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Cisco Systems, Inc. (CSCO) Draws Mixed Trading Sentiment as Options Activity Remains Balanced

We recently compiled a list of the 10 Best Long-Term Investments for Kids. Cisco Systems, Inc. is placed seventh among the best long-term investments.

TheFly reported on December 22 that shares of CSCO declined 26 cents to $78.16, reflecting mixed sentiment in the options market. Options volume was roughly in line with the average, with 51,000 contracts traded and calls outpacing puts, resulting in a put/call ratio of 0.77, above the typical level of 0.64.

Implied volatility (IV30) fell 1.28 points to 18.8, placing it in the bottom quartile of the past year and indicating an expected daily move of $0.93. Meanwhile, the flattened put-call skew suggested a modestly bullish tone, pointing to cautious optimism among options traders despite the slight drop in shares.

Ken Wolter / Shutterstock.com

Separately, on December 17, Cisco Systems, Inc. (NASDAQ:CSCO) received a boost when Morgan Stanley analyst Meta Marshall maintained an Overweight rating and raised the price target from $82 to $91. In the research note, Marshall highlighted CSCO’s strong performance in AI-related growth drivers, noting that the company had surpassed $1 billion in AI-related orders, reaching $1.3 billion from hyperscale customers. This momentum suggests that AI-driven revenue could contribute around 5% of CSCO’s total business by fiscal year 2026, up from approximately 2% currently.

Cisco Systems, Inc. (NASDAQ:CSCO) designs and sells a broad range of technologies across networking, security, collaboration, and applications. The company is currently leveraging its acquisition of Splunk to enhance its recurring software revenue and observability capabilities.

While we acknowledge the risk and potential of CSCO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CSCO and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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