New York, Jan 28, 2026, 15:28 EST — Regular session
- Cisco shares ticked up roughly 0.2% in afternoon trading as Wall Street absorbed the Fed’s latest move
- The stock climbed for a second day running following an Evercore ISI upgrade and the launch of a new partner program
- Big Tech earnings reports are under the microscope as investors seek insight into AI spending and its impact on networking demand
Cisco Systems Inc shares edged up Wednesday, extending a strong two-day rally fueled by an analyst upgrade and the company’s efforts to revamp its partner sales strategy. The stock climbed roughly 0.2% to $78.82 in afternoon trading.
Cisco added 3.2% Monday, then climbed another 2.2% Tuesday, pushing the Dow component close to its monthly peak. The latest move was smaller by comparison. (Investing)
Why it matters now: investors are eager to back anything linked to AI computing infrastructure, and networking forms a key part of that foundation. Cisco aims to prove it can capitalize on this trend well beyond its core router-and-switch offerings, leaning on software, services, and a broad partner network to stabilize its revenue stream.
Evercore ISI’s Amit Daryanani bumped Cisco to “Outperform” from “In Line,” lifting his price target to $100 from $80. He flagged a “campus refresh” cycle—upgrades to corporate office networks—alongside AI-driven momentum and a rebound in enterprise and telecom spending. According to Daryanani, Cisco has “plenty of tailwinds” to support high single-digit sales growth and low-teens EPS growth for several years. (TipRanks)
Cisco unveiled the Cisco 360 Partner Program on Monday, following 15 months of joint development with its partners. The initiative aims to accelerate customers’ AI-driven goals. “With our partners… we’ve strengthened what is already a world-class ecosystem… to help our mutual customers connect, protect and thrive,” said Tim Coogan, Cisco’s senior vice president of global partner sales. Nicko Roussos, an executive at TD Synnex, added that the program enables partners to “differentiate” through their expertise. (Cisco Newsroom)
Coogan noted in a separate statement that about 90% of Cisco’s revenue “flows with and through partners,” adding that partners have long found the old incentives complicated and unpredictable. The revamped program aims to offer partners steadier rewards, focusing more on software adoption, managed services, renewals, and lifecycle work — areas investors generally prize over one-off hardware sales. (Cisco Blogs)
Cisco’s stock moves amid a shaky macro environment. The Federal Reserve kept rates steady at 3.5%–3.75% on Wednesday. Major U.S. indexes barely budged in afternoon trading after the announcement; the S&P 500 even flirted with 7,000 earlier. Investors are also gearing up for a flood of Big Tech earnings after the bell, including Meta, Microsoft, and Tesla, with close attention on capital spending to see if the AI boom is delivering. (Reuters)
Cisco continues to fight for ground in data centers and switching, going head-to-head with Arista Networks. It’s also pushing into security and software-driven sectors, where competition is fierce. Hyperscaler spending influences the market in two ways: it boosts demand but also tightens expectations on performance and pricing.
Risks are evident. Corporate IT spending can drop sharply if the economy weakens, and telecom budgets remain unpredictable. Even with strong AI interest, Cisco must turn partner excitement into actual orders and revenue. Program shifts could also disrupt sales momentum in the short term.
The next hurdle for traders arrives fast: Big Tech earnings after the bell, plus any new clues on AI data-center expansions. These factors, rather than just one analyst call, will probably determine if Cisco’s two-day rally has legs.
