Canada Pension Plan Investment Board Increases Stock Holdings in Cisco Systems, Inc. $CSCO

Key Points

• The Canada Pension Plan Investment Board increased its stake in Cisco Systems by 39.5%, acquiring over 1.7 million additional shares, bringing its total ownership to about 6 million shares valued at approximately $372.8 million.
• Several institutional investors are also increasing their positions, contributing to the fact that 73.33% of Cisco's stock is held by hedge funds and other institutions.
• Cisco recently announced a quarterly dividend of $0.41 per share, with an annualized yield of 2.4%, indicating a commitment to returning value to shareholders.

Canada Pension Plan Investment Board grew its holdings in Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 39.5% during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 6,041,753 shares of the network equipment provider's stock after purchasing an additional 1,709,842 shares during the period. Canada Pension Plan Investment Board owned approximately 0.15% of Cisco Systems worth $372,837,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also modified their holdings of the company. Mpwm Advisory Solutions LLC acquired a new position in shares of Cisco Systems in the 4th quarter valued at $26,000. JDM Financial Group LLC lifted its stake in shares of Cisco Systems by 160.4% in the 4th quarter. JDM Financial Group LLC now owns 487 shares of the network equipment provider's stock valued at $29,000 after purchasing an additional 300 shares during the last quarter. Pandora Wealth Inc. acquired a new position in shares of Cisco Systems in the 1st quarter valued at $31,000. Fairway Wealth LLC lifted its stake in shares of Cisco Systems by 224.7% in the 1st quarter. Fairway Wealth LLC now owns 578 shares of the network equipment provider's stock valued at $36,000 after purchasing an additional 400 shares during the last quarter. Finally, Accent Capital Management LLC acquired a new position in shares of Cisco Systems in the 1st quarter valued at $36,000. Institutional investors and hedge funds own 73.33% of the company's stock.

Analysts Set New Price Targets

CSCO has been the topic of several research reports. Morgan Stanley increased their target price on Cisco Systems from $67.00 to $70.00 and gave the stock an "overweight" rating in a research note on Friday, July 18th. Piper Sandler upped their price target on Cisco Systems from $64.00 to $70.00 and gave the stock a "neutral" rating in a report on Thursday, August 14th. Bank of America upped their price target on Cisco Systems from $76.00 to $85.00 and gave the stock a "buy" rating in a report on Thursday, August 14th. UBS Group upped their price target on Cisco Systems from $70.00 to $74.00 and gave the stock a "neutral" rating in a report on Tuesday, August 5th. Finally, New Street Research restated a "neutral" rating and set a $70.00 price target on shares of Cisco Systems in a report on Friday, May 16th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and ten have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $74.53.

Cisco Systems Stock Down 0.5%

Shares of CSCO traded down $0.34 during mid-day trading on Friday, reaching $69.09. The company's stock had a trading volume of 14,952,208 shares, compared to its average volume of 22,683,924. Cisco Systems, Inc. has a 12-month low of $47.85 and a 12-month high of $72.55. The stock has a market cap of $273.60 billion, a PE ratio of 26.37, a price-to-earnings-growth ratio of 2.93 and a beta of 0.91. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.01 and a quick ratio of 0.92. The company's 50 day moving average is $68.47 and its 200 day moving average is $63.77.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last released its quarterly earnings data on Wednesday, August 13th. The network equipment provider reported $0.99 EPS for the quarter, beating analysts' consensus estimates of $0.98 by $0.01. Cisco Systems had a return on equity of 27.02% and a net margin of 18.45%.The business had revenue of $14.67 billion for the quarter, compared to the consensus estimate of $14.63 billion. During the same quarter in the prior year, the business posted $0.87 EPS. The business's revenue for the quarter was up 7.6% on a year-over-year basis. Cisco Systems has set its Q1 2026 guidance at 0.970-0.990 EPS. FY 2026 guidance at 4.000-4.060 EPS. Equities analysts anticipate that Cisco Systems, Inc. will post 3.04 EPS for the current fiscal year.

Cisco Systems Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 22nd. Investors of record on Friday, October 3rd will be given a $0.41 dividend. The ex-dividend date of this dividend is Friday, October 3rd. This represents a $1.64 dividend on an annualized basis and a dividend yield of 2.4%. Cisco Systems's dividend payout ratio is 62.60%.

Insider Transactions at Cisco Systems

In related news, EVP Thimaya K. Subaiya sold 7,511 shares of the company's stock in a transaction dated Wednesday, August 20th. The stock was sold at an average price of $66.84, for a total value of $502,035.24. Following the completion of the sale, the executive vice president directly owned 161,467 shares of the company's stock, valued at $10,792,454.28. This represents a 4.44% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Charles Robbins sold 30,557 shares of the company's stock in a transaction dated Friday, August 15th. The shares were sold at an average price of $66.63, for a total value of $2,036,012.91. Following the completion of the sale, the chief executive officer directly owned 639,000 shares of the company's stock, valued at approximately $42,576,570. This trade represents a 4.56% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 119,095 shares of company stock worth $7,841,167. Insiders own 0.01% 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.