By @proactive_x
Publication Date: 2026-11-03 13:11:00
Cisco Systems Inc (NASDAQ:CSCO, XETRA:CIS) strong demand supports Bank of America’s maintained “buy” rating and $150 price target, despite expected gross margin pressure from increased hardware and cloud sales.
Ahead of fiscal first-quarter 2027 results on November 12, the bank expects approximately 22% year-over-year revenue growth, with expectations largely established by management’s guidance.
Supporting its confidence beyond that quarter, approximately $6 billion in unconverted AI orders covers roughly 80% of Cisco’s $7.5 billion fiscal year 2027 AI revenue target.
Alongside that backlog, Bank of America estimates Cisco’s addressable AI systems market share, excluding optics and routing, reached 6% in fiscal year 2026, up from 3% in fiscal year 2025.
The broker expects continued momentum in switching, routing and optics to drive AI revenue above the target.
Outside AI, demand is also strengthening, with product orders excluding hyperscalers growing 25% year over…
