What to Expect from Cisco Systems Stock After Earnings

Analysts and options traders are bearish ahead of the event

Deputy Editor
Nov 10, 2022 at 12:15 PM
facebook twitter linkedin


Cisco Systems Inc (NASDAQ:CSCO) is gearing up to release its fiscal first-quarter earnings report, due out after the close Wednesday, Nov. 16. Over the last two years, CSCO has experienced mostly positive post-earnings sessions, though the shares did lose 13.7% following its May report. The security averaged a 5.3% swing, regardless of direction, the day after its last eight reports, and this time around the options pits are pricing in a larger 7.2% shift. 

Though last seen 2.6% higher to trade at $45.08, the security is pulling away from earlier gains. Cisco Systems stock's 160-day capped today's surge, which isn't anything new, as the trendline stymied multiple rally attempts over the course of 2022. Year-to-date, CSCO sports a 29.2% deficit. 

CSCO Chart 2 November 102022

Most analysts covering Cisco Systems stock are pessimistic, though there are a few holdouts. Of the 20 in coverage, eight call the equity a "buy" or better, while 12 say "hold" or worse.

Options traders favor puts at the moment. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), CSCO sports a 50-day put/call volume ratio that ranks in the 90th percentile of its annual range, indicating a healthier-than-usual appetite for bearish bets in the last 10 weeks.

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners