Deutsche Bank Initiates Cisco as Buy, Calls It a Structural Hedge

According to CNBC, Deutsche Bank initiated Cisco as a buy and called the stock the "structural hedge of our coverage," saying it is too attractive to ignore. The bank said Cisco is guiding for 15% top-line growth and about 17% EPS growth for FY27E, with core business growth excluding AI of about 10%, and noted that the valuation is in line with peers. The note also said the setup offers upside as the premium shows up in the numbers over the next two to three years.