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Morgan Stanley sets bullish $135 price target for Cisco amid strong AI-driven Q4 growth.

Analyst Insights
13 Aug 2026
Rayan Ahmad
View Source
Bullish
Morgan Stanley sets bullish $135 price target for Cisco amid strong AI-driven Q4 growth.

Morgan Stanley has set a price target of $135 for Cisco, suggesting an 8.98% upside from its current price of $123.88. Cisco reported record Q4 revenue of $17.30 billion, an 18% increase year-over-year, driven by strong demand linked to an AI super cycle and 35% growth in product orders. Despite this growth, concerns remain about squeezed gross margins and a valuation that some analysts consider high compared to a GF Value of $69.43. Cisco also returned $12.70 billion to shareholders in fiscal 2026, nearly matching its free cash flow, indicating strong cash generation and shareholder returns.

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