Cisco Systems (NASDAQ:CSCO) Stock Rating Upgraded by Freedom Capital

Key Points

• Freedom Capital upgraded Cisco Systems to “strong buy” from “hold,” adding to a broadly positive analyst outlook. The stock has a consensus “Moderate Buy” rating and an average price target of $129.43.
• Cisco reported quarterly EPS of $1.22, beating estimates of $1.17, while revenue rose 17.6% year over year to $17.25 billion. Management issued fiscal 2027 EPS guidance of $5.05–$5.11, supporting optimism around AI-infrastructure growth.
• Several executives sold shares under pre-arranged Rule 10b5-1 plans, with insiders selling 69,179 shares worth about $8.0 million in the past quarter. Institutional investors own 73.33% of Cisco, while margin pressure from rising memory costs remains an investor concern.

Cisco Systems (NASDAQ:CSCO - Get Free Report) was upgraded by research analysts at Freedom Capital from a "hold" rating to a "strong-buy" rating in a research report issued to clients and investors on Sunday,Zacks.com reports.

A number of other equities analysts also recently commented on the stock. Citigroup raised their price objective on shares of Cisco Systems from $90.00 to $112.00 and gave the stock a "buy" rating in a report on Thursday, May 14th. Weiss Ratings raised shares of Cisco Systems from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, May 29th. Morgan Stanley increased their price target on shares of Cisco Systems from $130.00 to $135.00 and gave the stock an "overweight" rating in a research report on Thursday, August 13th. Rosenblatt Securities raised their price target on shares of Cisco Systems from $150.00 to $165.00 and gave the stock a "buy" rating in a research note on Thursday, August 13th. Finally, Wells Fargo & Company lifted their price objective on Cisco Systems from $130.00 to $150.00 and gave the company an "overweight" rating in a report on Thursday, August 13th. Two research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $129.43.

Cisco Systems Stock Performance

CSCO opened at $112.90 on Friday. The stock's 50 day simple moving average is $116.81 and its 200-day simple moving average is $99.48. The company has a current ratio of 0.93, a quick ratio of 0.79 and a debt-to-equity ratio of 0.39. The stock 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. Cisco Systems has a 1 year low of $65.75 and a 1 year high of $130.37.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last issued its earnings results on Wednesday, August 12th. The network equipment provider reported $1.22 EPS for the quarter, topping the consensus estimate of $1.17 by $0.05. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%.The firm had revenue of $17.25 billion during the quarter, compared to analysts' expectations of $16.84 billion. During the same period last year, the business earned $0.99 earnings per share. Cisco Systems'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. Sell-side analysts forecast that Cisco Systems will post 4.09 EPS for the current year.

Insiders Place Their Bets

In other Cisco Systems news, EVP Deborah L. Stahlkopf sold 6,487 shares of the business's stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $111.53, for a total value of $723,495.11. Following the transaction, the executive vice president directly owned 167,116 shares in the company, valued at $18,638,447.48. The trade was a 3.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Oliver Tuszik sold 2,760 shares of the company's stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $112.46, for a total transaction of $310,389.60. Following the sale, the executive vice president directly owned 165,276 shares in the company, valued at $18,586,938.96. This represents a 1.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 69,179 shares of company stock worth $7,985,229 in the last quarter. 0.01% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the company. Cozad Asset Management Inc. increased its holdings in Cisco Systems by 0.3% during the 1st quarter. Cozad Asset Management Inc. now owns 26,203 shares of the network equipment provider's stock valued at $2,033,000 after purchasing an additional 87 shares in the last quarter. Dogwood Wealth Management LLC boosted its stake in Cisco Systems by 3.9% in the second quarter. Dogwood Wealth Management LLC now owns 2,413 shares of the network equipment provider's stock worth $283,000 after purchasing an additional 90 shares in the last quarter. August Group Capital Ltd grew its holdings in shares of Cisco Systems by 2.0% during the second quarter. August Group Capital Ltd now owns 4,723 shares of the network equipment provider's stock worth $555,000 after purchasing an additional 91 shares during the last quarter. Financial Insights Inc. grew its holdings in shares of Cisco Systems by 1.5% during the first quarter. Financial Insights Inc. now owns 6,220 shares of the network equipment provider's stock worth $483,000 after purchasing an additional 92 shares during the last quarter. Finally, CPA Asset Management Group LLC increased its stake in shares of Cisco Systems by 1.8% in the second quarter. CPA Asset Management Group LLC now owns 5,335 shares of the network equipment provider's stock valued at $627,000 after buying an additional 93 shares in the last quarter. Institutional investors own 73.33% of the company's stock.

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 earnings per share of $1.22 exceeded the $1.17 consensus estimate. Management also issued an optimistic fiscal 2027 EPS outlook of $5.05 to $5.11, reinforcing the company’s AI-networking growth story. What Kept Coming Up When Analysts Grilled CSCO
• Positive Sentiment: Some analysts viewed the post-earnings selloff as an overreaction, citing Cisco’s strong execution and improving opportunity in AI infrastructure. Wells Fargo also raised its price target to $150 and maintained an overweight rating, while the broader analyst consensus remains “Moderate Buy” with a target near $129.43. Cisco Selloff Looks Like an Overreaction
• Neutral Sentiment: Higher hardware prices and a heavier product mix helped accelerate revenue, but rising memory costs and the larger hardware contribution pressured product margins. Investors are watching whether Cisco can continue passing costs to customers without weakening demand. Cisco Grew Faster by Selling Hardware and Charging More for It
• Negative Sentiment: HSBC cut Cisco Systems to a Hold rating, adding to concerns about valuation and the durability of the recent growth acceleration. Cisco Systems Cut to Hold at HSBC
• Negative Sentiment: CEO Charles Robbins and three other insiders sold a combined 48,045 shares for approximately $4.25 million. The transactions were conducted under pre-arranged Rule 10b5-1 plans, and the executives retained substantial positions, making this a modest negative signal rather than clear evidence of deteriorating business expectations. Cisco Insider Buying and Selling

About Cisco Systems

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source