10 Trending AI Stocks on Latest Analyst Ratings and News

7. Cisco Systems, Inc. (NASDAQ:CSCO)

Number of Hedge Fund Holders: 61

Cisco Systems, Inc. (NASDAQ:CSCO) is an American technology company that provides information technology and networking services. The company integrates AI-powered capabilities across its entire product and customer service portfolio, with artificial intelligence currently contributing an estimated 2% to the company’s revenue.

On November 8, Citi maintained a “Buy” rating on Cisco Systems, Inc. (NASDAQ:CSCO) and set a price target of $62.00. Citi bases its rating on the company’s growth potential and strategic positioning. The firm states that Cisco is poised to benefit from an expanding AI total addressable market, especially due to its robust pipeline of projects and partnerships, such as with META. Recent quarters have also witnessed Cisco’s growing presence in the Data Center Interconnect (DCI) market, although it contributes less significantly to company revenue.  The analyst also states that the current valuation gap between Cisco and its peers is unjustified, especially considering its diversified sales mix and increasing software contributions.