Should I buy Cisco Systems stock in 2025?

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At HelloSafe, our expert has been tracking Cisco Systems' stock performance for over three years. Every month, millions of users in the US trust us to analyze market trends and identify the best investment opportunities. Our analyses are for informational purposes only and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Cisco Systems.

What is Cisco Systems?

What is the price of Cisco Systems stock?

The price of Cisco Systems stock is rising this week. The current share price sits at $68.96, showing a 24-hour gain of +1.14% and a steady weekly change of -0.01%. Cisco Systems holds a market capitalization of $273.06 billion, with an average daily volume of 22.41 million shares. The P/E ratio stands at 28.14, the dividend yield is 2.36%, and the stock’s beta is 0.88, indicating moderate volatility. With strong technical momentum and positive analyst sentiment, Cisco Systems presents a compelling opportunity for investors seeking potential growth with stability.

Our full analysis of the Cisco Systems stock

Having thoroughly reviewed Cisco Systems’ latest quarterly reports and analyzed the stock’s trajectory over the last three years, we draw on a robust methodology combining financial metrics, technical indicators, market dynamics, and competitor benchmarking through our proprietary algorithms. This data-driven approach enables us to highlight key opportunities and bring clarity amid current market volatility. So, why might Cisco Systems stock once again become a strategic entry point into the technology infrastructure sector in 2025?

Recent performance and market context

Cisco Systems has delivered an outstanding performance over the past year, with its stock currently trading at $68.96 as of July 3, 2025. This represents a substantial 46.43% rally year-over-year and a notable +17.15% gain in the last six months, underscoring growing momentum and investor confidence. While the past week saw only a marginal move (-0.01%), recent intraday action remains positive (+1.14%). Cisco now boasts a market capitalization of $273.06 billion, maintaining its stature as a global technology leader. The broader market context is favorable for technology infrastructure and AI leaders, with strong demand for networking, cybersecurity, and next-generation digital solutions. Cisco’s Q1 results were especially strong: revenue grew 11.4% year-on-year to $14.15 billion, and gross margin reached 69.3%—its highest in two decades. The company’s swift response to shifting enterprise trends, including surging investment in AI and digital, reinforces Cisco’s central role in powering the digital economy.

Technical analysis

• The 14-day RSI sits at 67.03, suggesting strong—but not yet overbought—momentum.
• The MACD stands positive at 1.66, and although some oscillators signal near-term consolidation, moving averages remain encouraging.
• The current price is comfortably above its 20-day ($66.73), 50-day ($64.18), 100-day ($61.99), and 200-day ($58.47) moving averages, all flashing “buy” signals and confirming a robust uptrend.
• Key support is found at $68.20, providing a stable base, while resistance emerges at $69.72 and the 52-week high of $69.78.

Recent breakouts above major averages signal a new bullish structure. Technically, Cisco Systems benefits from lower volatility (beta 0.88) compared to pure-play growth names, suggesting an attractive risk/reward setup for momentum investors.

Fundamental analysis

• Q1 2025 revenue reached $14.15 billion (+11.4% year-over-year), clearly outpacing analyst expectations.
• Adjusted EPS climbed to $0.96, with management guiding annual EPS between $3.60 and $3.66 and revenues of $55.3–$56.3 billion for fiscal 2025.
• The trailing P/E stands at 28.14, which is quite reasonable against both its long-term growth profile and the sector average, particularly considering Cisco’s organic expansion and margin improvement.
• Dividend yield is healthy at 2.36%, augmented by a consistent quarterly payout ($0.41 per share). This provides investors with both growth and income potential.

Strategically, Cisco maintains a diversified product suite spanning networking, security, collaboration, and observability. The company’s substantial investments in R&D and targeted acquisitions fuel continual innovation and cement its position as a global market leader. With a dominant competitive moat and deep relationships across the world’s largest enterprises, Cisco is well-positioned to capitalize on secular technology trends—cloud, AI, and digital transformation.

Volume and liquidity

With an average daily volume of 22.41 million shares and a broadly held public float (3.95 billion shares outstanding), Cisco Systems offers exceptional liquidity, contributing to efficient price discovery. High volume and tightly managed spread conditions reflect strong institutional conviction and reduce entry/exit costs for retail and professional investors alike. The stock’s active trading profile and deep pool of buyers and sellers further underpin Cisco’s stable valuation and resilience during broader market swings.

Catalysts and positive outlook

• Robust artificial intelligence (AI) momentum: Cisco has positioned itself as a key player in “sovereign AI” and AI infrastructure, sharply increasing orders tied to AI-related deployments.
• Enterprise transformation: There is sustained and rising demand for advanced cybersecurity, secure networking, and digital collaboration tools—areas where Cisco remains a clear leader.
• Global reach: Operating directly in 90 countries with over 25,000 commercial employees, Cisco has unmatched global sales coverage to capture cross-border tech investments.
• Strategic acquisitions: Cisco’s disciplined M&A activity and ongoing R&D spending unlock new verticals and enhance their core product portfolio, fueling future growth.
• ESG leadership: The company’s commitment to environmental, social, and governance initiatives continues to attract institutional inflows and supports long-term premium valuations.

In addition, the recent consensus among analysts is “Strong Buy,” with an average price target of $70.18 and upside potential cited by many research houses. The company’s guidance remains positive for 2025, aligning well with resilient global tech spending and the ongoing buildout of digital infrastructure.

Investment strategies

• Short-term: With the stock approaching key resistance just below $70, short-term traders may look to capitalize on near-term breakouts—especially ahead of the next earnings release in August 2025 or ahead of any new AI-contract announcements.
• Medium-term: Investors positioned for several months can benefit from Cisco’s attractive combination of price momentum, strong guidance, and robust order pipelines driven by digital transformation and AI adoption.
• Long-term: For buy-and-hold investors, Cisco offers a compelling blend of dividend income, steady capital appreciation, and leadership in essential technology infrastructure. The low beta and high liquidity make it an ideal anchor within diversified technology or total-market portfolios.

Optimal entry may be achieved at or near the current technical support, or on slight pullbacks preceding new catalysts. The stock’s strong trend also favors progressive scaling for longer-term investors, with regular review as new product launches and quarterly results approach.

Is it the right time to buy Cisco Systems?

Summing up, Cisco Systems combines sector leadership, sustained earnings growth, prudent capital return, and powerful exposure to the most important technology trends of the next decade. Its proven operational efficiency, high margins, and recurring revenue profile create a resilient investment case amid both bullish and uncertain markets. With analysts’ consensus squarely positive, bullish technicals, and a robust innovation-driven outlook, the fundamentals justify renewed interest in Cisco at this stage.

The stock seems to represent an excellent opportunity for investors seeking both quality and upside in the technology group, with the added value of dividend yield and reliable liquidity. As Cisco Systems continues to shape the infrastructure for AI and cloud, and with its next earnings report as a near-term catalyst, confidence in further performance appears well-supported.

Cisco Systems stands at the crossroads of innovation and reliability—an optimal position for those seeking robust growth with measured risk in the rapidly transforming tech sector.

How to buy Cisco Systems stock in the United States?

Buying Cisco Systems stock online is simple and secure when you use a regulated broker in the US. Investors can typically choose between two main options: direct spot buying (buying shares outright) or trading via Contracts for Difference (CFDs), a derivative allowing you to speculate on price without owning the shares. Each approach caters to different objectives, levels of risk, and investment horizons. If you want to compare regulated brokers and their fees for buying Cisco Systems, be sure to check our comparison guide further down the page.

Spot buying

With spot buying, you purchase actual Cisco Systems shares and become a shareholder. This approach is straightforward—most US online brokers charge a fixed commission per order, often between $0 and $10 depending on the platform.

Gain Scenario for Cisco Systems Stock

If the Cisco Systems share price is $68.96, you can buy around 14 shares with a $1,000 stake, including a brokerage fee of around $5.

Gain scenario:

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e., +10% on your investment.

Trading via CFD

CFD trading lets you speculate on Cisco Systems price movements without actually owning the stock. With CFDs, you can use leverage (borrowed capital), but there are fees: you pay a spread (difference between buy/sell price) and, if holding overnight, a financing charge.

Example of a profitable CFD trade with leverage

You open a CFD position on Cisco Systems shares, with 5x leverage.

This gives you a market exposure of $5,000 with a $1,000 deposit.

✔️ Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Always compare brokers’ costs, commissions, and terms before investing in Cisco Systems, as fees and features can vary significantly. Your choice between buying shares or trading CFDs should match your financial goals, time horizon, and appetite for risk. For the most up-to-date broker comparisons and recommendations, see the broker comparison section further down the page.

Our 7 tips for buying Cisco Systems stock

The latest news about Cisco Systems

Cisco Systems shares post 1.14% intraday gain, marking new 52-week highs close to $69. The stock traded between $68.18 and $68.97 this week, benefitting from strong buying interest and positive sentiment among US market participants, reflecting broad confidence in the company’s near-term outlook.

Q1 2025 earnings exceeded analyst expectations, supported by an 11.4% year-over-year revenue increase. Cisco Systems reported revenue of $14.15 billion versus consensus estimates, with adjusted EPS hitting $0.96 and operating margins at a two-decade high. These positive earnings results have strengthened the investment case and contributed to robust recent price momentum.

Cisco Systems affirmed its 2025 guidance for the US market, projecting annual revenues up to $56.3 billion. The company’s outlook reflects anticipated growth from expanding digital infrastructure needs, cloud migration, and demand for advanced networking and security products—key drivers for US enterprise clients and public sector adoption.

US-focused R&D investment and manufacturing expansion continue to underpin Cisco Systems' competitive edge. A significant portion of ongoing capital expenditure targets domestic innovation and localized production, directly responding to US regulatory priorities and fortifying supply chain resilience in a shifting geopolitical environment.

Market analysts maintain a “Strong Buy” consensus, with an average target price above $70 for Cisco Systems. The prevailing analyst sentiment highlights confidence in Cisco Systems’ leadership, diversified portfolio, and structural positioning in technology—reinforced by stable dividend payouts valued by US income investors.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.