CSCO Stock Surges 7.6% With A 6-day Winning Spree On Evercore Upgrade To $100

-6.84%
Downside
81.16
Market
75.61
Trefis
CSCO: Cisco Systems logo
CSCO
Cisco Systems

Cisco Systems (CSCO) – a provider of networking, collaboration, IoT, and analytics products – hit 6-day winning streak, with cumulative gains over this period amounting to a 7.6%. The company market cap has surged by about $22 Bil over the last 6 days, and currently stands at $312 Bil.

The stock has YTD (year-to-date) return of 3.1% compared to 1.9% for S&P 500. This calls for a re-evaluation of the stock’s valuation to find out whether this is an opportunity, or a trap.

What Triggered The Rally?

[1] Evercore ISI Analyst Upgrade

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  • Rating lifted from ‘In-Line’ to ‘Outperform’
  • Price target significantly increased from $80 to $100
  • Impact: Stock rose 3.2% on the day of the announcement, Increased investor confidence and trading volume

[2] Technical Breakout

  • Daily RSI momentum indicator staged a bullish breakout
  • Share price crossed above its 20-day and 50-day moving averages
  • Impact: Bullish momentum indicated by key technical indicators, Attracted momentum traders and algorithmic buying

Opportunity or Trap?

Below is our take on valuation.

There is a near-equal mix of good and bad in CSCO stock given its overall Moderate operating performance and financial condition. But keeping in mind its High valuation, we think that the stock is Unattractive (For details, see Buy or Sell CSCO).

But here is the real interesting point.

You are reading about this 7.6% move after it happened. The market has already priced in the news. To catch the next winner before the headlines, you need predictive signals, not notifications. Our High Quality Portfolio has flagged 5 new opportunities that haven not surged yet.

Returns vs S&P 500

The following table summarizes the return for CSCO stock vs. the S&P 500 index over different periods, including the current streak:

Return Period CSCO S&P 500
1D 0.4% -0.0%
6D (Current Streak) 7.6% 2.7%
1M (21D) 1.0% 0.7%
3M (63D) 11.2% 1.5%
YTD 2026 3.1% 1.9%
2025 33.5% 16.4%
2024 21.0% 23.3%
2023 9.3% 24.2%

Gains and Losses Streaks: S&P 500 Constituents

There are currently 55 S&P constituents with 3 days or more of consecutive gains and 80 constituents with 3 days or more of consecutive losses.
 

Consecutive Days # of Gainers # of Losers
3D 36 38
4D 7 24
5D 4 15
6D 6 0
7D or more 2 3
Total >=3 D 55 80

 
 
Key Financials for Cisco Systems (CSCO)

Last 2 Fiscal Years:

Metric FY2024 FY2025
Revenues $53.8 Bil $56.7 Bil
Operating Income $13.0 Bil $12.5 Bil
Net Income $10.3 Bil $10.2 Bil

Last 2 Fiscal Quarters:

Metric 2025 FQ4 2026 FQ1
Revenues $14.7 Bil $14.9 Bil
Operating Income $3.1 Bil $3.5 Bil
Net Income $2.5 Bil $2.9 Bil

While CSCO stock looks attractive given its winning streak, investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.