Cisco Systems (CSCO) reported $15.2 billion in revenue for the quarter ended July 2023, representing a year-over-year increase of 16%. EPS of $1.14 for the same period compares to $0.83 a year ago.
The reported revenue represents a surprise of +1.04% over the Zacks Consensus Estimate of $15.05 billion. With the consensus EPS estimate being $1.06, the EPS surprise was +7.55%.
While investors closely watch year-over-year changes in headline numbers — revenue and earnings — and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company’s underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock’s price performance.
Here is how Cisco performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Remaining Performance Obligations (RPO) – Total: $34.87 billion versus $36.37 billion estimated by two analysts on average.
- Revenue- Products: $11.65 billion versus $11.44 billion estimated by nine analysts on average. Compared to the year-ago quarter, this number represents a +20.3% change.
- Revenue- Services: $3.55 billion versus $3.57 billion estimated by nine analysts on average. Compared to the year-ago quarter, this number represents a +4.1% change.
- Revenue- Product-Optimized Application Experiences: $214 million compared to the $208.93 million average estimate based on eight analysts. The reported number represents a change of +15.7% year over year.
- New Products- End-to-End Security: $987 million versus $1.02 billion estimated by eight analysts on average. Compared to the year-ago quarter, this number represents a +0.3% change.
- Revenue- Product-Internet for the Future: $1.30 billion versus the eight-analyst average estimate of $1.43 billion. The reported number represents a year-over-year change of +3.3%.
- Revenue- Product-Secure, Agile Networks: $8.13 billion compared to the $7.68 billion average estimate based on eight analysts. The reported number represents a change of +33.3% year over year.
- Revenue- Products-Collaboration: $1.02 billion versus the eight-analyst average estimate of $1.08 billion.
- Revenue- Product-Other: $2 million versus the seven-analyst average estimate of $2.90 million. The reported number represents a year-over-year change of -33.3%.
- Non-Gaap Gross profit- Service: $2.40 billion versus the six-analyst average estimate of $2.45 billion.
- Non-Gaap Gross profit- Product: $7.63 billion versus the six-analyst average estimate of $7.33 billion.
View all Key Company Metrics for Cisco here>>>
Shares of Cisco have returned +4.1% over the past month versus the Zacks S&P 500 composite’s -1.4% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
Top 5 ChatGPT Stocks Revealed
Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion.
Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.”
Download Free ChatGPT Stock Report Right Now >>
Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Image and article originally from www.nasdaq.com. Read the original article here.