Cisco Systems (NASDAQ:CSCO) Releases FY 2026 Earnings Guidance

Key Points

• Cisco Systems provided optimistic FY 2026 earnings guidance, projecting EPS between 4.000 and 4.060, significantly exceeding the consensus estimate of 3.790.
• The company anticipates revenue of $59.0 billion to $60.0 billion, also above the consensus of $56.6 billion, indicating strong fiscal growth.
• Several analysts have raised their price targets for Cisco's stock, with a consensus price target now set at $70.55 and a general rating of "Moderate Buy."

Cisco Systems (NASDAQ:CSCO - Get Free Report) issued an update on its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 4.000-4.060 for the period, compared to the consensus earnings per share estimate of 3.790. The company issued revenue guidance of $59.0 billion-$60.0 billion, compared to the consensus revenue estimate of $56.6 billion. Cisco Systems also updated its Q1 2026 guidance to 0.970-0.990 EPS.

Analysts Set New Price Targets

A number of research firms have commented on CSCO. UBS Group raised their price objective on Cisco Systems from $70.00 to $74.00 and gave the stock a "neutral" rating in a research note on Tuesday, August 5th. Barclays reissued an "equal weight" rating on shares of Cisco Systems in a report on Wednesday, May 21st. JPMorgan Chase & Co. raised their target price on shares of Cisco Systems from $73.00 to $78.00 and gave the company an "overweight" rating in a report on Thursday, July 17th. Piper Sandler lifted their price objective on shares of Cisco Systems from $60.00 to $64.00 and gave the company a "neutral" rating in a research note on Thursday, May 15th. Finally, Morgan Stanley lifted their price target on Cisco Systems from $67.00 to $70.00 and gave the company an "overweight" rating in a research note on Friday, July 18th. Eight equities research analysts have rated the stock with a hold rating, sixteen have given a buy rating and two have issued a strong buy rating to the company. According to MarketBeat, Cisco Systems has an average rating of "Moderate Buy" and a consensus price target of $70.55.

Cisco Systems Stock Performance

NASDAQ CSCO traded down $1.07 on Wednesday, hitting $70.32. 35,220,442 shares of the stock traded hands, compared to its average volume of 21,384,377. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.87 and a current ratio of 0.95. The firm has a market capitalization of $278.45 billion, a price-to-earnings ratio of 28.70, a PEG ratio of 3.92 and a beta of 0.91. Cisco Systems has a 12 month low of $45.04 and a 12 month high of $72.55. The business's fifty day moving average is $67.77 and its two-hundred day moving average is $63.16.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last released its quarterly earnings data on Wednesday, May 14th. The network equipment provider reported $0.96 EPS for the quarter, beating analysts' consensus estimates of $0.92 by $0.04. Cisco Systems had a net margin of 17.60% and a return on equity of 26.48%. The company had revenue of $14.15 billion during the quarter, compared to analyst estimates of $14.05 billion. During the same period last year, the business earned $0.88 earnings per share. Cisco Systems's revenue was up 11.4% compared to the same quarter last year. As a group, equities analysts anticipate that Cisco Systems will post 3.04 EPS for the current fiscal year.

Cisco Systems Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 22nd. Shareholders of record on Friday, October 3rd will be given a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a yield of 2.3%. Cisco Systems's payout ratio is presently 66.94%.

Insider Buying and Selling at Cisco Systems

In related news, EVP Deborah L. Stahlkopf sold 2,407 shares of the business's stock in a transaction that occurred on Wednesday, June 11th. The stock was sold at an average price of $64.01, for a total value of $154,072.07. Following the completion of the sale, the executive vice president owned 177,027 shares in the company, valued at $11,331,498.27. The trade was a 1.34% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Richard Scott Herren sold 15,678 shares of the business's stock in a transaction that occurred on Tuesday, June 17th. The stock was sold at an average price of $65.52, for a total transaction of $1,027,222.56. Following the completion of the sale, the chief financial officer owned 309,543 shares of the company's stock, valued at approximately $20,281,257.36. The trade was a 4.82% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 97,335 shares of company stock valued at $6,271,054 over the last quarter. Company insiders own 0.01% of the company's stock.

Institutional Trading of Cisco Systems

An institutional investor recently raised its position in Cisco Systems stock. Revolve Wealth Partners LLC boosted its stake in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 37.0% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 9,156 shares of the network equipment provider's stock after acquiring an additional 2,474 shares during the quarter. Revolve Wealth Partners LLC's holdings in Cisco Systems were worth $542,000 as of its most recent filing with the Securities and Exchange Commission (SEC). Institutional investors own 73.33% of the company's stock.

Cisco Systems Company Profile

Cisco Systems, Inc designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company also offers switching portfolio encompasses campus switching as well as data center switching; enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure, and reliable connectivity to campus, data center and branch networks; wireless products include wireless access points and controllers; and compute portfolio including the cisco unified computing system, hyperflex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization.

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