Cisco earnings selloff a buying opportunity, says Piper Jaffray
Piper Jaffray analyst James Fish recommends using today's post-earnings selloff in shares of Cisco Systems as a buying opportunity. The company's "solid" Q3 exceeded most metrics, with the only "disappointments" being the lower percentage of recurring revenue, implied recurring software product revenue, services revenue, and reported free cash flow, Fish tells investors in a research note titled "When You Dip, We Dip, So Buy the Dip; Cisco Remains Top Pick." The analyst notes that Cisco's core business continues to grow and that comps get easier in fiscal Q4 and Q1. He believes the company's free cash flow remains underestimated and reiterates an Overweight rating on the shares. The analyst bumped up his price target to $50 from $49.