$CSCO with a bullish outlook following its earnings #StocksThe PEAD projected a bullish outlook for NASDAQ:CSCO after a positive over reaction following its earnings release placing the stock in drift B with an expected accuracy of 60%.
1CSCO trade ideas
Cisco (CSCO): Waiting for an entry after earningsCisco NASDAQ:CSCO recently reported its Q1 earnings, and the results exceeded expectations. With a reported revenue of $13.841 billion versus the estimated $13.775 billion, and earnings per share (EPS) coming in at $0.91 against an expected $0.872, the company delivered a positive surprise. This marks the ninth consecutive quarter where Cisco has beaten revenue estimates.
On the technical side, the previously bearish outlook has been invalidated. We have updated our chart, adjusting the wave (4) bottom to align with the lower trend channel. After a remarkable 33% rally in just 100 days, the stock is due for a “healthy” pullback, potentially targeting the range high of $52-$48. However, this will heavily depend on further market reactions to the earnings report.
From a broader perspective, we are now targeting a push towards or even above the upper trend channel for the wave 3 and subsequently the wave (5). However, these moves are long-term prospects and will take time to materialize.
The focus remains on recurring revenue, which has grown significantly year-over-year, reaching $29.6 billion in the fourth quarter. While recurring revenue from subscriptions is a bullish factor, potential concerns regarding company spending in the second half of 2024 need to be monitored.
We are closely observing the lower time frame for potential entry opportunities, keeping an eye on the anticipated pullback to confirm healthy growth momentum.
CiSCO: 53 | $0.07 to $80.0 Reset to $8.0a look into the HYPE and Revolutionizing Technology back in the day
when it was DOMiNATiNG connectivity security and hardware paraphernalias
TRENDS remains the same from Blockchain to Ai to and maybe ALiEN technology laterf
i guess this is where the mother of 1,000x 100,000% return
CSCO buyingThe arrow is exchanging roles and its target is the channel ceiling. If the channel is breached upwards, its target will be 63 or more.
CSCO Cisco Systems Options Ahead of EarningsIf you haven`t bought the dip on CSCO:
Now analyzing the options chain and the chart patterns of CSCO Cisco Systems prior to the earnings report this week,
I would consider purchasing the 57.5usd strike price Calls with
an expiration date of 2024-11-15,
for a premium of approximately $1.87.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
What Cisco’s Technicals and Fundamentals Say Ahead of EarningsTech giant Cisco Systems NASDAQ:CSCO will report fiscal Q1 earnings next week at a time when its stock is up some 30% since August, but still below levels seen in both the 2021 and 2000 stock-market booms. What does the company’s technical and fundamental analysis look like heading into next Wednesday’s scheduled report date?
Let’s check it out:
Cisco’s Fundamental Analysis
CSCO -- which sells systems for networking, security and cloud services -- plans to report earnings after the bell next Wednesday (Nov. 13).
As I write this on Thursday afternoon (Nov. 7), analysts are expecting the company to post $0.87 in adjusted earnings per share on $13.75 billion of revenue.
That would represent a 2.2% decline from the $0.89 in adjusted EPS that CSCO reported in the year-ago period, as well as a 6% drop year over year in revenues.
The stock currently trades at 16x estimated forward earnings vs. the tech industry’s 28x average.
CSCO also currently pays stockholders $1.60 per share in annual dividends (a roughly 2.85% dividend yield). Short interest stands at 1.43% of the stock's total float, which is very low by market standards.
Meanwhile, Cisco generated $10.9 billion of operating cash flow and $10.21 billion of free cash flow in the 12 months ended July 27. Those look like fairly beefy numbers, and CSCO used $6.8 billion of that to repurchase common stock over the past 12 months, plus $6.4 billion to pay out dividends.
As for Cisco’s balance sheet, the company had $18.6 billion in cash as of July 27, along with $3.4 billion of inventories and $38.9 billion in current assets.
That measured up against $40.6 billion in current liabilities, excluding $11.4 billion in debt maturing within 12 months. Those numbers put the firm's current and quick ratios at 0.96 and 0.87, respectively.
Such ratios might not look so hot to many investors, but Cisco’s list of liabilities includes $16.3 billion in unearned revenue -- something Wall Street generally doesn’t view as a true financial obligation.
Once adjusted for unearned revenue, Cisco’s current and quick ratios improve to 1.58 and 1.46, which many would say isn’t bad at all.
In fact, of the 18 sell-side analysts I found that cover Cisco, 14 have raised their earnings estimates for next weeks’ results since the current quarter began.
Cisco’s Technical Analysis
Here’s Cisco’s daily chart going back a little more than a year:
Readers will see quite a lot going on here, such as a giant cup pattern that stretches September 2023 to the present time (the light-blue line in the chart above).
This cup hasn’t yet added a handle, which such patterns don’t always produce. But when they do, the stock's pivot point traditionally moves from the pattern’s left-side top to its right-side top.
Readers will also see that the cup pattern above displays a 100% Fibonacci retracement (denoted by the gray boxes above) of Cisco’s September 2023-to-August 2024 sell-off.
A Raff Regression model (the shaded red and blue fields to the chart’s right) also illustrates this retracement move.
The multiple orange ovals on the chart show areas where Cisco saw price gaps. Notably, the latest such gap from early November (denoted with the oval all the way to the chart’s right) has not yet filled.
That fact and the stock’s 100% Fibonacci retracement suggest a potentially imminent addition of a handle to Cisco’s cup pattern.
Additionally, readers will note that CSCO’s Relative Strength Index (the gray line at the chart’s top) borders on being technically overbought. That’s another sign of the stock forming a possible handle.
Lastly, Cisco’s daily Moving Average Convergence Divergence -- or “MACD,” denoted by the black and gold lines and blue bars at the chart’s bottom -- looks somewhat noncommittal.
CSCO’s 12-day Exponential Moving Average (or “EMA,” denoted with a black line above) is attempting to cross over its 26-day EMA, marked with a gold line. That’s typically a bullish technical indicator.
However, the histogram of Cisco’s 9-day EMA (the blue bars above) is currently neither in positive nor negative territory.
Add it all up and CSCO looks like it’s currently working with a $58 pivot point, which also happens to be the 100% Fibonacci retracement level.
Should the stock’s chart develop a handle from here, Cisco’s pivot would likely remain at $58 given that the cup pattern’s two sides are of equal height. But if CSCO rallies a bit more ahead of developing a handle, its pivot point would typically rise.
(Moomoo Markets Commentator Stephen “Sarge” Guilfoyle had no position in CSCO as of the time of writing this column.)
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CSCO Stock: How To Find This Stock Using This 3 Step SystemI am trying to find a good stock to buy
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It was when I was scanning for stock to buy
using about 5 indicators
I found this one NASDAQ:CSCO
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CSCOThe CSCO stock is very promising for investors, with excellent indicators. It has formed a symmetrical triangle on the weekly chart, which has been strongly broken out of after a significant accumulation phase at $55.95. Currently, we are at a resistance zone where we expect a correction. There are two scenarios: either a correction to the upper boundary of the triangle, followed by price action that leads to a strong upward movement towards the target, or a deeper correction to the demand zone that coincides with the 200-day moving average on the daily chart, from which we could see strong momentum pushing the price up to $70.50I hope for the second scenario to occur, as it would provide an excellent entry point close to the stop-loss, which is set at a close below $43.
CSCO LONGCisco breakout should hit 58.11 at least. before the apex of the ascending wedge. sitting right on the LVN for the range.
Bullflag and a zone on CSCO! 🔉Sound on!🔉
Thank you as always for watching my videos. I hope that you learned something very educational! Please feel free to like, share, and comment on this post. Remember only risk what you are willing to lose. Trading is very risky but it can change your life!
Cisco Systems Inc | Chart & Forecast SummaryKey Indicators on Trade Set Up in General
1. Push Set Up
2. Range Set up
3. Break & Retest Set Up
Active Sessions on Relevant Range & Elemented Probabilities;
* Asian(Ranging) - London(Upwards) - NYC(Downwards)
* Weekend Crypto Session
# Trend | Time Frame Conductive | Weekly Time Frame
- General Trend
- Measurement on Session
* Support & Resistance
* Trade Area | Focus & Motion Ahead
# Position & Risk Reward | Daily Time Frame
- Measurement on Session
* Retracement | 0.5 & 0.618
* Extension | 0.786 & 1
Conclusion | Trade Plan Execution & Risk Management on Demand;
Overall Consensus | Buy
CSCO short term short scalp with putsSomeone once told me never to short a stock on a bull run. My algo at that time said the stock was historically overbought, so of course I listened to the algo. I made 42% the next day. I can't say who was right or who was wrong generally, but I usually listen to the algo and I'm doing it again.
My algo tells me CSCO has been overbought for 6 days (including at this point today). It has only stayed overbought for that long 3 times in the last 8 years, and the most recent time was March of '21. I'm betting that this 6 up days in a row rally takes at least a one day break in the next 1 or 2 trading days, possibly as early as today, which is why I didn't wait until the end of the day to buy.
NASDAQ:AVGO had a similar but even more historically extreme setup but I didn't find it until after the market closed last night and it opened sharply lower, so I missed my chance there.
I went long the Oct 4 $52 puts that cost me .25 with the stock at 52.99 and I will sell as soon as they are profitable at the end of a trading day. Maybe sooner if a drop happens this afternoon.
This is market based edutainment and involves a system still undergoing testing, so it is not intended as investment advice. Particularly the short date on the expiration makes it a somewhat riskier trade.
$CSCO Can Go Either WayNASDAQ:CSCO is currently forming a double inside day.
If price goes above previous daily high of $49.15 , profit target is $49.65 and then $50.04 .
If price goes below previous daily low of $48.26 , profit target is the 0.618 mark in the middle of the gap at $46.99 .
Potential Options Contracts:
Calls
$50c 9/20 @ $0.25 | Vol. 529, OI. 23,104
$50c 10/18 @ $0.65 | Vol. 584, OI. 16,867
Puts
$48p 9/20 @ $0.34 | Vol. 139, OI. 8,470
$47.5p 10/18 @ $0.73 | Vol. 510, OI. 7,020
$CSCO Faked Breakdown!NASDAQ:CSCO had two back-to-back inside days 9/9 and 9/10 and on 9/11 broke the previous day low (9/10) but was a fake breakdown and began to shoot up after 11:00am.
You're currently viewing NASDAQ:CSCO on the 65minute chart.
There are 6 bars per day on a 65m chart.
The stock is up 3.74% since Wednesday, 9/11 @ 11:00am.
I didn't take the trade but the calls are up from my previous NASDAQ:CSCO post:
NASDAQ:CSCO 50c 9/20 (0.25 -> 0.37) +48%
NASDAQ:CSCO 50c 10/18 (0.65 -> 0.90) +39%
Price can either consolidate around the 0.28 fib, go higher to $50 or retrace back to 0.382 fib.
Rally and Pullback in Cisco SystemsCisco Systems rallied on strong results last month. Now, after a pullback, some buyers may see a potential opportunity.
The first pattern on today’s chart is the bullish gap after earnings and revenue beat estimates. (Management also announced plans to cut the workforce by 7 percent.)
Next, $48.16 was the low from that session. Notice how CSCO pulled back to that area on Friday and Monday. Has new support been established at higher levels?
Third, the stock is attempting to climb above its 200-day simple moving average.
Fourth, the recent surge broke a falling trendline in place since late 2023.
Finally, stochastics have reached an oversold condition.
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CSCO price target to 53Csco is already starting its move to cover short at 53. The stock is showing strong bullish momentum. I see a potential upside.
CSCO Bullish Momentum Cisco finds support from accumulated volume at $48.53 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock has medium daily movements and this gives medium risk. There is a buy signal from a pivot bottom found 13 days ago
##CSCO
BUY STOP
Timeframe: weekly
Entry Point: 50.20
Take Profit: 52.30
Stop Loss: 49.00
Key levels: 43.60, 45.30, 48.60, 48.80, 49.00, 49.50, 50.20, 52.30
CSCO Layoffs Positive for the StockNASDAQ:CSCO gapped up on its earnings report even though the company has failed to reinvent and failed to change to HyperAutomation in its IT departments quickly enough.
News of layoffs is considered a positive action on the part of the officers of the corporation who are responsible first and foremost to INVESTORS and cutting costs so that the company can slowly regain revenues and earnings for dividends for INVESTORS.
Delaying layoffs, which may be kind and thoughtful for employees, is a negative for INVESTORS, namely the giant Buy-Side Institutions, because it extends and worsens the financial condition of the company.
As more and more companies buy robots/robotics and AI technology, these will reduce payroll expenses and help to control internal business inflation, which is caused mostly by rising payroll expenses with declining productivity from the workforce of the company.
This is always misunderstood by retail groups who believe layoffs are a bad thing for the "economy." The world of commerce and the financial markets is not a fair or kind place.
Cisco's Beats Earnings Report, Layoffs, and the Road AheadCisco Systems (NASDAQ: NASDAQ:CSCO ) has made headlines again, not just for its fiscal fourth-quarter results, but also for a significant shift in its workforce strategy. The networking and technology giant has announced a 7% reduction in its global workforce, marking a continuation of cost-cutting measures that began earlier this year. This move comes as Cisco pivots toward higher-growth areas like cybersecurity and artificial intelligence (AI), reflecting the company’s strategic focus on future-proofing its business in an evolving tech landscape.
Earnings Beat Expectations Despite Revenue Dip
Cisco's fiscal fourth-quarter results revealed a mixed bag of figures. The company reported revenue of $13.6 billion, representing a 10% decline year-over-year. However, the dip wasn't as severe as analysts had anticipated, with earnings per share (EPS) coming in at $0.54, down 44% but still ahead of expectations. This resilience is particularly notable given the ongoing challenges in Cisco's core networking business, which has faced pressure as enterprise customers increasingly migrate their computing operations to the cloud.
The company’s revenue projection for fiscal 2025 is set between $55 billion and $56.2 billion, with an EPS forecast ranging from $1.93 to $2.05. Although these numbers fall slightly below Wall Street’s estimates, Cisco’s focus on subscription revenue, particularly from its recent $28 billion acquisition of cybersecurity firm Splunk, is a positive sign. Subscription revenue alone contributed $27.4 billion, accounting for more than half of the company’s total sales.
Workforce Reductions
The decision to cut 7% of its workforce, months after a 5% reduction earlier this year, underscores Cisco's commitment to realigning its resources toward sectors with higher growth potential. The layoffs, while significant, are part of a broader strategy to invest in key areas such as cybersecurity and AI, where the company sees substantial long-term opportunities.
This strategic pivot is crucial as Cisco (NASDAQ: NASDAQ:CSCO ) navigates a rapidly changing market environment. The company’s investments in AI and cybersecurity are not just about diversification but also about strengthening its competitive edge in industries that are expected to see explosive growth in the coming years. By reallocating resources from traditional networking to these high-growth areas, Cisco (NASDAQ: NASDAQ:CSCO ) is positioning itself to capitalize on emerging trends that are reshaping the technology landscape.
Market Reaction: A Positive Turn
Investors responded positively to the earnings report and the strategic realignment, with Cisco’s stock rising more than 7% in Thursday's Market trading. The share price, which has struggled throughout the year, showed signs of recovery, reflecting renewed investor confidence. However, Cisco's stock chart reveals a complex picture. The shares recently formed a head and shoulders pattern, a technical formation that often signals a potential market top. Despite this, the post-earnings rally suggests that market sentiment may be shifting in favor of the bulls, especially as trading volumes remain lackluster, indicating a lack of conviction behind the previous downward move.
Investors will closely monitor key resistance levels for Cisco shares. Selling pressure may arise around $48.50, $50, $52.50, and potentially up to $58, where the "head" of the head and shoulders pattern is situated. A close above this level could invalidate the bearish formation, allowing for further gains, supported by a Relative Strength Index (RSI) of 63, which suggests potential growth for Cisco (NASDAQ: NASDAQ:CSCO ) stock.
The Road Ahead
Cisco's latest moves highlight its proactive approach to navigating a challenging and competitive market. By doubling down on high-growth sectors like cybersecurity and AI, the company is not just cutting costs but also strategically positioning itself for future success. As Cisco continues to adapt to market demands and technological shifts, its ability to execute on these strategies will be key to maintaining its leadership position in the tech industry.
The road ahead for Cisco may be fraught with challenges, but with its focused strategy and recent earnings beat, the company is well-positioned to weather the storm and emerge stronger on the other side. Investors and industry observers alike will be closely monitoring Cisco’s next moves as it continues to redefine its business in the face of rapid technological change.
Cisco's Next Chapter Overcoming Challenges Seizing OpportunitiesCisco Systems Inc., a global leader in networking and IT solutions, is undergoing a significant restructuring to navigate the challenging economic landscape and pivot towards higher-growth segments. The company recently announced a major layoff affecting 7% of its global workforce, signaling a shift in strategy.
Financial Performance:
Despite a 10% year-over-year revenue decline to $13.6 billion in its fiscal fourth quarter, Cisco exceeded analyst expectations. Earnings per share (EPS) dipped by 44% to $0.54, but the figures were better than projected, offering some relief to investors.
Strategic Shift:
Cisco’s acquisition of Splunk in March has strengthened its position in the cybersecurity market. The company is focusing on software and security solutions, aiming for higher recurring revenue and reduced reliance on traditional hardware. Cisco's investments in AI and automation are key to its future growth.
Market Reaction:
The market reacted positively to Cisco’s earnings announcement and restructuring plan, with the stock surging in after-hours trading. Investors are optimistic about Cisco's ability to address current challenges and position itself for future success.
5G Ecosystem Role:
Cisco is playing a crucial role in the 5G ecosystem. The company’s strategy includes:
[
Core Network Transformation: Solutions for building and operating 5G core networks.
RAN Solutions: Collaborations with vendors to provide orchestration and automation platforms.
Edge Computing: Investments to enable low-latency applications.
Security: Robust solutions to protect against cyber threats.
Challenges and Opportunities:
The 5G market offers significant opportunities but also poses challenges such as intense competition, complex deployments, and proving ROI to service providers. Cisco's focus on end-to-end solutions, partnerships, and R&D investments is critical to staying ahead.
Conclusion:
Cisco's future hinges on a balancing act between cost-cutting and innovation. The company's ability to adapt to industry shifts, including the rise of 5G and AI, while managing economic and supply chain challenges, will be crucial for long-term success.
CSCO Cisco Systems Options Ahead of EarningsIf you haven`t bought the dip on CSCO:
Now analyzing the options chain and the chart patterns of CSCO Cisco Systems prior to the earnings report this week,
I would consider purchasing the 45usd strike price Puts with
an expiration date of 2024-8-16,
for a premium of approximately $1.41.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Cisco Stock Faces Bearish Trends Ahead of Q4 Earnings ReportsOverview
As Cisco Systems Inc. (NASDAQ: NASDAQ:CSCO ) prepares to report its Q4 earnings, the stock faces mounting bearish pressure. Trading at $45.20, Cisco's shares have struggled to gain traction, falling below key technical indicators that suggest a continued downward trend. Despite the grim outlook, some analysts see potential for a rebound, with price targets implying a possible 17.36% upside. Here's a closer look at what might be in store for Cisco and its investors.
Bearish Technical Indicators:
Cisco's stock has been on a downward trajectory, declining 16.18% over the past year and 10.58% year-to-date. The share price is currently below its five-, 20-, and 50-day exponential moving averages (EMAs), signaling persistent selling pressure. This consistent positioning below key EMAs is often a red flag for investors, indicating that the stock could continue to face headwinds in the near term.
Further reinforcing the bearish outlook, Cisco's share price is also below its eight-day simple moving average (SMA) of $45.36, 20-day SMA of $46.69, and 50-day SMA of $46.65. The 200-day SMA stands at $48.70, suggesting that the stock has been in a prolonged downtrend and is struggling to break out of it.
Key Technical Signals:
The Moving Average Convergence Divergence (MACD) indicator is at a negative 0.24, highlighting a bearish signal. The MACD, often used to gauge momentum, suggests that Cisco's stock is losing steam, and the bearish trend may continue.
The Relative Strength Index (RSI) of 40.79 indicates that the stock is approaching oversold territory, but it's not yet at a level where a reversal is imminent. An RSI below 30 typically signals that a stock is oversold and might experience a rebound, but Cisco's current RSI suggests that there is still room for further declines.
The Bollinger Bands, which measure volatility and relative price levels, range from $44.46 to $49.07. Cisco's share price is currently below the lower band, confirming the bearish sentiment and signaling that the stock could continue to face downward pressure.
Analyst Sentiment: A Glimmer of Hope?
Despite the overwhelmingly bearish technical indicators, analysts maintain a neutral rating on Cisco (NASDAQ: NASDAQ:CSCO ), with a consensus price target of $56.39. This suggests a potential upside of 17.36%, indicating that some analysts believe Cisco (NASDAQ: NASDAQ:CSCO ) may have the ability to rebound in the coming months.
Recent ratings from firms like Piper Sandler, Barclays, and Wells Fargo imply that Cisco (NASDAQ: NASDAQ:CSCO ) could see its stock price rise to an average target of $53, which would represent a significant recovery from its current levels. However, this optimistic outlook is tempered by the technical indicators, which continue to suggest that the stock is under considerable selling pressure.
Earnings Report: A Potential Catalyst?
Cisco (NASDAQ: NASDAQ:CSCO ) is set to report its Q4 earnings after market hours on Wednesday, with Wall Street expecting 85 cents in earnings per share (EPS) and $13.54 billion in revenue. This earnings report could serve as a crucial turning point for the stock. If Cisco exceeds expectations, it might help to reverse the bearish sentiment and provide the momentum needed for a recovery. On the other hand, if the earnings fall short, it could reinforce the negative outlook and push the stock further down.
Conclusion:
Cisco Systems (NASDAQ: NASDAQ:CSCO ) is currently navigating a challenging market environment, with strong bearish signals dominating its technical landscape. However, the upcoming Q4 earnings report could be a critical moment for the company, offering a potential catalyst for change. Investors should keep a close eye on the earnings results and any forward guidance provided by the company, as these will likely influence the stock's trajectory in the near term. While analysts see potential for a rebound, the technical indicators suggest that caution is warranted. Will Cisco manage to defy the odds and stage a comeback, or will the bearish trend continue to weigh on its shares? The answer may lie in the numbers revealed on Wednesday.
Cisco - let's go back to memory laneDid Cisco and Sisqo peak at the same time?
Remember that shitty song the Thong Song? Yeah, me neither. Kidding, that 2000 delight is now in your head and you have yours truly to thank. You’re welcome.
Ironically, these two close names share a brief history of literally peaking at the same time, yet to quickly fade. Cisco created bag holders for years to come while Sisqo left spring breakers getting friend zoned without that musical gem to get the ladies to go wild. Looking back, you also had notable dirt bag, Joe Francis, getting rich off young women with his infamous Girls Gone Wild videos. Imagine loading up on Cisco stock prior to peak, heading to Cancun or another shitty spring break destination with your boys. Tops flying off the ladies without a cell phone in sight. You didn’t know it yet, but this as good as it gets. What a time to be alive.
I’m going back to the late 90’s on this chart so we can see the destruction firsthand. You can see a Head and Shoulders here which is cause for concern. On a yearly chart, it’s below all major moving averages (20, 50, and 200). All in all, the technicals don’t look good but this a fundamental story.
Fundamentally, you have a, dare I say it, blue chip stock that you can buy on a dip. The company pays a nice dividend, participates in buybacks and has a healthy balance sheet. Cisco hasn’t performed well post earnings but I’m okay with getting paid while I wait, especially with interest rate cuts in the near future. You have a few scenarios here, economy stays wrong with little to no interest rate cuts and you get a rise in share price. Or, economy takes a dump and you get multiple interest rate cuts and investors come to Cisco for yield and a safe haven. Lastly, market takes a complete dive and I would rather be in value than growth.
I am not an attorney, accountant or financial advisor, nor am I holding myself out to be, and the information contained in this post is not a substitute for financial advice from a professional who is aware of the facts and circumstances of your individual situation.
