Cisco Systems (NASDAQ:CSCO) Insider Jeetendra Patel Sells 7,170 Shares of Stock

Key Points

• Insider Jeetendra Patel sold 7,170 Cisco shares for approximately $800,000 under a pre-arranged Rule 10b5-1 plan, retaining 230,593 shares valued at about $25.7 million.
• Cisco reported strong quarterly results, with revenue up 17.6% year over year to $17.25 billion and EPS of $1.22, beating analyst expectations. Management also issued fiscal 2027 guidance above current consensus estimates.
• The stock traded near $112.90, while analysts maintained a generally positive outlook with a “Moderate Buy” consensus and an average price target of $129.43; Cisco also declared a quarterly dividend of $0.42 per share.

Cisco Systems, Inc. (NASDAQ:CSCO - Get Free Report) insider Jeetendra Patel sold 7,170 shares of the firm's stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $111.57, for a total transaction of $799,956.90. Following the completion of the transaction, the insider directly owned 230,593 shares in the company, valued at approximately $25,727,261.01. This represents a 3.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Cisco Systems Price Performance

Shares of Cisco Systems stock traded up $1.22 on Monday, reaching $112.90. 22,770,898 shares of the stock were exchanged, compared to its average volume of 23,806,813. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.79 and a current ratio of 0.93. The firm has a market cap of $444.99 billion, a PE ratio of 33.80, a P/E/G ratio of 2.38 and a beta of 1.02. The firm's 50 day moving average is $117.03 and its 200-day moving average is $99.24. Cisco Systems, Inc. has a one year low of $65.75 and a one year high of $130.37.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last announced its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.17 by $0.05. Cisco Systems had a net margin of 20.95% and a return on equity of 30.16%. The business had revenue of $17.25 billion for the quarter, compared to analysts' expectations of $16.84 billion. During the same period last year, the firm posted $0.99 earnings per share. The firm's quarterly revenue was up 17.6% compared to the same quarter last year. Cisco Systems has set its FY 2027 guidance at 5.050-5.110 EPS and its Q1 2027 guidance at 1.320-1.340 EPS. As a group, analysts anticipate that Cisco Systems, Inc. will post 4.09 EPS for the current fiscal year.

Cisco Systems Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 21st. Shareholders of record on Friday, October 2nd will be given a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date is Friday, October 2nd. Cisco Systems's payout ratio is currently 50.30%.

Key Cisco Systems News

Here are the key news stories impacting Cisco Systems this week:

• Positive Sentiment: Cisco reported record quarterly revenue of approximately $17.3 billion, up 18% year over year, while non-GAAP earnings per share reached $1.22 and surpassed consensus estimates. Management also issued an optimistic fiscal 2027 outlook, supporting the growth case. Why Cisco Stock Is Down Today
• Positive Sentiment: Analysts and market commentators characterize the roughly 8% post-earnings decline as an overreaction, arguing that Cisco’s improving AI networking opportunity and strong results may provide support for the shares. Cisco: This 8% Selloff Looks Like An Overreaction
• Neutral Sentiment: The latest quarter benefited from higher hardware prices, a heavier product mix and pricing actions intended to offset rising memory costs. However, those same memory expenses and the hardware mix pressured product margins, creating a key profitability concern for investors. Cisco Grew Faster By Selling Hardware and Charging More for It
• Neutral Sentiment: Several reports highlighted exchange-traded funds that provide exposure to Cisco’s AI-driven growth while reducing the risk of holding the individual stock, indicating continued interest in the company but also investor caution after the selloff. ETFs to Buy as Cisco Shares Sink
• Negative Sentiment: HSBC downgraded Cisco to Hold, which may limit near-term upside and reflects caution regarding the stock’s valuation and post-earnings performance. Cisco Systems Cut to Hold at HSBC
• Negative Sentiment: CEO Charles Robbins and three other insiders sold a combined 38,045 shares for approximately $4.25 million. Because the transactions were executed under pre-arranged Rule 10b5-1 plans and the executives retained substantial holdings, the sales are a modest negative signal rather than a clear change in management’s outlook.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in CSCO. AtlasMark Financial Inc acquired a new stake in Cisco Systems during the 2nd quarter worth approximately $317,000. Triton Financial Group Inc acquired a new position in Cisco Systems in the 2nd quarter valued at approximately $4,235,000. Jacobs Equity LLC bought a new position in shares of Cisco Systems during the second quarter valued at $926,000. Parvin Asset Management LLC acquired a new position in shares of Cisco Systems during the second quarter worth $745,000. Finally, Proficio Capital Partners LLC acquired a new position in shares of Cisco Systems during the second quarter worth $4,388,000. Institutional investors own 73.33% of the company's stock.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on the stock. BNP Paribas Exane raised their price target on shares of Cisco Systems from $87.00 to $132.00 and gave the company an "outperform" rating in a research note on Thursday, May 14th. Citigroup increased their price objective on shares of Cisco Systems from $90.00 to $112.00 and gave the company a "buy" rating in a research note on Thursday, May 14th. Argus raised their target price on shares of Cisco Systems from $100.00 to $150.00 and gave the company a "buy" rating in a research report on Tuesday, May 19th. UBS Group boosted their target price on shares of Cisco Systems from $132.00 to $138.00 and gave the stock a "buy" rating in a research note on Thursday. Finally, JPMorgan Chase & Co. increased their price target on Cisco Systems from $95.00 to $96.00 in a research note on Monday, May 11th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $129.43.

Cisco Systems Company Profile

Cisco Systems, Inc is a global technology company that designs, manufactures and sells networking hardware, software and telecommunications equipment. Its core business focuses on enabling enterprise and service-provider networks through products such as routers, switches, network security appliances and wireless systems. Over time Cisco has broadened its portfolio to emphasize software-defined networking, cybersecurity, cloud infrastructure and edge computing solutions that help organizations build and manage modern IT environments.

In addition to hardware, Cisco offers a growing range of software platforms and subscription services for network management, security, analytics and collaboration.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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