Cisco Systems "outperform," target price reduced

09.07.08 - RBC Capital Markets

NEW YORK, July 9 (newratings.com) - Analyst Mark Sue of RBC Capital Markets maintains his "outperform" rating on Cisco Systems Inc (CSCO). The 12-month target price has been reduced from $29 to $27.

In a research note published this morning, the analyst mentions that the company is performing better than its peers, aided by revenue diversification across several segments, market share gains and new market entry. Cisco Systems, however, now expects a recovery in the technology spending environment by 1H09, as compared to the previous projection of 2H08.