Cisco Systems (NASDAQ:CSCO) Stock Price Up 2.2% Following Analyst Upgrade

Key Points

• Cisco Systems shares rose 2.2% after JPMorgan Chase & Co. lifted its price target from $95 to $96, with the stock trading as high as $98.83 on above-average volume.
• Analyst sentiment remains mixed but generally constructive: Cisco carries a consensus “Moderate Buy” rating, even though some firms recently downgraded the stock while others raised targets or reiterated bullish views.
• The company continues to show solid fundamentals, having beat quarterly EPS and revenue estimates in its latest earnings report and recently increased its quarterly dividend to $0.42 per share.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO - Get Free Report) traded up 2.2% during trading on Monday after JPMorgan Chase & Co. raised their price target on the stock from $95.00 to $96.00. The company traded as high as $98.83 and last traded at $98.72. 30,267,390 shares traded hands during trading, an increase of 36% from the average session volume of 22,282,816 shares. The stock had previously closed at $96.57.

CSCO has been the topic of a number of other reports. Wall Street Zen downgraded shares of Cisco Systems from a "buy" rating to a "hold" rating in a research note on Saturday, March 14th. Zacks Research downgraded shares of Cisco Systems from a "strong-buy" rating to a "hold" rating in a research note on Monday, April 13th. DZ Bank raised shares of Cisco Systems to a "strong-buy" rating in a research note on Friday, February 13th. Rosenblatt Securities reissued a "buy" rating and issued a $100.00 price target on shares of Cisco Systems in a research note on Thursday, February 12th. Finally, UBS Group boosted their price target on shares of Cisco Systems from $90.00 to $95.00 and gave the company a "buy" rating in a research note on Thursday, February 12th. Three analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat, Cisco Systems currently has a consensus rating of "Moderate Buy" and a consensus target price of $90.29.

Insider Activity

In related news, EVP Oliver Tuszik sold 3,132 shares of the company's stock in a transaction that occurred on Wednesday, March 18th. The shares were sold at an average price of $79.74, for a total transaction of $249,745.68. Following the sale, the executive vice president directly owned 188,613 shares of the company's stock, valued at $15,040,000.62. This represents a 1.63% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Charles Robbins sold 19,545 shares of the company's stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $76.00, for a total transaction of $1,485,420.00. Following the sale, the chief executive officer directly owned 671,095 shares in the company, valued at approximately $51,003,220. The trade was a 2.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 46,431 shares of company stock worth $3,574,820 over the last 90 days. Company insiders own 0.01% of the company's stock.

More Cisco Systems News

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

• Positive Sentiment: Analysts are highlighting Cisco as a beneficiary of strong AI networking demand heading into quarterly results, which could support revenue and guidance. Buy Cisco Stock Ahead of Q3 Earnings? Here's What to Know
• Positive Sentiment: Industry commentary says Cisco is riding multiple tailwinds in a flourishing networking market, suggesting demand trends remain healthy despite macro headwinds and margin pressure. 3 Stocks to Consider From a Flourishing Networking Industry
• Positive Sentiment: JPMorgan raised its price target on Cisco, signaling confidence in the stock’s outlook even though the new target is still below the recent trading level. MarketScreener
• Neutral Sentiment: Broader market coverage points to a busy week with inflation data and several earnings reports, which may keep overall trading choppy but does not directly change Cisco’s fundamentals. Week Ahead: Inflation test, an AI IPO and US-China talks put Wall Street on edge
• Negative Sentiment: Competitive pressure remains a concern, with rivals such as Arista Networks, Dell and HPE vying for AI and data-center networking spend, which could limit upside if Cisco’s results disappoint. Buy Cisco Stock Ahead of Q3 Earnings? Here's What to Know

Institutional Investors Weigh In On Cisco Systems

Several large investors have recently added to or reduced their stakes in the business. Mirae Asset Global Investments Co. Ltd. raised its position in Cisco Systems by 6.9% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 3,189,645 shares of the network equipment provider's stock valued at $218,236,000 after purchasing an additional 205,043 shares during the last quarter. Jones Financial Companies Lllp raised its position in Cisco Systems by 8.9% in the 3rd quarter. Jones Financial Companies Lllp now owns 686,469 shares of the network equipment provider's stock valued at $46,165,000 after purchasing an additional 56,057 shares during the last quarter. Rockland Trust Co. raised its position in Cisco Systems by 213.8% in the 3rd quarter. Rockland Trust Co. now owns 20,497 shares of the network equipment provider's stock valued at $1,402,000 after purchasing an additional 13,966 shares during the last quarter. Thrivent Financial for Lutherans raised its position in Cisco Systems by 40.0% in the 3rd quarter. Thrivent Financial for Lutherans now owns 3,490,482 shares of the network equipment provider's stock valued at $238,818,000 after purchasing an additional 997,738 shares during the last quarter. Finally, ABN AMRO Bank N.V. raised its position in Cisco Systems by 126.3% in the 3rd quarter. ABN AMRO Bank N.V. now owns 176,715 shares of the network equipment provider's stock valued at $12,018,000 after purchasing an additional 98,630 shares during the last quarter. 73.33% of the stock is owned by hedge funds and other institutional investors.

Cisco Systems Stock Performance

The firm's 50-day moving average is $82.32 and its 200 day moving average is $78.56. The stock has a market cap of $389.93 billion, a PE ratio of 34.64, a P/E/G ratio of 3.62 and a beta of 0.92. The company has a debt-to-equity ratio of 0.45, a quick ratio of 0.85 and a current ratio of 0.96.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last released its quarterly earnings results on Wednesday, February 11th. The network equipment provider reported $1.04 EPS for the quarter, beating the consensus estimate of $1.02 by $0.02. Cisco Systems had a net margin of 19.22% and a return on equity of 27.88%. The firm had revenue of $15.35 billion during the quarter, compared to the consensus estimate of $15.11 billion. During the same quarter in the prior year, the firm earned $0.94 EPS. Cisco Systems's revenue for the quarter was up 9.7% on a year-over-year basis. As a group, research analysts anticipate that Cisco Systems, Inc. will post 3.42 EPS for the current year.

Cisco Systems Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, April 22nd. Shareholders of record on Thursday, April 2nd were given a dividend of $0.42 per share. This represents a $1.68 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date was Thursday, April 2nd. This is an increase from Cisco Systems's previous quarterly dividend of $0.41. Cisco Systems's payout ratio is currently 58.95%.

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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