GO
Loading...

Cisco Shares: Here's the 'Right' Price Target

Shares of Cisco are near a 52-week low, despite inching upward Wednesday. What's the outlook for the network equipment maker?

Jim Kelleher, director of research and senior analyst at Argus Research, offered his analysis.

Cisco's recent financial disappointments stemmed from "a failure to monitor its own business," Kelleher said. Company managment didn't see "the competitive losses they were facing," including a burgeoning set-top box threat from Motorola.

The "right price" for Cisco shares is "mid-20s," he believes, noting that the stock is down approximately 20 percent year-to-date, as compared with its peer group ("up mid-teens") and the Technology SPDR ("up about 6 percent.")

______________________________
CNBC Data Pages:

______________________________

______________________________
Disclosures:

Kelleher owns a "small position" in Cisco. Kelleher's brother is a Cisco employee.

Disclaimer