Score 9 (out of 10): CISCO SYSTEMS INC poised to seasonally rally by +7.6% during the next 60 days.

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What’s Going On Here?

CISCO SYSTEM is the worldwide leader in technology that powers the Internet. Last month, the company beat earnings per share estimates by 1 cent and also lowered its 2Q revenue estimates from 7.38% growth to 4.5-6.5%. Nevertheless, the stock has been digesting this news and started to trade higher.

Why Now?

CISCO SYSTEMS INC indicates an interesting 60 days seasonal set up. During similar occasions, CISCO SYSTEMS INC shares had a median return of +7.6% – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for CISCO SYSTEMS INC received a high score of 9 (out of 10). This insight was generated with last price of 57.77.

What’s This Company About?

CISCO SYSTEMS INC is in the Networking Products business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. ‘Wall Street’ analysts think the stock price will be worth 7.3% more (average). Ticker symbol: CSCO US.

What’s My Risk / Reward and Time Horizon?

We found 60 days to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 62.16 (+7.6%) has been reached. Based on CISCO SYSTEMS INC’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 54.67 (last price at 57.77), which is equivalent to a -5.4% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

6.9% (December-2021), 9.2% (December-2020), 1.7% (December-2019), 8.3% (December-2018), 6% (December-2017), -4.2% (December-2016), 10.1% (December-2015), 11% (December-2014), 6.3% (December- 2013), 8.5% (December-2012)

Historical Chart:

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Summary:

NameCISCO SYSTEMS INC
ViewUp
Star (1 to 10)9
Target+7.6%
Time60 days
Hit Rate90%

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