Cisco Systems (CSCO) – Get Report and Arista Networks (ANET) – Get Report were downgraded by Citigroup analyst Jim Suva, who sees the coronavirus pandemic continuing to blunt corporate demand for networks.
Cisco has networking systems for internet communications and internet technology, and Arista has cloud networking solutions.
Suva cut his share-price targets to $43 from $48 for Cisco and to $230 from $290 for Arista.
Cisco, San Jose, Calif., recently traded at $40.31, up 1.2%. The stock has slumped 16% year to date.
Arista recently traded at $226.29, down 0.6%. The stock has gained 11% year to date. The S&P 500 has climbed 10% year to date
“It is clear to us that business and life will not return to the pre covid-19 normal,” Suva wrote in a commentary.
“While we recognize there is likely a permanent shift to a more flexible work environment, we