HSBC Downgrades Cisco Systems Stock to Hold as Analyst Cites Decelerating Revenue Growth

Key Stats for Cisco Systems Stock

• Price change for Cisco Systems stock in the last 6 months: 45%
• $CSCO Stock Price as of Aug. 14: $112
• 52-Week High: $130
• $CSCO Stock Price Target: $135

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What Happened?

Cisco (CSCO) stock slid 2% on Friday after HSBC downgraded the networking equipment maker from Buy to Hold and cut its price target to $120 from $137.

Analyst Abhishek Shukla said the move reflects valuation concerns and a lack of near-term catalysts, even though the company’s Q4 results were strong.

The numbers themselves looked solid.

• Cisco’s non-GAAP operating profit came in 6% above consensus,
• Non-GAAP earnings per share reached $1.22, up 23.2% year-over-year and 4% to 5% ahead of estimates.
• Cisco also guided to fiscal 2027 revenue of $72.8 billion, representing 15% growth and well above the pre-results consensus of…