Goldman Sachs Value Stocks: 10 Stocks to Buy

7. Cisco Systems Inc. (NASDAQ:CSCO)

Fwd. P/E: 16.7

Value in Goldman Sachs’ Portfolio: $2.3 Billion

Number of Hedge Fund Holders: 81

Cisco Systems Inc. (NASDAQ:CSCO) is one of the best value stocks in Goldman Sachs’ portfolio. On September 22, 2025, Bank of America Securities analyst Tal Liani reitereated his bullish stance on the stock with a Buy rating with an unchanged price target of $85. Liani pointed to four major growth drivers supporting the outlook: the ongoing campus switching refresh cycle, increasing share in hyperscaler AI infrastructure, improving momentum in security, and synergies from the Splunk acquisition.

The analyst highlights that Cisco’s networking business, its largest revenue contributor, continues to benefit from cloud and enterprise demand. While security growth has been uneven, management expects Splunk integration to expand its product offerings and improve competitive positioning.

Valuation also lends support to the case, with Cisco trading at roughly 17 times forward EV/FCF, which the analyst finds attractive. This relative valuation discount, combined with visible growth catalysts, underpins his confidence in the company’s long-term outlook.

Cisco Systems Inc. (NASDAQ:CSCO) is a networking and communications technology company that provides hardware, software, and services, including routers, switches, cybersecurity solutions, and cloud-based collaboration tools.