Cisco Reports Earnings Today. What Wall Street Expects.

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Investors are eagerly awaiting the latest results from technology bellwether

Cisco

to get an update on the state of enterprise spending.

The maker of networking and security products is slated to report its fiscal fourth-quarter numbers after Wednesday’s close.

The Wall Street consensus estimates for

Cisco Systems

(ticker: CSCO) call for the company to report July-quarter revenue of $12.73 billion, with adjusted earnings per share of 82 cents. Analysts’ estimates for the current quarter’s revenue are $12.82 billion.

Earlier this week, J.P. Morgan analyst Samik Chatterjee warned his clients that Cisco may face a more difficult spending environment in the coming quarters. The analyst reiterated his Neutral rating for the stock.

We have “mounting concerns on enterprise IT spend outlook heading into 2H22 and 2023, as well as company-specific concerns related to supply chain execution,” he wrote.

Expectations have already come down. In May, Cisco gave a forecast for the July quarter that was lower than analyst estimates at the time, citing supply-chain issues from the Covid-19 lockdowns in China.

Cisco shares closed up 0.4% on Tuesday, at $46.77, off 26% for 2022. So far this year, the tech-laden

Nasdaq Composite

index has declined 16%.

Write to Tae Kim at [email protected]