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Cisco Systems (CSCO) closed the most recent trading day at $46.79, moving -0.11% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.91%. Elsewhere, the Dow saw an upswing of 0.85%, while the tech-heavy Nasdaq appreciated by 1.51%.

Prior to today's trading, shares of the seller of routers, switches, software and services had lost 3.9% over the past month. This has was narrower than the Computer and Technology sector's loss of 4.63% and the S&P 500's loss of 4.2% in that time.

The investment community will be paying close attention to the earnings performance of Cisco Systems in its upcoming release. The company is slated to reveal its earnings on May 15, 2024. The company's earnings per share (EPS) are projected to be $0.83, reflecting a 17% decrease from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $12.47 billion, showing a 14.4% drop compared to the year-ago quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.68 per share and revenue of $53.04 billion, indicating changes of -5.4% and -6.94%, respectively, compared to the previous year.

Any recent changes to analyst estimates for Cisco Systems should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.79% decrease. Cisco Systems is currently a Zacks Rank #4 (Sell).

Looking at its valuation, Cisco Systems is holding a Forward P/E ratio of 12.74. This denotes a discount relative to the industry's average Forward P/E of 13.78.

One should further note that CSCO currently holds a PEG ratio of 2.3. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Computer - Networking industry was having an average PEG ratio of 1.15.

The Computer - Networking industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 78, finds itself in the top 31% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.