Bank of America remains cautious on Cisco (CSCO).
Analyst Chris Crespi says if the stock price is to change significantly before results, which are due Aug. 6, the potential for volatility increases just as after last quarter's earnings report.
Crespi says the stock action is more correlated with management commentary rather than guidance. Therefore, he says he's more inclined to look at Cisco with a long-term investment thesis that the company has the balance sheet to emerge as the leader on the other side of this telecom decline.
However, Crispi say he believes playing short-term events like quarterly results is very risky.