Home / Cisco News: Stock Upgrade, Stargate UAE, AI Network, & Earnings

Cisco News: Stock Upgrade, Stargate UAE, AI Network, & Earnings

By: Jasmin Espinas
June 16, 2025

Cisco remains one of the most enduring infrastructure names in enterprise tech, with a strong foothold in networking, cybersecurity, and cloud automation. In recent Cisco news, Deutsche Bank upgrades the company’s stock to a “Buy” rating.

In addition to the upgrade, Cisco is making headlines with a new UAE partnership, an AI-ready workplace network, and Q3 FY2025 earnings highlighting its current momentum.

Latest Cisco News: Cisco Stock Upgraded by Deutsche Bank

In this Cisco news, Cisco saw a 2% stock increase after Deutsche Bank raised its rating from Hold to Buy on Monday, June 16.

$CSCO | 𝐂𝐢𝐬𝐜𝐨 (CSCO): Deutsche Bank upgrades 𝐭𝐨 𝐁𝐮𝐲, raises 𝐏𝐓 𝐭𝐨 $𝟕𝟑 (𝐟𝐫𝐨𝐦 $𝟔𝟓)

Analyst sees 𝐝𝐮𝐫𝐚𝐛𝐥𝐞 𝐠𝐫𝐨𝐰𝐭𝐡, 𝐞𝐧𝐡𝐚𝐧𝐜𝐞𝐝 𝐫𝐞𝐯𝐞𝐧𝐮𝐞 𝐦𝐢𝐱, and 𝐮𝐧𝐥𝐨𝐜𝐤𝐞𝐝 𝐬𝐡𝐚𝐫𝐞𝐡𝐨𝐥𝐝𝐞𝐫 𝐫𝐞𝐭𝐮𝐫𝐧𝐬 as key upside drivers post-AI… pic.twitter.com/O3k9eyrufO

— Hardik Shah (@AIStockSavvy) June 16, 2025

The firm pointed to projected AI-driven demand, reduced friction in networking competition, and stronger performance in Cisco’s Security business as factors supporting its revised outlook.

Deutsche Bank also issued a new price target of $73, suggesting a 14% potential upside.

According to projections from 18 Wall Street analysts, Cisco’s one-year target price averages $70.73, with forecasts spanning from $59.22 to $80.00.

Compared to its current share price of $64.09, this shows an expected gain of roughly 10%.

Furthermore, data from 24 brokerages places Cisco at an average recommendation of 2.1 on a scale where 1 equals Strong Buy. This aligns with the market’s general view that the company is positioned to outperform within its sector.

Cisco News: Cisco Unveils Secure Network Architecture for Workplace AI

In another Cisco news, Cisco introduced a new network architecture on June 10. This network supports campus, branch, and industrial environments handling AI-driven workloads.

#CiscoPartners and #CiscoDistributors, seize the opportunity presented by Cisco’s recently announced AI-Ready Secure Network Architecture!

Register for our upcoming webinars to get the latest details on this launch and our new licensing model: https://t.co/7VgNPH2q6B pic.twitter.com/VkUbgvpWJs

— Cisco Partners (@CiscoPartners) June 12, 2025

The system is centered on a unified management layer, tighter security integration, and hardware designed specifically for performance under AI demands.

What distinguishes this rollout is its integration of ThousandEyes for broader visibility, now extending to mobile endpoints and industrial IoT.

The added link between ThousandEyes and Splunk enables real-time monitoring from the network layer through to application behavior.

Cisco also introduced AgenticOps, an AI operations framework that combines real-time telemetry with automation and decision logic.

At its core is the Deep Network Model, a large language model trained on Cisco’s proprietary data. This model powers the AI Assistant.

At the same time, this tool uses natural language to identify problems, pinpoint causes, and carry out fixes without delay.

Another new addition, AI Canvas, gives IT teams a shared interface to coordinate across operations and reduce manual workload.

The unified platform, which includes cloud, hybrid, and on-prem options, is now available.

Cisco AI Assistant is in public beta, while AI Canvas will begin testing with selected customers later this year. Hardware orders are also open through Cisco and certified partners.

Cisco News: Cisco Signs Memorandum of Understanding to Join UAE’s Stargate Initiative

On May 22, Cisco confirmed it signed a Memorandum of Understanding (MoU) to participate in the UAE’s Stargate consortium.

Today, we joined forces with @OpenAI, @Oracle, @nvidia, @Cisco, and @SoftBank_Group to launch Stargate UAE.

Stargate UAE will deliver 1GW of high-performance compute at the heart of the 5GW UAE–US AI Campus – designed to support the most demanding AI workloads and power… pic.twitter.com/5JHT77YdEM

— G42 (@G42ai) May 22, 2025

The agreement, backed by Cisco Chair and CEO Chuck Robbins, positions the company alongside G42, OpenAI, Oracle, NVIDIA, and SoftBank Group to support the development of a large-scale AI data center in Abu Dhabi.

This project also targets 1 GW of capacity, with the first 200 MW expected by 2026.

As part of this collaboration, Cisco will supply the infrastructure needed to support high-performance AI workloads, including secure networking, monitoring tools, and observability systems.

This move reflects Cisco’s broader focus on expanding its presence in the region and backing high-demand compute environments.

The announcement follows recent Cisco news tied to regional AI initiatives and coincided with President Trump’s visit to the UAE.

The signing event, held in Abu Dhabi, included UAE President Sheikh Mohammed bin Zayed and Cisco’s President and Chief Product Officer Jeetu Patel.

Cisco Reports Strong Q3 FY2025 Driven by AI Momentum

Cisco announced its financial results for the third quarter of fiscal year 2025 on May 14.

The company reported revenue of $14.1 billion, marking an 11% increase year over year and exceeding its guidance range.

GAAP net income reached $2.5 billion, or $0.62 per share, while non-GAAP earnings totaled $3.8 billion, or $0.96 per share.

Additionally, Cisco recorded over $600 million in AI-related orders from webscale customers, crossing its $1 billion target ahead of schedule.

Meanwhile, product orders rose 20% overall compared to the same period last year and 9% when excluding contributions from Splunk. Growth was seen across all global markets and customer segments.

For its Q4 FY2025 guidance, the company expects revenue between $14.5 billion and $14.7 billion, with full-year revenue projected between $56.5 billion and $56.7 billion.

On the other hand, GAAP EPS guidance for the fiscal year stands at $2.53 to $2.58, while non-GAAP EPS is projected at $3.77 to $3.79.

Final Thoughts

Cisco is entering the second half of 2025 with stronger order volume, broader infrastructure commitments, and increased visibility into enterprise AI demand.

Its focus on integrated platforms, regional partnerships, and real-time observability tools signals a tighter alignment between product strategy and customer investment cycles.

However, execution will remain crucial, especially as the company scales new offerings and competes for AI-focused workloads across cloud and edge environments.

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