Cisco Systems, Inc. designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company also offers switching portfolio encompasses campus switching as well as data center switching; enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure, and reliable connectivity to campus, data center and branch networks; wireless products include wireless access points and controllers; and compute portfolio including the cisco unified computing system, hyperflex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization. In addition, it provides Internet for the future product consists of routed optical networking, 5G, silicon, and optics solutions; collaboration products, such as meetings, collaboration devices, calling, contact center, and communication platform as a service; end-to-end security product consists of network security, cloud security, security endpoints, unified threat management, and zero trust; and optimized application experiences products including full stack observability and network assurance. Further, the company offers a range of service and support options for its customers, including technical support and advanced services and advisory services. It serves businesses of various sizes, public institutions, governments, and service providers. The company sells its products and services directly, as well as through systems integrators, service providers, other resellers, and distributors. Cisco Systems, Inc. has strategic alliances with other companies. Cisco Systems, Inc. was incorporated in 1984 and is headquartered in San Jose, California.

Cisco Systems, Inc.

Okta OKTA is set to release second-quarter fiscal 2026 results on Aug. 26.
Okta anticipates non-GAAP earnings in the range of 83-84 cents per share in the to-be-reported quarter. Revenues are expected to be in the range of $710-$712 million, indicating growth of 10% year over year.
The Zacks Consensus Estimate for earnings has remained steady at 84 cents per share over the past 30 days, indicating year-over-year growth of 16.7%. The consensus mark for revenues is pegged at $711 million, indicating an increase of 10.1% from the year-ago quarter’s reported figure.
Okta’s earnings beat the Zacks Consensus Estimate in all the trailing four quarters, with the average earnings surprise being 13.53%.
Okta, Inc. Price and EPS Surprise
Let’s see how things have shaped up for Okta prior to this announcement:
Factors to Note for Okta’s Q2
OKTA’s expanding product portfolio, especially in security and identity governance, is expected to have helped it win clients, driving top-line growth in the to-be-reported quarter. It exited first-quarter fiscal 2026 with roughly 20,000 customers, reflecting strong growth prospects for subscription revenues. Customers with more than $100 thousand in Annual Contract Value increased by 70 sequentially to 4,870.
Continued momentum from new products like Identity Governance, Privileged Access, Device Access, Fine Grained Authorization, Identity Security Posture Management, and Identity Threat Protection with Okta AI is expected to have been a tailwind in the to-be-reported quarter. Okta’s offerings include Okta AI, a suite of AI-powered capabilities embedded across several products, which empowers organizations to harness AI to build better experiences and protect against cyberattacks.
Okta is benefiting from a rich partner base that includes the likes of Amazon Web Services, CrowdStrike, Google, LexisNexis Risk Solutions, Microsoft, Netskope, Palo Alto Networks, Plaid, Proofpoint, Salesforce, ServiceNow, VMware, Workday, Yubico and Zscaler. The company has more than 7,000 integrations with cloud, mobile, and web applications and IT infrastructure providers as of April 30, 2025. This is expected to have benefited top-line growth in the fiscal second quarter.
However, results are expected to have suffered from sluggish federal business, a challenging macroeconomic condition and stiff competition from Microsoft MSFT in the Identity and Access management domain. The company is also facing stiff competition from enterprise security providers like SentinelOne S and Cisco Systems CSCO.
OKTA Shares Outperform Sector, Industry
Okta shares have increased 13.9% in the year-to-date period against the Zacks Computer & Technology sector’s return of 10.4% and the Zacks Security industry has increased 6.9% over the same time frame. Okta has outperformed SentinelOne and Cisco over the same timeframe, but lags Microsoft. While Cisco and Microsoft shares have appreciated 19.6% and 13.2% year to date, SentinelOne declined 25.1%.
OKTA Stock’s Performance
Image Source: Zacks Investment Research
OKTA Stock is Currently Overvalued
OKTA stock is not so cheap, as the Value Score of D suggests a stretched valuation at this moment.
In terms of forward 12-month Price/Sales, OKTA is trading at 5.22X, higher than SentinelOne’s 4.99X and Cisco’s 4.46X.
Valuation: OKTA vs. SentinelOne
Image Source: Zacks Investment Research
Valuation: OKTA vs. CSCO
Image Source: Zacks Investment Research
Here is Why Okta Shares are a Hold Now
Okta rides on an innovative portfolio and an expanding clientele. For fiscal 2026, OKTA expects revenues between $2.85 billion and $2.86 billion, indicating 9-10% growth from the figure reported in fiscal 2025.
Rich partner base bodes well for Okta. The company and Palo Alto Networks announced an expanded partnership that combines Okta Workforce Identity and Palo Alto Networks’ Prisma Access Browser. Integration between Identity Threat Protection with Okta AI and Palo Alto Networks AI-driven Cortex SecOps platform offers organizations a unified view of identity-related risks across their entire attack surface.
Okta’s strong liquidity is a key catalyst. The company ended the first quarter of fiscal 2026 with $2.73 billion in cash, cash equivalents, short-term, and long-term investments. Net cash provided by operations was $241 million in the first quarter of fiscal 2026, while free cash flow was $238 million. For fiscal 2026, Okta raised free cash flow margin guidance to roughly 27%.
However, a challenging macroeconomic condition, anticipated sluggishness in federal business and a stretched valuation makes make the stock a risky bet ahead of second-quarter fiscal 2026 results.
OKTA currently carries a Zacks Rank #3 (Hold), which implies that investors should wait for a favorable entry point to accumulate the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
One Big Gain, Every Trading Day
To help you take full advantage of this market, you’re invited to access every stock recommendation in all our private portfolios - for just $1.
Zacks private portfolio services that closed 256 double and triple-digit winners in 2024 alone. That’s about one big gain every day the market was open. Of course, not all our picks are winners, but members have seen recent gains as high as +627% +1,340%, and +1,708%.
Imagine how much you could profit with a steady stream of real-time picks from all our services that cover a number of strategies to suit a variety of investing and trading styles.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Buy, Sell or Hold OKTA Stock? Key Tips Ahead of Q2 Earnings

The Zacks Computer - Networking industry is expected to get a boost from momentum in cloud computing, network security, big data and cloud storage and next-gen connectivity amid the rapid use cases of AI technology. Explosive demand for AI workloads and hyperscale data centers is fueling investments in high-speed interconnects, optical networking, and Ethernet switches. Players in this space are focused on capitalizing on the multi-billion-dollar AI infrastructure opportunity. The accelerated deployment of 5G is driving the proliferation of the Internet of Things (IoT), Advanced Driver Assistance Systems, Augmented Reality/Virtual Reality (AR/VR) devices and 5G smartphones, driving demand for robust networking infrastructure.
The Wi-Fi 7 upgrade cycle will also act as a catalyst. This will spur demand for innovative networking products, favoring prospects of prominent industry players like Cisco Systems, Inc. CSCO, Extreme Networks EXTR and RADCOM, Inc. RDCM. Heightened uncertainty prevailing over global macroeconomic conditions and volatile supply-chain dynamics amid tariff troubles continue to be concerning for industry participants. Some telecom operators are reducing or delaying capital expenditures due to economic uncertainty. Fierce competition is an overhang on pricing power and margin expansion.
Industry Description
The Zacks Computer - Networking industry comprises companies that offer networking and Internet-connected products, including wireless (Wi-Fi and Long-Term Evolution or LTE), Ethernet and powerline, focusing on dependability and ease of use. The products are available in numerous configurations to cater to the changing requirements of consumers in each geographic territory where it operates. Some industry players also provide mission-critical IoT solutions and network security services to help clients build next-generation connected products and implement and manage critical communications infrastructures in demanding environments with enhanced safety levels. Focus on developing IoT sensors, drones and wearables amid increasing demand for cloud computing-based contact tracing applications is driving the industry.
4 Trends Influencing the Industry's Future
Innovation in Networking Technologies Opening Business Avenues: The growing clout of Smart Home and Internet-connected products, such as Smart TVs, game consoles, High Definition (HD) streaming players, security cameras, thermostats and smoke detectors continue to drive innovations in networking. The rapid proliferation of IoT, the increasing popularity of smart connected devices and the growing adoption of cloud computing in network security fuel the demand for an efficient network support infrastructure. The advancements in AI and ML, as well as the high adoption of cloud applications, hold immense potential for companies in the industry. Enterprises are striving to manage fixed and wireless devices in a secure infrastructure. To address the demand, industry firms are driving innovation in networking technologies, including network virtualization and Software-Defined Networking, which favor growth prospects.
Rapid Deployment of 5G to Boost Growth Prospects: The success of the 5G technology hinges on substantial investments to upgrade infrastructure in the core fiber backhaul network to support growth in data services. Efforts to develop smart connected homes, hospitals, factories, buildings, cities and self-driving vehicles bode well for industry players. These firms invest heavily in LTE, broadband and fiber to provide additional capacity and improve Internet and wireless networks. These initiatives hold promise.
Wi-Fi 7 Upgrade Cycle to Drive Momentum: Brisk technological advancement, dynamic products, high-speed connectivity, low latency and evolving industry standards define the Computer - Networking industry. The growing clout of the latest Wi-Fi 6E-compliant residential gateways, Wi-Fi routers, set-top boxes and wireless range extenders is a testament to the same. The increasing demand for connecting more devices to the network has been driving demand for Wi-Fi 6E devices. Wi-Fi 6E addresses Wi-Fi spectrum shortage issues by providing continuous channel bandwidth to support a higher number of connected devices without compromising speed. The rollout of Wi-Fi 7 bodes well for the companies in this space.
Macroeconomic Turmoil is Concerning: Global macroeconomic weakness and volatile supply-chain dynamics are persistent concerns. Tariff troubles, especially between the United States and China, remain an overhang on global supply chains. Inflation could affect spending across small and medium-sized businesses globally, and uncertainty in business visibility could dent the industry’s near-term performance.
Zacks Industry Rank Indicates Bright Near-Term Prospects
The Zacks Computer - Networking Industry is housed within the broader Zacks Computer and Technology sector. It carries a Zacks Industry Rank #99, positioning it in the top 40% of more than 246 Zacks industries.
The group’s Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates bright near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.
Before we present a few stocks you may want to consider for your portfolio, considering bright prospects, let us look at the industry’s recent stock-market performance and valuation picture.
Industry Outperforms S&P 500 & Sector
The Zacks Computer – Networking industry has outperformed the S&P 500 Composite and the broader Zacks Computer and Technology sector in the past year.
The industry has gained 31.3% over this period compared with the broader sector’s rally of 18.3%. The S&P 500 has appreciated 13.9% over the same time frame.
One-Year Price Performance
Industry's Current Valuation
Based on the forward 12-month price-to-earnings ratio (P/E), which is a common multiple for valuing Computer – Networking stocks, the industry is currently trading at 20.27X compared with the S&P 500’s 22.52X. It is also below the sector’s forward-12-month P/E of 27.18X.
In the past five years, the industry traded as high as 21.39X and as low as 16.86X, with media being at 19.36X, as the charts below show.
Forward 12-Month P/E Ratio
3 Computer - Networking Stocks to Add to Portfolio
Extreme Networks: Based in Morrisville, NC, the company provides AI-driven cloud networking solutions. Strong demand for the company’s wired and wireless network solutions is driving revenues, as reflected by 20% year-over-year revenue growth in the last reported quarter.
Extreme’s launch of Platform ONE, an AI-driven, holistic networking solution, marks a major innovation milestone. Momentum in subscription bookings is expected to grow with the adoption of Platform ONE and drive up SaaS annual recurring revenues (ARR). In the fourth quarter of fiscal 2025, SaaS ARR rose 24.4% year over year to $207.6 million. Increased footprint in EMEA and APAC bodes well.
Driven by strong momentum, EXTR expects revenues to be $1.238 billion to $1.228 billion for fiscal 2026. Nonetheless, heavy reliance on product revenues and competitive pressures remains concerning.
At present, EXTR carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for fiscal 2025 bottom line is pegged at $1.02 per share, unchanged in the past seven days. Shares have gained 34.1% in the past year.
Price & Consensus: EXTR
Cisco: Cisco is one of the largest players in the networking space. The company has a strong presence in the router and switch market. Its aggressive AI push and growing security dominance are noteworthy. Cisco is embedding AI across Security and Collaboration platforms and developing Agentic capabilities across the portfolio. It is leveraging Agentic AI to boost customer experience. The launch of Renewals Agent, an Agentic AI-driven solution co-developed with Mistral, and a new Assistant to help customers digitize and de-risk Network Change Management have been notable developments in this regard.
Cisco has deepened its partnership with NVIDIA to offer solutions that enable AI-ready data center networks. By integrating Cisco Nexus switches with NVIDIA’s Spectrum-X architecture, the companies are offering high-speed, low-latency networking designed for AI clusters, driving enterprise AI orders. Additionally, the Cisco Secure AI Factory with NVIDIA offers a trusted framework for sovereign cloud providers and emerging Neo cloud providers to build safe and AI-optimized data centers.
Cisco’s security business is gaining from solid demand for both Cisco Secure Access, Hypershield and XDR. Secure Access, XDR, Hypershield and AI Defense added 750 new customers in the fourth quarter of fiscal 2025.
However, challenging macroeconomic conditions, as well as stiff competition in the networking and security domain, are expected to hurt Cisco’s prospects in the near term.
At present, CSCO carries a Zacks Rank #3 (Hold). The Zacks Consensus Estimate for fiscal 2026 earnings is pegged at $4.02 per share, improved from an estimate of $4.00 per share in the past 60 days. Shares have gained 33.5% in the past year.
Price & Consensus: CSCO
RADCOM: This Tel Aviv, Israel-based company specializes in providing cloud-native, automated service assurance offerings for telecommunication operators for 5G networks.
RDCM is focusing on global sales expansion and deepening its strategic partnerships, with a clear push into AI-powered and accelerated computing solutions. It is simplifying automated assurance for AI-driven networks to access “previously untapped markets.” It is continually investing in research and development to strengthen its leadership in 5G assurance, expand its solution offerings and support operators in their transition to next-generation networks.
RADCOM’s team up with NVIDIA, announced earlier in 2025, is already showing traction with many customers having advanced from discussions to lab deployments of RADCOM’s high-capacity user analytics solution. On the lastearnings call RDCM highlighted that this validates the relevance of its solutions and the distinct competitive differentiation.
Fueled by a healthy sales pipeline, strong customer relationships and the market’s continued shift toward intelligent, automated, real-time assurance, RADCOM reaffirmed its full-year revenue growth target of 15%–18%, translating to a midpoint projection of $71.1 million. Nonetheless, customer concentration, currency headwinds and rising costs could undermine growth prospects.
At present, RDCM carries a Zacks Rank #3. The Zacks Consensus Estimate for 2025 bottom line is pegged at earnings of 91 cents per share, unchanged in the past seven days. Shares have skyrocketed 34.5% in the past year.
Price & Consensus: RDCM
One Big Gain, Every Trading Day
To help you take full advantage of this market, you’re invited to access every stock recommendation in all our private portfolios - for just $1.
Zacks private portfolio services that closed 256 double and triple-digit winners in 2024 alone. That’s about one big gain every day the market was open. Of course, not all our picks are winners, but members have seen recent gains as high as +627% +1,340%, and +1,708%.
Imagine how much you could profit with a steady stream of real-time picks from all our services that cover a number of strategies to suit a variety of investing and trading styles.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Networking Stocks to Consider From a Flourishing Industry

Arista Networks, Inc. ANET is focusing on offering end-to-end networking solutions to a wider range of customers and augmenting its secure access service edge (SASE) networking gear, which supports remote workers and branch offices. The buyout of VeloCloud SD-WAN (Software-Defined Wide Area Network) portfolio from Broadcom Inc. AVGO has offered Arista complementary products and services with a production-proven SD-WAN architecture, a dedicated customer base of more than 20,000 and a seasoned sales channel.
With offerings like VeloRAIN and VeloBrain, which use artificial intelligence (AI) to improve the security and performance of distributed AI workloads and help network engineers better manage their environments, VeloCloud is a strategic fit for Arista’s business. It delivers converged cloud networking from the edge to the data center and cloud, with end-to-end automation, application continuity and branch transformation, which empowers enterprises to transform their data centers with modern, high-performance operations.
VeloCloud complements Arista’s campus, data center and cloud routing (CloudEOS), enabling end-to-end SD-WAN deployment under one operating system. With customers deploying transformative cloud networking solutions, Arista has announced several additions to its multi-cloud and cloud-native software product family with CloudEOS Edge. It has introduced cognitive Wi-Fi software that delivers intelligent application identification, automated troubleshooting and location services, while supporting video conferencing applications like Microsoft Teams and Zoom.
Other Tech Firms Focusing on Cloud Networking
Cisco Systems, Inc. CSCO is the largest player in the networking space. The company has a strong presence in the router and switch market. It has retained a leadership position in WLAN and Ethernet switching and is rapidly expanding its presence in the network security domain. Cisco provides Next-Generation Network Routers that transport data, voice and video information from one IP network to another. It is expanding its Agentic AI footprint with the introduction of Webex AI Agent, Cisco AI Assistant for Webex Contact Center, Workflow Automation in Cisco AI Assistant for Webex, AI Capabilities in Webex Control Hub and Webex Calling Customer Assist. Its strategy of integrating AI across security and collaboration platforms and developing agentic capabilities across the portfolio is a key catalyst for improving customer experience.
Nokia Corporation NOK has evolved into a major player in cloud computing infrastructure by integrating networking, edge computing and software automation for telcos, cloud providers and enterprises. The company is poised to benefit from copper and fiber deployments of passive optical networking. It is reportedly the only global supplier offering Open Radio Access Network (O-RAN) with commercial 5G Cloud-RAN networks. Nokia intends to accelerate strategy execution, sharpen customer focus and reduce long-term costs. At the same time, it focuses on building a strong, scalable software business and expanding it to structurally attractive enterprise adjacencies. NOK’s C-Band portfolio supports 5G standalone and non-standalone networks, cloud-based implementations and O-RAN products.
ANET’s Price Performance, Valuation and Estimates
Arista has surged 48.7% over the past year compared with the industry’s growth of 36.8%
Image Source: Zacks Investment Research
From a valuation standpoint, Arista trades at a forward price-to-sales ratio of 17.07, above the industry.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Arista’s earnings for 2025 has increased 9.8% over the past 60 days to $2.81 per share.
Image Source: Zacks Investment Research
Arista currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
One Big Gain, Every Trading Day
To help you take full advantage of this market, you’re invited to access every stock recommendation in all our private portfolios - for just $1.
Zacks private portfolio services that closed 256 double and triple-digit winners in 2024 alone. That’s about one big gain every day the market was open. Of course, not all our picks are winners, but members have seen recent gains as high as +627% +1,340%, and +1,708%.
Imagine how much you could profit with a steady stream of real-time picks from all our services that cover a number of strategies to suit a variety of investing and trading styles.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Can Arista Gain From an Integrated Cloud Networking Solution Focus?

Investors in Cisco Systems Inc (Symbol: CSCO) saw new options begin trading today, for the October 3rd expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the CSCO options chain for the new October 3rd contracts and identified one put and one call contract of particular interest.
The put contract at the $65.00 strike price has a current bid of 68 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $65.00, but will also collect the premium, putting the cost basis of the shares at $64.32 (before broker commissions). To an investor already interested in purchasing shares of CSCO, that could represent an attractive alternative to paying $67.07/share today.
Because the $65.00 strike represents an approximate 3% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 66%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 1.05% return on the cash commitment, or 8.88% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Cisco Systems Inc, and highlighting in green where the $65.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $70.00 strike price has a current bid of 58 cents. If an investor was to purchase shares of CSCO stock at the current price level of $67.07/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $70.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.23% if the stock gets called away at the October 3rd expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if CSCO shares really soar, which is why looking at the trailing twelve month trading history for Cisco Systems Inc, as well as studying the business fundamentals becomes important. Below is a chart showing CSCO's trailing twelve month trading history, with the $70.00 strike highlighted in red:
Considering the fact that the $70.00 strike represents an approximate 4% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 68%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 0.86% boost of extra return to the investor, or 7.34% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 26%, while the implied volatility in the call contract example is 24%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $67.07) to be 22%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Also see:
MUX YTD Return
Institutional Holders of OMED
QQQI Videos
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

October 3rd Options Now Available For Cisco Systems (CSCO)

Below is Validea's guru fundamental report for CISCO SYSTEMS INC (CSCO). Of the 22 guru strategies we follow, CSCO rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields.
CISCO SYSTEMS INC (CSCO) is a large-cap growth stock in the Communications Equipment industry. The rating using this strategy is 87% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of CISCO SYSTEMS INC
More Information on Pim van Vliet
About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam.
Additional Research Links
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, 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.

Guru Fundamental Report for CSCO

Zoom Video Communications ZM is slated to release second-quarter fiscal 2026 results on Aug. 21.
Zoom expects second-quarter fiscal 2026 revenues between $1,195 million and $2 million, representing approximately 3% year-over-year growth at the midpoint. This modest growth projection suggests that management maintained a cautious outlook despite strong execution in the fiscal first quarter. The Zacks Consensus Estimate for the top line is currently pegged at $1.2 billion, indicating growth of 3% from the year-ago quarter.
Non-GAAP earnings per share are expected in the range of $1.36-$1.37. The consensus mark for earnings has remained steady at $1.37 per share over the past 30 days, indicating a decline of 1.44% year over year.
ZM’s earnings beat the Zacks Consensus Estimate in each of the last four quarters, delivering an average surprise of 9.46%.
Zoom Communications, Inc. Price and EPS Surprise
What Our Model Unveils
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can see the complete list of today’s Zacks #1 Rank stocks here.
ZM has an Earnings ESP of 0.00% and carries a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Let’s see how things have shaped up for this announcement.
Factors to Consider
Zoom Video’s second-quarter fiscal 2026 results are likely to reflect continued stability in its core business while navigating persistent macroeconomic headwinds.
The Enterprise segment is likely to have sustained its momentum as the primary growth driver, building on the 6% year-over-year expansion achieved in the fiscal first quarter. The company's focus on multi-product adoption through its Zoom Workplace platform was expected to support Enterprise revenue growth, particularly as customers consolidated their technology stacks to reduce costs in an uncertain economic environment.
The Online segment appears positioned for improved performance following the implementation of a $1 monthly price increase for Pro SKUs, which management estimated would contribute $10-$15 million to full-year revenues.
Zoom's aggressive AI innovation strategy is expected to have dominated the fiscal second quarter's operational narrative. The July launch of Custom AI Companion with connections to 16 third-party applications, including ServiceNow, Jira, and Asana, marked a significant monetization opportunity for the company's AI investments.
The rollout of agentic AI capabilities transformed AI Companion from a meeting assistant into an autonomous task executor, potentially driving higher customer engagement and retention. Monthly active users of AI Companion grew nearly 40% quarter over quarter in the fiscal first quarter, indicating strong adoption momentum that is likely to have continued into the quarter under review.
Product expansion beyond core video conferencing is likely to have shown encouraging signs. Zoom Phone maintained mid-teens revenue growth in the fiscal first quarter, while Contact Center customers increased 65% year over year. The company's Business Services portfolio, including Revenue Accelerator and Workvivo, demonstrated triple-digit growth rates in some segments.
These high-growth products are expected to have contributed incrementally to fiscal second quarter results as the company executed its land-and-expand strategy with enterprise customers seeking unified communication and customer experience platforms.
Zoom shares have declined 11.8% in the past six months compared with the broader Zacks Computer and Technology sector’s growth of 10%. The company still faces significant challenges, including intense competition from Microsoft MSFT Teams, RingCentral RNG and Cisco CSCO Webex, which have been aggressively pushing their collaboration tools.
See our %%CTA_TEXT%% report – free today!
7 Best Stocks for the Next 30 Days
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Zoom Video Gears Up to Report Q2 Earnings: What's in the Cards?

Okta OKTA shares have declined 27.2% in the past three months, underperforming the Zacks Computer and Technology sector’s return of 15.4% and the Zacks Security industry’s fall of 8.5%. The plunge in Okta’s shares can be attributed to slowing federal business, a challenging macroeconomic condition and stiff competition in the Identity and Access management domain.
Okta shares have underperformed peers, including Palo Alto Networks PANW, Cisco Systems CSCO and Microsoft MSFT over the same timeframe. While Palo Alto Networks shares have declined 8.9%, Cisco and Microsoft shares have appreciated 3.6% and 13.4%, respectively.
OKTA Stock’s 3-Month Performance
Image Source: Zacks Investment Research
Okta stock is currently trading below the 50-day and 200-day moving averages, indicating a bearish trend.
OKTA Stock Trades Below the 50-Day and 200-Day SMAs
Image Source: Zacks Investment Research
Okta shares are also overvalued, as suggested by the Value Score of D. In terms of forward 12-month price/sales (P/S), Okta is trading at 5.36X higher than Cisco’s 4.41X.
So, what should investors do with Okta stock at the current level? Let’s dig deep to find out.
OKTA’s FY26 Guidance Reflects Slowing Federal Business
For fiscal 2026, OKTA expects revenues between $2.85 billion and $2.86 billion, indicating 9-10% growth from the figure reported in fiscal 2025. Uncertainty in the federal business, along with challenging macroeconomic conditions, is a headwind for the company.
Okta expects fiscal 2026 non-GAAP earnings between $3.23 and $3.28 per share. The Zacks Consensus Estimate for Okta’s earnings has been steady at $3.28 per share over the past 60 days. The earnings figure suggests 16.7% growth over the figure reported in fiscal 2025.
Okta, Inc. Price and Consensus
Okta expects second-quarter fiscal 2026 revenues between $710 million and $712 million, indicating 10% year-over-year growth. The current portion of the company’s remaining performance obligations is expected in the 10-11% range.
Okta anticipates non-GAAP earnings between 83 cents and 84 cents per share. For the second quarter of fiscal 2026, the Zacks Consensus Estimate for OKTA’s earnings has been steady at 84 cents per share over the past 60 days. The earnings figure suggests 16.7% year-over-year growth.
Can a Strong Portfolio Boost OKTA’s Prospects?
Okta’s strong portfolio that includes new offerings like Identity Governance, Privileged Access, Device Access, Fine Grained Authorization, Identity Security Posture Management, and Identity Threat Protection with Okta AI is expected to drive top-line growth over the long term.
Okta is expanding its security portfolio with the launch of a new protocol, Cross App Access, which helps in securing AI agents. End users ultimately benefit as the latest protocol removes repetitive authorization consent screens and manages agent access for better security and compliance. The latest protocol reflects Okta’s commitment to protecting its customers deploying AI. The company’s focus on protecting non-human identities (NHIs) and developers building secure agents is noteworthy.
Rich Partner Base and Strong Liquidity Bode Well for OKTA
Okta is benefiting from a rich partner base that includes the likes of Amazon Web Services, CrowdStrike, Google, LexisNexis Risk Solutions, Microsoft, Netskope, Palo Alto Networks, Plaid, Proofpoint, Salesforce, ServiceNow, VMware, Workday, Yubico and Zscaler. The company has more than 7,000 integrations with cloud, mobile, and web applications and IT infrastructure providers as of April 30, 2025.
Last month, Okta and Palo Alto Networks announced an expanded partnership that combines Okta Workforce Identity and Palo Alto Networks’ Prisma Access Browser. Integration between Identity Threat Protection with Okta AI and Palo Alto Networks AI-driven Cortex SecOps platform offers organizations a unified view of identity-related risks across their entire attack surface.
Okta’s strong liquidity is a key catalyst. The company ended the first quarter of fiscal 2026 with $2.73 billion in cash, cash equivalents, short-term, and long-term investments. Net cash provided by operations was $241 million in the first quarter of fiscal 2026, while free cash flow was $238 million. For fiscal 2026, Okta raised free cash flow margin guidance to roughly 27%.
Here’s Why OKTA is a Hold Right Now
OKTA’s innovative portfolio and rich partner base are helping the company win clients. It exited first-quarter fiscal 2026 with roughly 20,000 customers, reflecting strong growth prospects for subscription revenues. Customers with more than $100 thousand in Annual Contract Value increased by 70 sequentially to 4,870. These factors bode well for long-term investors.
However, a challenging macroeconomic condition, anticipated sluggishness in federal business and a stretched valuation make the stock a risky bet in the near term.
Okta currently has a Zacks Rank #3 (Hold), which implies that investors should wait for a more favorable point to start accumulating the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Free Report: Profiting from the 2nd Wave of AI Explosion
The next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.
Investors who bought shares like Nvidia at the right time have had a shot at huge gains.
But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.
Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.
Access AI Boom 2.0 now, absolutely free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Okta Plunges 27% in 3 Months: Buy, Sell or Hold the Stock?

Cisco Systems CSCO shares have dropped 6% in the past couple of sessions following the fourth-quarter fiscal 2025 results reported on Wednesday (Aug. 13). The drop can be attributed to apparently slowing momentum in networking revenues, which grew 12% year over year to $7.63 billion, in the reported quarter. However, we believe the dip presents an opportunity for investors to buy the CSCO stock given its strong AI momentum.
In the fourth quarter of fiscal 2025, AI Infrastructure orders from webscale customers exceeded $800 million, bringing the total revenues to $2 billion in fiscal 2025, double the management’s original expectation. Product orders from service providers and cloud customers jumped 49% year over year in the reported quarter. This was driven by triple-digit order growth in webscale customers, with orders from each of the four out of the top six webscale customers growing in the triple digits.
Cisco reported strong growth in Annual Recurring Revenues (ARR), Remaining Performance Obligations (RPO) and subscription revenues in the reported quarter. ARR was $31.1 billion, up 5% with product ARR growth of 8%. Total subscription revenues increased 3% year over year to $7.9 billion and accounted for 54% of Cisco’s fiscal fourth-quarter revenues. Total RPO increased 6% year over year to $43.5 billion, and Product RPO grew 8%, and total short-term RPO was $21.7 billion, up 4%. Growing recurring revenue base reflects strong future growth prospects, which is expected to help CSCO stock perform well over the long term.
Year to date (YTD), CSCO shares have appreciated 11.8%, underperforming the Zacks Computer & Technology sector, as well as close peers Broadcom AVGO and Arista Networks ANET. While the broader sector has appreciated 13.7%, shares of Broadcom and Arista Networks have appreciated 32.1% and 24.2%, respectively, over the same timeframe.
CSCO Stock’s YTD Performance
Image Source: Zacks Investment Research
Expanding Portfolio to Boost Cisco’s Prospects
Cisco’s aggressive AI push and growing security dominance have been major growth drivers. Rapid acceleration in the capacity requirements of the network due to unprecedented levels of network traffic and an ever-evolving threat landscape bodes well for Cisco’s prospects. The AI opportunity further gets a boost from Cisco’s partnership with NVIDIA NVDA.
Networking product orders grew double digits (for the fourth consecutive quarter) in the fiscal fourth quarter, driven by webscale infrastructure, switching, enterprise routing, industrial IoT and servers. Silicon One powered smart switches are very much in demand. Orders for the industrial IoT portfolio, comprised of ruggedized catalyst products, grew double digits (for the fifth consecutive quarter). Cisco expects momentum to continue in fiscal 2026 as more and more strategic infrastructure and manufacturing come onshore to the United States.
Cisco’s security business is benefiting from strong demand for both Cisco Secure Access, Hypershield and XDR. In the fourth quarter of fiscal 2025, orders grew mid-single-digit. Splunk and Cisco synergies reported 14% year-over-year growth in new logos for Splunk. Secure Access, XDR, Hypershield and AI Defense added 750 new customers collectively in the reported quarter.
Cisco’s expanded partnership with NVIDIA, under which the companies plan to offer solutions that help build AI-ready data center networks, is a game-changer. Integration of Cisco Nexus switches with NVIDIA’s Spectrum-X architecture is offering low latency, high-speed networking for AI clusters, driving enterprise AI orders. The Cisco Secure AI factory with NVIDIA provides a trusted blueprint for building secure AI-ready data centers for enterprises, sovereign cloud providers and newly emerging Neocloud providers.
CSCO Offers Positive 2026 Guidance
For fiscal 2026, CSCO expects revenues to be $59-$60 billion compared with $56.7 billion reported in fiscal 2025. Non-GAAP earnings are expected between $4 per share and $4.06 per share compared with $3.81 per share reported in fiscal 2025.
Cisco Systems, Inc. Price and Consensus
The Zacks Consensus Estimate for CSCO’s fiscal 2026 revenues is pegged at $56.58 billion, indicating growth of 5.2% on a year-over-year basis. The consensus mark for CSCO’s fiscal 2026 earnings is currently pegged at $4.02 per share, up a couple of cents over the past 30 days, indicating year-over-year growth of 5.5%.
Cisco Shares Are Overvalued
Cisco shares are trading at a premium, as suggested by the Value Score of D. In terms of the forward 12-month price/sales, CSCO is trading at a premium of 4.65X, higher than the Zacks Computer Networking industry’s 4.14X.
Price/Sales Ratio (F12M)
Image Source: Zacks Investment Research
However, Cisco shares are trading at a discount compared with Arista Networks and Broadcom. In terms of the forward 12-month P/S, Arista Networks and Broadcom shares are trading at 17.78X and 19.87X.
Cisco stock is currently trading above the 200-day moving average, indicating a bullish trend.
CSCO Stock Trades Above the 200-Day SMA
Image Source: Zacks Investment Research
Here’s Why Cisco Stock is a Buy
An expanding portfolio makes Cisco well-positioned for sustained growth in an evolving tech landscape. AI push is noteworthy, along with a growing footprint in the security space. These trends bode well for CSCO’s long-term prospects.
CSCO currently carries a Zacks Rank #2 (Buy), suggesting that it may be wise for investors to start accumulating the stock right now. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Free Report: Profiting from the 2nd Wave of AI Explosion
The next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.
Investors who bought shares like Nvidia at the right time have had a shot at huge gains.
But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.
Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.
Access AI Boom 2.0 now, absolutely free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Cisco Drops 6% Post Q4 Results: Time to Buy CSCO Shares on the Dip?

CyberArk Software CYBR shares have gained 27.2% in the year-to-date period, outperforming the Zacks Security industry’s growth of 7.2%. This outperformance raises the question: Should investors accumulate CYBR shares or book profits and exit the investment?
CyberArk YTD Performance Chart
Image Source: Zacks Investment Research
CyberArk Grows on the Back of Identity Security
CyberArk is experiencing massive traction in its identity security offerings, which have crossed the milestone of 10,000 active users worldwide, witnessing a CAGR of 44% from 2020 to 2024. The company projects a total addressable market of $80 billion, giving it huge growth opportunities. In its second quarter of 2025, CYBR’s subscription revenues came in at $264 million, representing year-over-year growth of 66%.
CYBR’s implementation of AI solutions, including CyberArk Secure AI Agents Solution and CORA AI, and its collaboration with Accenture to integrate Accenture’s AI Refinery have deepened its portfolio. The implementation of CORA AI and Secure AI Agents into CyberArk’s identity security platform will aid its customers to secure a full spectrum of identities, including human, AI and machine. The company will also benefit from Accenture's client base with large-scale deployments.
Furthermore, CYBR is also expanding its capabilities through inorganic growth. CYBR’s acquisitions of Zilla Security and Venafi have expanded its expertise in identity governance and machine identity. The acquisitions also enhanced its recurring revenues and market share. The identity security and access management market in which CyberArk operates is expected to witness a CAGR of 8.4% from 2024 to 2029, according to a report by MarketsAndMarkets. This makes CYBR more prospective. The Zacks Consensus Estimate for CyberArk’s 2025 earnings is pegged at $3.86, indicating a year-over-year rise of 27.4%.
Image Source: Zacks Investment Research
Collaboration With Industry Giants Aids CYBR’s Growth
CYBR is a crucial security ally for more than 5,400 global businesses, which comprise over 50% of the Fortune 500 and 35% of the Global 2000 companies. One of the key drivers for customer growth is CyberArk’s strategic partnerships with tech giants like Microsoft, Amazon’s Amazon Web Services and Alphabet’s Google Cloud.
By integrating its solutions with Microsoft’s Azure Active Directory, AWS’ cloud infrastructure and Alphabet’s Google Cloud, CyberArk deepened its ability to secure cloud environments, offering robust identity management solutions across various IT ecosystems.
With all these enhancements in place, CyberArk provides its customers with comprehensive and integrated security solutions, making CYBR an indispensable cybersecurity player. Based upon the strong prospects of CYBR’s business outlook, Palo Alto Networks has agreed to buy CyberArk for about $25 billion at a premium over its 10-day average price as of July 25, 2025.
Key Headwinds Faced by CyberArk
The broader identity security and access management space consists of several players, including CrowdStrike CRWD, Okta Inc. OKTA and Cisco CSCO, which are also implementing AI in their products. Okta provides Identity Threat Protection with Okta AI so enterprises can leverage AI and machine learning techniques for real-time detection of the entire spectrum of Identity attacks.
CrowdStrike is also an established player in the identity security space, providing unified, real-time protection across cloud, identity and endpoint. CRWD is enhancing its identity security platform with the implementation of AI copilots like Charlotte AI and agentic AI solutions like Charlotte AI Agentic Workflows
Cisco provides Identity Intelligence, which is a cutting-edge AI-driven solution intentionally designed to bridge the gap between identity authentication and access control. Its offerings include Duo Smart Authentication, Cisco Secure Access and XDR. To survive in the highly competitive cybersecurity market, each player must continually invest in broadening its capabilities. Over the past few years, CyberArk has invested heavily to enhance its sales and marketing capabilities, particularly by increasing its sales force.
CyberArk Trades at a Premium Valuation
From a valuation standpoint, CYBR trades at a forward price-to-sales ratio of 14.14X, above the industry’s 11.95X.
CyberArk Forward (P/S) Valuation Chart
Image Source: Zacks Investment Research
Conclusion: Buy, Sell or Hold the Stock?
CyberArk’s innovative cybersecurity portfolio with AI integration makes it well-positioned to benefit from the strong TAM of the identity security space. This bodes well for long-term investors. However, it faces competitive and macroeconomic challenges at present and is trading at a premium valuation.
Considering these factors, we suggest that investors should wait for a more favorable opportunity and retain the stock if they have already bought it. CyberArk currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Free Report: Profiting from the 2nd Wave of AI Explosion
The next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.
Investors who bought shares like Nvidia at the right time have had a shot at huge gains.
But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.
Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.
Access AI Boom 2.0 now, absolutely free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Should You Buy, Sell or Hold CyberArk Stock After a 27.2% YTD Rise?

The following are the top rated Information Technology stocks according to Validea's Patient Investor model based on the published strategy of Warren Buffett. This strategy seeks out firms with long-term, predictable profitability and low debt that trade at reasonable valuations.
ASML HOLDING NV (ADR) (ASML) is a large-cap growth stock in the Semiconductors industry. The rating according to our strategy based on Warren Buffett is 100% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: ASML Holding N.V. is a holding company based in the Netherlands. The Company operates through its subsidiaries in the Netherlands, the United States, Italy, France, Germany, the United Kingdom, Ireland, Belgium, South Korea, Taiwan, Singapore, China, Hong Kong, Japan, Malaysia and Israel. The Company operates through one business segment which is engage in development, production, marketing, sales, upgrading and servicing of advanced semiconductor equipment systems, consisting of lithography, metrology and inspection systems. The Company offers TWINSCAN systems, equipped with lithography system with a mercury lamp as light source (i-line), Krypton Fluoride (KrF) and Argon Fluoride (ArF) light sources for processing wafers for manufacturing environments for which imaging at a small resolution is required. TWINSCAN systems also include immersion lithography systems (TWINSCAN immersion systems).
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of ASML HOLDING NV (ADR)
APPLE INC (AAPL) is a large-cap growth stock in the Communications Equipment industry. The rating according to our strategy based on Warren Buffett is 79% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Apple Inc. designs, manufactures and markets smartphones, personal computers, tablets, wearables and accessories, and sells a variety of related services. Its product categories include iPhone, Mac, iPad, and Wearables, Home and Accessories. Its software platforms include iOS, iPadOS, macOS, watchOS, visionOS, and tvOS. Its services include advertising, AppleCare, cloud services, digital content and payment services. The Company operates various platforms, including the App Store, that allow customers to discover and download applications and digital content, such as books, music, video, games and podcasts. It also offers digital content through subscription-based services, including Apple Arcade, Apple Fitness+, Apple Music, Apple News+, and Apple TV+. Its products include iPhone 16 Pro, iPhone 16, iPhone 15, iPhone 14, iPhone SE, MacBook Air, MacBook Pro, iMac, Mac mini, Mac Studio, Mac Pro, iPad Pro, iPad Air, AirPods, AirPods Pro, AirPods Max, Apple TV and Apple Vision Pro.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of APPLE INC
CHECK POINT SOFTWARE TECHNOLOGIES LTD (CHKP) is a large-cap growth stock in the Software & Programming industry. The rating according to our strategy based on Warren Buffett is 79% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Check Point Software Technologies Ltd is an Israel-based company primarily engaged in the cybersecurity industry. The Company focuses on providing AI-powered, cloud-delivered security solutions to protect corporate enterprises and governments worldwide. Their key product is the Check Point Infinity Architecture, which is a comprehensive cybersecurity platform. The Platform aims to defend against fifth-generation cyber-attacks across various networks, endpoints, cloud environments, workloads, Internet of Things (IoT), and mobile devices. Apart of that, the Company offers a range of products and services designed to secure IT infrastructure. It integrates advanced threat prevention technologies, including firewall, intrusion prevention system (IPS), antivirus, anti-bot, and sandboxing capabilities.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of CHECK POINT SOFTWARE TECHNOLOGIES LTD
ADOBE INC (ADBE) is a large-cap growth stock in the Software & Programming industry. The rating according to our strategy based on Warren Buffett is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Adobe Inc. is a global technology company. The Company's products, services and solutions are used around the world to imagine, create, manage, deliver, measure, optimize and engage with content across surfaces and fuel digital experiences. Its segments include Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment is centered around Adobe Creative Cloud and Adobe Document Cloud, which include Adobe Express, Adobe Firefly, Photoshop and other products, offering a variety of tools for creative professionals, communicators and other consumers. The Digital Experience segment provides an integrated platform and set of products, services and solutions through Adobe Experience Cloud. The Publishing and Advertising segment contains legacy products and services. In addition, its Adobe GenStudio solution allows businesses to simplify their content supply chain process with generative artificial intelligence (AI) capabilities and intelligent automation.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of ADOBE INC
CISCO SYSTEMS INC (CSCO) is a large-cap growth stock in the Communications Equipment industry. The rating according to our strategy based on Warren Buffett is 68% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Cisco Systems, Inc. designs and sells a range of technologies that power the Internet. The Company is integrating its product portfolios across networking, security, collaboration, applications and cloud. The Company's segments include the Americas; Europe, Middle East, and Africa (EMEA), and Asia Pacific, Japan, and China (APJC). Its Networking product category represents its core networking technologies of switching, routing, wireless, fifth generation (5G), silicon, optics solutions and compute products. Its Security product category consists of its cloud and application security, industrial security, network security, and user and device security offerings. Its Collaboration product category consists of its meetings, collaboration devices, calling, contact center and platform as a service (CPaaS) offering. Its Observability product category consists of its full stack observability offerings.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of CISCO SYSTEMS INC
About Warren Buffett: Warren Buffett is considered by many to be the greatest investor of all time. As the chairman of Berkshire Hathaway, Buffett has consistently outperformed the S&P 500 for decades, and in the process has become one of the world's richest men. (Forbes puts his net worth at $37 billion.) Despite his fortune, Buffett is known for living a modest lifestyle, by billionaire standards. His primary residence remains the gray stucco Nebraska home he purchased for $31,500 nearly 50 years ago, according to Forbes, and his folksy Midwestern manner and penchant for simple pleasures -- a cherry Coke, a good burger, and a good book are all near the top of the list -- have been well-documented.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, 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.

Cisco Systems, Inc.

Price history and volume

Shares 360

Investment risk — high

Investment potential — high

AI Factors

Internet of Things

Cloud Computing

Japanese Economy

Inflation

United States - China Relations

Iran vs US war

Generative AI

Iran vs US war

Supply Chain Disruptions

Labor Supply

Quantum Computing

Possible US government shutdown

USD Average Exchange Rate

European Bond Market

Security parameters