CSCO

Astera Labs (ALAB) has outperformed Cisco (CSCO) year-to-date with an 81.5% gain versus 42.6%, but Cisco is rated as offering greater upside potential due to stronger AI infrastructure momentum and robust networking demand. While ALAB benefits from strong adoption of its PCIe 6 products and expanding AI connectivity portfolio, rising operating expenses and competition are concerns. Cisco carries a Zacks Rank #2 (Buy) versus ALAB's Rank #3 (Hold).

Cisco Systems (CSCO) closed at $113.64, down 1.24% in recent trading. The company holds a Zacks Rank #2 (Buy) rating with projected quarterly EPS of $1.33 (33% YoY increase) and annual revenue of $73.03 billion (15.33% YoY growth). Trading at a Forward P/E of 22.51, a discount to its industry average, CSCO shows positive momentum with a 4.54% monthly gain.

Cisco Systems (CSCO) has been trending on Zacks.com with shares returning +4.8% over the past month, outperforming the S&P 500's +2.1% gain. The company shows strong fundamentals with expected earnings growth of +33% for the current quarter and +18% for the fiscal year.

Cisco has consistently beaten consensus estimates over the trailing four quarters. However, the stock carries a premium valuation (F grade) compared to peers. Zacks assigns it a Rank #2 (Buy) rating, suggesting potential near-term outperformance.