Wunderlich Cuts Cisco (CSCO) to Hold; Analyst Sees More Value in Compressed Areas
- Wall St. edges higher on tech, housing boost
- Tesla (TSLA) Adds 100-kWh Battery Option Pack to Model S and Model X
- U.S. new home sales race to near nine-year high
- Chesapeake Energy (CHK) Director Buys 350K Shares
- After-Hours Stock Movers 08/23: (URRE) (LCI) (OSUR) Higher; (LZB) (DY) (INTU) Lower (more...)
Wunderlich Securities downgraded Cisco (NASDAQ: CSCO) from Buy to Hold with a price target of $24.00 (from $25.00). Analyst Matthew S. Robison said he sees more value in other tech stocks that have fallen.
"We see more opportunity in recent valuation compression among small cap/ growth stocks in networking than the implied haven of the Cisco (CSCO) market cap, but our downgrade is more than a trading call. We came away from industry interviews in recent weeks with the view that the market has less interest in the Cisco product suite than in past transitions. We see the range of alternatives for network automation/software defined networking (SDN), network function virtualization (NFV), and cloud services as dilutive to the Cisco installed base upgrade opportunity. We have trimmed our forecast moderately and with the adjustment we have reduced our 12-month target to $24 from $25. Because we view Cisco shares to be close to fully valued, we are downgrading to Hold from
Buy," said Robison.
Shares of Cisco closed at $22.85 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Needham & Company Raises price Target on Daktronics (DAKT) to $9.50 Following Solid 1Q
- Oppenheimer Remains Bullish on Workday (WDAY) Ahead of 2Q Report
- BMO Capital Cuts Price Target as Tokai Pharma (TKAI) Stops ARMOR2 Trial Enrollment
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View, Analyst PT Change, Downgrades, Hot Comments, Hot Downgrades
Related EntitiesWunderlich Securities
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!