BofA Boosts Cisco (CSCO) Price Target after Networking-Focused Discussions

With a net profit margin of 19.69%, Cisco Systems, Inc. (NASDAQ:CSCO) is included among the 10 Most Profitable Dividend Stocks to Invest In Now. 

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On June 8, BofA raised its price recommendation on Cisco Systems, Inc. (NASDAQ:CSCO) to $150 from $135. The firm reiterated a Buy rating on the shares. It also increased its price targets for Arista Networks (ANET), Cisco, and Extreme Networks (EXTR) after hosting several networking-focused sessions at its Global Technology Conference in San Francisco.

During the fiscal Q3 2026 earnings call, Chairman and CEO Charles Robbins said Cisco delivered record revenue of $15.8 billion. It was up 12% from the same quarter a year earlier. He noted that total product orders increased 35% year-over-year, while AI infrastructure orders from hyperscale customers reached $1.9 billion during the quarter. Robbins said strong demand had led the company to expect approximately $9 billion in AI infrastructure orders from hyperscalers in fiscal 2026. He also stated that Cisco expects to recognize around $4 billion in AI infrastructure revenue from those customers during the fiscal year.

He added that the company had introduced a restructuring plan designed to redirect resources toward its most important growth opportunities. According to Robbins, the initiative is meant to support higher levels of investment in areas including silicon, optics, security, and artificial intelligence.

Cisco Systems, Inc. (NASDAQ:CSCO) develops and sells a broad range of technologies that help power the internet. The company is bringing together its networking, security, collaboration, applications, and cloud portfolios into a more integrated offering.

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