BUZZ - Cisco's first-quarter gross margin missed expectations, stock price declined

November 13 - ** Networking and cybersecurity company Cisco Systems (stock ticker: CSCO.O) fell 3% in pre-market trading, priced at $99

** Cisco (CSCO) reported a first quarter gross margin of 63.7%, below the 65.60% analyst estimate compiled by LSEG

** Gross margin is under close scrutiny due to increased input costs caused by a shortage of memory chips

** However, the company's first quarter revenue and non-GAAP earnings both exceeded expectations

** The company raised its full-year revenue guidance from the previous forecast of $72.2 billion to $73.4 billion up to a range of $74.8 billion to $75.8 billion

** Cisco expects full-year adjusted earnings per share to be between $5.47 and $5.53, exceeding the median estimate of $5.34

** Of the 29 brokerages rating the stock, 17 give it a “Buy” or higher rating, while 12 rate it “Hold”; the median target price is $135—data compiled by LSEG

** The stock currently trades at 19.15 times its expected earnings per share for the next 12 months, higher than the industry median of 13.88 times for the period

** As of the previous trading day's close, CSCO has risen over 32% year-to-date

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