Cisco upgraded to Overweight from Neutral at JPMorgan

JPMorgan upgraded Cisco Systems to Overweight from Neutral with a price target of $62, up from $55. The analyst sees limited further downside in the shares due to enterprise spending and an “inexpensive” valuation. The firm expects the magnitude of Cisco’s order moderation to be limited going forward following a deterioration in order trends for multiple quarters. While the macro environment will continue to drive spending sluggishness from customers, orders for networking equipment including Wi-fi, campus switching, and datacenter switching have limited further deterioration, the analyst tells investors in a research note. JPMorgan thinks investors will start taking a more favorable view of Cisco shares.