Cisco Systems, Inc. $CSCO Shares Sold by King Luther Capital Management Corp

Key Points

• King Luther Capital Management trimmed its Cisco stake by 1.8% in the fourth quarter, selling 10,395 shares and ending with 566,304 shares valued at about $43.6 million.
• Cisco’s latest quarter beat expectations, reporting EPS of $1.06 on revenue of $15.84 billion, both above estimates, while revenue rose 12% year over year. The company also issued upbeat Q4 FY2026 and full-year FY2026 guidance.
• Analyst sentiment remains constructive, with multiple firms raising price targets after earnings and Cisco benefiting from enthusiasm around AI-driven networking demand; the stock currently carries a consensus “Moderate Buy” rating.

King Luther Capital Management Corp lowered its stake in Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 1.8% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 566,304 shares of the network equipment provider's stock after selling 10,395 shares during the period. King Luther Capital Management Corp's holdings in Cisco Systems were worth $43,622,000 at the end of the most recent reporting period.

A number of other institutional investors have also modified their holdings of CSCO. Arrowstreet Capital Limited Partnership increased its holdings in shares of Cisco Systems by 110.2% in the third quarter. Arrowstreet Capital Limited Partnership now owns 18,406,442 shares of the network equipment provider's stock valued at $1,259,369,000 after purchasing an additional 9,648,265 shares during the period. Wellington Management Group LLP increased its holdings in shares of Cisco Systems by 19.5% in the third quarter. Wellington Management Group LLP now owns 33,748,414 shares of the network equipment provider's stock valued at $2,309,066,000 after purchasing an additional 5,498,375 shares during the period. Invesco Ltd. increased its holdings in shares of Cisco Systems by 10.5% in the third quarter. Invesco Ltd. now owns 53,612,720 shares of the network equipment provider's stock valued at $3,668,182,000 after purchasing an additional 5,081,469 shares during the period. Vanguard Group Inc. increased its holdings in shares of Cisco Systems by 1.0% in the fourth quarter. Vanguard Group Inc. now owns 398,943,293 shares of the network equipment provider's stock valued at $30,730,602,000 after purchasing an additional 4,049,893 shares during the period. Finally, Bank Julius Baer & Co. Ltd Zurich increased its holdings in shares of Cisco Systems by 875.6% in the fourth quarter. Bank Julius Baer & Co. Ltd Zurich now owns 4,084,965 shares of the network equipment provider's stock valued at $314,925,000 after purchasing an additional 3,666,258 shares during the period. Institutional investors and hedge funds own 73.33% of the company's stock.

Cisco Systems Stock Performance

Shares of CSCO opened at $118.33 on Wednesday. The company has a 50-day simple moving average of $90.99 and a 200-day simple moving average of $82.24. The company has a quick ratio of 0.81, a current ratio of 0.92 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $466.39 billion, a PE ratio of 38.42, a P/E/G ratio of 3.66 and a beta of 0.92. Cisco Systems, Inc. has a 52-week low of $62.30 and a 52-week high of $120.79.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last announced its quarterly earnings results on Wednesday, May 13th. The network equipment provider reported $1.06 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.03 by $0.03. The business had revenue of $15.84 billion during the quarter, compared to the consensus estimate of $15.56 billion. Cisco Systems had a net margin of 20.14% and a return on equity of 28.44%. The business's revenue was up 12.0% compared to the same quarter last year. During the same quarter last year, the firm posted $0.96 EPS. 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. Equities research analysts predict that Cisco Systems, Inc. will post 3.44 earnings per share for the current fiscal year.

Cisco Systems Announces Dividend

The company also recently announced 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. The ex-dividend date of this dividend is Monday, July 6th. This represents a $1.68 annualized dividend and a yield of 1.4%. Cisco Systems's dividend payout ratio is 54.55%.

Analyst Ratings Changes

A number of research analysts have recently issued reports on CSCO shares. CICC Research boosted their target price on Cisco Systems from $96.00 to $125.00 and gave the company an "outperform" rating in a report on Monday, May 18th. Wall Street Zen lowered Cisco Systems from a "buy" rating to a "hold" rating in a report on Saturday, March 14th. Wells Fargo & Company upped their price objective on Cisco Systems from $95.00 to $130.00 and gave the stock an "overweight" rating in a report on Thursday, May 14th. The Goldman Sachs Group upped their price objective on Cisco Systems from $75.00 to $116.00 and gave the stock a "neutral" rating in a report on Thursday, May 14th. Finally, Argus upped their price objective on Cisco Systems from $100.00 to $150.00 and gave the stock a "buy" rating in a report on Tuesday, May 19th. Two research analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eight have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $119.09.

Insider Buying and Selling

In other Cisco Systems news, insider Jeetendra I. Patel sold 7,169 shares of the company's stock in a transaction on Friday, May 15th. The stock was sold at an average price of $117.28, for a total value of $840,780.32. Following the sale, the insider owned 246,737 shares of the company's stock, valued at approximately $28,937,315.36. This represents a 2.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Deborah L. Stahlkopf sold 6,586 shares of the company's stock in a transaction on Friday, May 15th. The shares were sold at an average price of $117.31, for a total value of $772,603.66. Following the completion of the sale, the executive vice president directly owned 177,223 shares in the company, valued at $20,790,030.13. This trade represents a 3.58% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 29,924 shares of company stock valued at $2,991,192 in the last three months. 0.01% of the stock is owned by insiders.

Key Headlines Impacting Cisco Systems

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

• Positive Sentiment: Bank of America raised Cisco’s price target to $135 from $114 and kept a Buy rating, citing stronger demand for high-speed optical networking equipment tied to AI infrastructure spending. BofA raises Cisco, Ciena targets as AI optics boom accelerates
• Positive Sentiment: Rosenblatt also raised its price target on Cisco to $150 from $100 and maintained a Buy rating after the company’s latest quarterly results, reinforcing bullish sentiment around the post-earnings setup. Rosenblatt Raises its Price Target on Cisco Systems (CSCO)
• Positive Sentiment: Coverage highlighted Cisco as a major beneficiary of the AI networking buildout, with investors increasingly favoring Cisco over some peers in the AI infrastructure trade. Cisco Soars 32% in a Month, Arista Falls 10%, Broadcom Drifts: The AI Networking Trade Has a Clear Winner
• Positive Sentiment: Recent reports said Cisco and NVIDIA delivered record results this earnings cycle, suggesting Cisco is benefiting from strong AI-driven demand trends. AI Buildout Fuels Record Results for These Companies
• Neutral Sentiment: Articles comparing Nvidia’s growth trajectory to Cisco’s 1990s expansion keep Cisco in the market conversation, but this is more of a valuation/history narrative than a direct catalyst. Nvidia Sales Growth Looks Like Cisco. That’s Not Necessarily a Bad Thing.

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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