Cisco's AI Infrastructure Surge Drives Stock Price to New Heights

Cisco Systems (NASDAQ:CSCO) has seen its stock price surge 52.76% year-to-date, making it one of 2026's surprising mega-cap winners. The company's AI infrastructure order book continues to expand each quarter, driving the growth.

The 24/7 Wall St. price target for Cisco is $135.69, implying 16.98% upside from its current price of $115.99. Our recommendation is buy, with a 90% confidence level. The stock executes on the AI opportunity while trading at a materially lower multiple than its highest-flying networking peer.

Arista Networks (NYSE:ANET) trades at a forward P/E of 47, while Cisco's forward P/E of 24 looks cheap by comparison, even accounting for slower growth. A modest re-rating toward Arista could make our $135.69 target conservative.