In the third quarter, Cisco Systems (CSCO, Financial) reported solid performance in gross margins across different sectors. On a non-GAAP basis, the total gross margin reached 68.6%. Breaking it down further, the product gross margin was 67.6%, while the services gross margin stood at 71.3%. These figures show slight improvements when compared to the same period in the previous fiscal year, where the margins were 68.3% for total gross, 66.9% for product, and 71.6% for services.
Additionally, regional gross margins also demonstrated strength. The Americas reported a gross margin of 67.7%, the EMEA region had 71.2%, and APJC recorded 67.2%. These numbers underscore the company's robust financial performance across its global operations during the quarter.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 17 analysts, the average target price for Cisco Systems Inc (CSCO, Financial) is $68.44 with a high estimate of $80.00 and a low estimate of $55.43. The average target implies an upside of 11.66% from the current price of $61.29. More detailed estimate data can be found on the Cisco Systems Inc (CSCO) Forecast page.
Based on the consensus recommendation from 23 brokerage firms, Cisco Systems Inc's (CSCO, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Cisco Systems Inc (CSCO, Financial) in one year is $55.64, suggesting a downside of 9.22% from the current price of $61.29. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Cisco Systems Inc (CSCO) Summary page.
