Cisco Systems "outperform," target price raised

08.08.07 - Credit Suisse

NEW YORK, August 8 (newratings.com) - Analyst P Silverstein of Credit Suisse maintains his "outperform" rating on Cisco Systems Inc (CSCO). The 12-month target price has been raised from $36 to $38.

In a research note published this morning, the analyst mentions that the company has posted its F4Q07 revenues and pro forma EPS ahead of the estimates and the consensus. The upside was driven by broad-based strength across products, customers and geographical markets, as well as robust margins, the analyst says. Cisco Systems has issued its revenue guidance for FY08 and F1Q08 at roughly $39.5-$40.9 billion and $9.38 billion, respectively, and raised its long-term revenue growth guidance from 10%-15% to 12%-17%, ahead of the consensus.