Cisco Systems (NASDAQ:CSCO) Stock Price Down 1.9% - Time to Sell?

Key Points

• Cisco shares fell 1.9% on Thursday, closing at $109.66 after trading as low as $107.53, even as volume ran slightly above average.
• Despite the pullback, analysts remain broadly bullish: recent upgrades and price-target hikes pushed the consensus rating to “Moderate Buy” with an average target of $123.14.
• Cisco’s latest results were solid, with Q4 revenue and EPS both beating estimates, and the company also raised guidance while announcing a $0.42 quarterly dividend.

Cisco Systems, Inc. (NASDAQ:CSCO - Get Free Report) fell 1.9% during trading on Thursday . The stock traded as low as $107.53 and last traded at $109.66. 24,680,120 shares traded hands during trading, an increase of 3% from the average session volume of 23,974,125 shares. The stock had previously closed at $111.77.

Key Headlines Impacting Cisco Systems

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

• Positive Sentiment: Analysts and market commentary remain constructive, highlighting Cisco’s stronger AI infrastructure positioning, rising networking demand, security momentum, and improving earnings visibility. Cisco Jumps 52% YTD: Is There More Room for the Stock to Rise?
• Positive Sentiment: Another bullish note says Cisco could be a major AI infrastructure winner, with one article projecting a much higher long-term valuation if AI-related spending continues to build. Price Prediction: Cisco Will Hit $170 on This Date
• Positive Sentiment: Cisco also announced a partnership around Webex Contact Center that expands its AI-powered customer engagement ecosystem, adding another small but supportive product/partnership catalyst. SuccessKPI Powers Next Generation Hybrid Contact Centers with WEM for Webex Cloud
• Neutral Sentiment: Several articles frame Cisco as a core AI-era infrastructure name, but these pieces are largely commentary rather than new company-specific financial disclosures. Cisco Systems (CSCO) Price Forecast: Correction Deepens as Key Support Nears
• Negative Sentiment: Near-term weakness appears tied to technical selling and profit-taking after the stock’s sharp AI-driven rally, with traders watching whether support levels hold. Cisco Systems slips as investors appear to be taking profits after a big post-earnings run
• Negative Sentiment: One market note says Cisco stock is testing key support after falling below its 50-day moving average, which could keep pressure on shares if buyers do not step in soon. Cisco Systems (CSCO) Price Forecast: Correction Deepens as Key Support Nears

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the company. HSBC upgraded Cisco Systems from a "hold" rating to a "buy" rating and upped their price objective for the stock from $77.00 to $137.00 in a research note on Friday, May 15th. Barclays boosted their target price on shares of Cisco Systems from $76.00 to $121.00 and gave the stock an "equal weight" rating in a report on Thursday, May 14th. BNP Paribas Exane upped their price target on shares of Cisco Systems from $87.00 to $132.00 and gave the stock an "outperform" rating in a research report on Thursday, May 14th. Wells Fargo & Company increased their price target on shares of Cisco Systems from $95.00 to $130.00 and gave the company an "overweight" rating in a research note on Thursday, May 14th. Finally, Zacks Research raised shares of Cisco Systems from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, June 30th. Three research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have given a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $123.14.

Cisco Systems Stock Performance

The company's fifty day simple moving average is $116.74 and its two-hundred day simple moving average is $92.98. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.81 and a current ratio of 0.92. The stock has a market capitalization of $432.22 billion, a P/E ratio of 35.60, a PEG ratio of 2.98 and a beta of 1.02.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last issued its quarterly earnings data on Wednesday, May 13th. The network equipment provider reported $1.06 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.03 by $0.03. The company had revenue of $15.84 billion during the quarter, compared to analysts' expectations of $15.56 billion. Cisco Systems had a return on equity of 28.44% and a net margin of 20.14%.The business's revenue was up 12.0% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.96 earnings per share. Cisco Systems has set its Q4 2026 guidance at 1.160-1.180 EPS and its FY 2026 guidance at 4.270-4.290 EPS. As a group, equities analysts forecast that Cisco Systems, Inc. will post 3.54 EPS for the current year.

Cisco Systems Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 22nd. Shareholders of record on Monday, July 6th will be issued a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend is Monday, July 6th. Cisco Systems's dividend payout ratio is currently 54.55%.

Insider Activity

In related news, EVP Oliver Tuszik sold 2,761 shares of the company's stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $114.61, for a total value of $316,438.21. Following the transaction, the executive vice president directly owned 180,877 shares in the company, valued at approximately $20,730,312.97. This represents a 1.50% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeetendra I. Patel sold 7,169 shares of the company's stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $117.28, for a total transaction of $840,780.32. Following the completion of the transaction, the insider owned 246,737 shares in the company, valued at $28,937,315.36. This trade represents a 2.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 47,650 shares of company stock worth $5,668,823. Corporate insiders own 0.01% of the company's stock.

Institutional Trading of Cisco Systems

A number of institutional investors have recently bought and sold shares of CSCO. Vanguard Group Inc. grew its position in Cisco Systems by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 398,943,293 shares of the network equipment provider's stock worth $30,730,602,000 after buying an additional 4,049,893 shares in the last quarter. State Street Corp raised its holdings in Cisco Systems by 0.5% in the 4th quarter. State Street Corp now owns 195,521,161 shares of the network equipment provider's stock valued at $15,060,995,000 after acquiring an additional 1,057,962 shares in the last quarter. Morgan Stanley lifted its position in shares of Cisco Systems by 0.3% during the 4th quarter. Morgan Stanley now owns 75,326,258 shares of the network equipment provider's stock valued at $5,802,382,000 after acquiring an additional 206,352 shares during the period. Invesco Ltd. lifted its position in shares of Cisco Systems by 11.6% during the 4th quarter. Invesco Ltd. now owns 59,836,782 shares of the network equipment provider's stock valued at $4,609,227,000 after acquiring an additional 6,224,062 shares during the period. Finally, Norges Bank acquired a new stake in shares of Cisco Systems during the 4th quarter worth $4,473,272,000. Institutional investors own 73.33% of the company's stock.

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.

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