an adjusted EPS of $3.07, marking a 1.6% decline from $3.12 reported in fiscal 2024. However, in fiscal 2026, its earnings are expected to rebound 5.9% year-over-year to $3.25 per share.
CSCO stock has soared 18.8% over the past 52 weeks, notably outperforming the S&P 500 Index’s ($SPX) 8.4% gain and the Technology Select Sector SPDR Fund’s (XLK) 4.2% returns during the same period.
Cisco Systems’ stock prices rose 2.1% in the trading session after it released its Q2 2025 results on Feb. 12. The company reported revenue of $14 billion, a 9.4% increase from the prior-year quarter, with the EMEA sales growing 11% year-over-year. Revenue also surpassed forecasts of $13.9 billion. Adjusted EPS stood at $0.94, marking an 8% year-over-year increase. It also posted AI Infrastructure orders exceeding $350 million.
Additionally, CSCO announced a 3% increase in its quarterly dividend, raising it to $0.41 per share. Looking ahead to fiscal 2025, the company expects revenue to range between $56 billion and $56.5 billion, with adjusted EPS projected between $3.68 and $3.74.
Analysts' consensus view on CSCO stock remains cautiously optimistic, with a "Moderate Buy" rating overall. Out of 20 analysts covering the stock, opinions include 10 "Strong Buys," two "Moderate Buys," and eight "Holds.” Its mean price target of $70.11 suggests a 23.3% upside potential from current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
