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Recurring revenue kept gaining traction, with security fueled by Splunk and SASE. Federal sales are expected to rebound in FY26, aided by projects like the UAE’s Stargate initiative and Saudi-based AI firm Humain.
For FY26, Cisco guided revenue of $59–$60B (vs. $56.6B in FY25) and adjusted EPS of $4.00–$4.06 (vs. $3.81 in FY25), pointing to sustained AI demand but a cautious stance given intensifying competition from Broadcom and HPE.

Cisco technical setup looks bullish at $66.56 (+0.73%). Analysts have a moderate buy rating with an average price target of $71.21. Going long, as earnings are expected to grow by 5.59% in the coming year.

Looking ahead, Cisco raised its FY25 revenue guidance midpoint by $0.5 billion to $56.3 billion and approved a $15 billion increase in share buybacks. While federal spending remains weak, enterprise and cloud investments are gaining momentum. With AI networking growth and a continued shift toward recurring revenue, Cisco is positioning itself for long-term expansion.
