Cisco Systems (NASDAQ:CSCO) Trading Up 1.7% - Here's What Happened

Key Points

• Cisco Systems shares rose 1.7% on Monday, trading as high as $122.09 before settling at $121.53, with volume below its daily average.
• Analysts remain generally positive on the stock, with several firms raising price targets to as high as $150 and MarketBeat showing a consensus Moderate Buy rating with a $122.90 target.
• Cisco’s latest earnings beat expectations, reporting $1.06 EPS on $15.84 billion in revenue, and the company also announced a quarterly dividend of $0.42 per share payable on July 22.

Cisco Systems, Inc. (NASDAQ:CSCO - Get Free Report)'s stock price shot up 1.7% during mid-day trading on Monday . The stock traded as high as $122.09 and last traded at $121.53. 19,763,175 shares traded hands during mid-day trading, a decline of 17% from the average daily volume of 23,796,771 shares. The stock had previously closed at $119.54.

Analysts Set New Price Targets

CSCO has been the topic of a number of recent research reports. Wall Street Zen lowered Cisco Systems from a "buy" rating to a "hold" rating in a research report on Saturday, March 14th. CICC Research lifted their price objective on shares of Cisco Systems from $96.00 to $125.00 and gave the company an "outperform" rating in a research note on Monday, May 18th. Wells Fargo & Company increased their price objective on shares of Cisco Systems from $95.00 to $130.00 and gave the stock an "overweight" rating in a research note on Thursday, May 14th. Morgan Stanley raised their target price on shares of Cisco Systems from $120.00 to $130.00 and gave the stock an "overweight" rating in a report on Friday, June 12th. Finally, Argus boosted 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. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $122.90.

Cisco Systems Price Performance

The company has a market capitalization of $479.00 billion, a price-to-earnings ratio of 39.46, a P/E/G ratio of 3.05 and a beta of 1.01. The stock has a fifty day simple moving average of $106.15 and a 200-day simple moving average of $88.09. The company has a debt-to-equity ratio of 0.40, a current ratio of 0.92 and a quick ratio of 0.81.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last released its quarterly earnings data on Wednesday, May 13th. The network equipment provider reported $1.06 EPS for the quarter, topping the consensus estimate of $1.03 by $0.03. Cisco Systems had a return on equity of 28.44% and a net margin of 20.14%.The business had revenue of $15.84 billion for the quarter, compared to analyst estimates of $15.56 billion. During the same quarter in the prior year, the firm posted $0.96 EPS. The business's quarterly revenue was up 12.0% compared to the same quarter last year. 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. On average, equities research analysts anticipate that Cisco Systems, Inc. will post 3.54 EPS for the current year.

Cisco Systems Announces Dividend

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 given a $0.42 dividend. The ex-dividend date is Monday, July 6th. This represents a $1.68 dividend on an annualized basis and a dividend yield of 1.4%. Cisco Systems's dividend payout ratio is 54.55%.

Insider Buying and Selling at Cisco Systems

In related news, CEO Charles Robbins sold 21,400 shares of the company's stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $120.03, for a total value of $2,568,642.00. Following the completion of the transaction, the chief executive officer owned 637,085 shares of the company's stock, valued at approximately $76,469,312.55. This represents a 3.25% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Deborah L. Stahlkopf sold 6,586 shares of the stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $117.31, for a total value of $772,603.66. Following the transaction, the executive vice president owned 177,223 shares in the company, valued at $20,790,030.13. This represents a 3.58% decrease in their position. 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 90 days, insiders sold 47,650 shares of company stock worth $5,668,823. 0.01% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. World Investment Advisors lifted its stake in Cisco Systems by 15.4% in the 4th quarter. World Investment Advisors now owns 198,549 shares of the network equipment provider's stock worth $13,905,000 after purchasing an additional 26,455 shares in the last quarter. WCG Wealth Advisors LLC grew its position in shares of Cisco Systems by 101.8% in the fourth quarter. WCG Wealth Advisors LLC now owns 107,306 shares of the network equipment provider's stock valued at $8,266,000 after purchasing an additional 54,141 shares in the last quarter. Vise Technologies Inc. increased its holdings in shares of Cisco Systems by 47.1% in the fourth quarter. Vise Technologies Inc. now owns 200,341 shares of the network equipment provider's stock valued at $15,432,000 after purchasing an additional 64,144 shares during the last quarter. Truist Financial Corp lifted its position in Cisco Systems by 6.8% during the fourth quarter. Truist Financial Corp now owns 4,311,098 shares of the network equipment provider's stock worth $332,084,000 after buying an additional 275,456 shares in the last quarter. Finally, Principal Financial Group Inc. lifted its position in Cisco Systems by 3.2% during the fourth quarter. Principal Financial Group Inc. now owns 4,873,274 shares of the network equipment provider's stock worth $375,388,000 after buying an additional 151,395 shares in the last quarter. Hedge funds and other 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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