Cisco Systems, Inc. $CSCO Shares Sold by Sterling Capital Management LLC

Key Points

• Sterling Capital Management cut its Cisco stake by 72.4% in the first quarter, selling 104,405 shares and leaving it with 39,840 shares valued at about $3.1 million.
• Cisco reported better-than-expected fiscal Q3 results, with EPS of $1.06 and revenue of $15.84 billion, both topping analyst estimates; revenue also rose 12% year over year.
• The company continues to return cash to shareholders, announcing a quarterly dividend of $0.42 per share to be paid July 22, while analysts remain generally constructive with an average Moderate Buy rating and a $123.14 price target.

Sterling Capital Management LLC cut its holdings in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 72.4% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 39,840 shares of the network equipment provider's stock after selling 104,405 shares during the period. Sterling Capital Management LLC's holdings in Cisco Systems were worth $3,091,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently made changes to their positions in CSCO. Vanguard Group Inc. increased its holdings in shares of Cisco Systems by 1.0% during 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 acquiring an additional 4,049,893 shares in the last quarter. State Street Corp boosted its stake in Cisco Systems by 0.5% in the 4th quarter. State Street Corp now owns 195,521,161 shares of the network equipment provider's stock worth $15,060,995,000 after purchasing an additional 1,057,962 shares in the last quarter. Morgan Stanley grew its position in Cisco Systems by 0.3% during the 4th quarter. Morgan Stanley now owns 75,326,258 shares of the network equipment provider's stock worth $5,802,382,000 after purchasing an additional 206,352 shares during the last quarter. Invesco Ltd. grew its position in Cisco Systems by 11.6% during the 4th quarter. Invesco Ltd. now owns 59,836,782 shares of the network equipment provider's stock worth $4,609,227,000 after purchasing an additional 6,224,062 shares during the last quarter. Finally, Norges Bank acquired a new position in Cisco Systems during the 4th quarter valued at approximately $4,473,272,000. Hedge funds and other institutional investors own 73.33% of the company's stock.

Cisco Systems Stock Performance

Shares of CSCO stock opened at $113.77 on Monday. Cisco Systems, Inc. has a fifty-two week low of $65.75 and a fifty-two week high of $130.37. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.81 and a current ratio of 0.92. The stock's fifty day moving average is $109.79 and its two-hundred day moving average is $89.54. The firm has a market capitalization of $448.42 billion, a P/E ratio of 36.94, a PEG ratio of 2.90 and a beta of 1.01.

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

Cisco Systems Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 22nd. Stockholders of record on Monday, July 6th will be issued a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a dividend yield of 1.5%. The ex-dividend date is Monday, July 6th. Cisco Systems's payout ratio is currently 54.55%.

Insider Buying and Selling at Cisco Systems

In other Cisco Systems news, EVP Thimaya K. Subaiya sold 7,127 shares of the business's stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $119.91, for a total transaction of $854,598.57. Following the transaction, the executive vice president owned 140,857 shares of the company's stock, valued at approximately $16,890,162.87. The trade was a 4.82% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, 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 owned 177,223 shares of the company's stock, valued at approximately $20,790,030.13. The trade was a 3.58% 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. Over the last quarter, insiders sold 47,650 shares of company stock worth $5,668,823. 0.01% of the stock is owned by company insiders.

Trending Headlines about Cisco Systems

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

• Positive Sentiment: KeyCorp raised its price target on Cisco to $130 and reiterated an Overweight rating, suggesting upside from current levels. Cisco Systems price target raised by KeyCorp
• Positive Sentiment: Cisco received a consensus rating of “Moderate Buy” from brokerages, reinforcing a generally favorable long-term analyst view. Cisco Systems receives consensus rating of Moderate Buy from brokerages
• Positive Sentiment: A valuation update lifted Cisco’s fair value estimate modestly, with analysts pointing to stronger AI networking execution, campus refresh demand, and optical growth tied to Acacia. Cisco stock sees modest fair value lift after AI networking target raises
• Neutral Sentiment: Cisco joined a Linux Foundation-led initiative, Akrites, aimed at strengthening critical open-source software against AI-enabled cyber threats, which may support its cybersecurity positioning but is not an immediate earnings driver. Linux Foundation and industry leaders launch Akrites
• Neutral Sentiment: Recent earnings coverage highlighted Cisco’s latest quarterly results and broader IT-services tech trends, but did not add a major new catalyst by itself. Q1 earnings roundup: Cisco and the rest of the IT services & other tech segment
• Negative Sentiment: Cisco disclosed plans to lay off more than 400 workers in California, which can signal cost-cutting or restructuring pressure and may weigh on sentiment. Cisco to lay off more than 400 workers in California
• Negative Sentiment: Broader tech weakness, including an AI and memory-stock selloff tied to an OpenAI IPO delay report, may also be dragging on Cisco shares. Nvidia, Micron, AMD lead chip selloff on OpenAI IPO delay report rattles tech

Analyst Upgrades and Downgrades

A number of equities research analysts have recently weighed in on the stock. JPMorgan Chase & Co. boosted their price objective on shares of Cisco Systems from $95.00 to $96.00 in a report on Monday, May 11th. Truist Financial initiated coverage on Cisco Systems in a research report on Tuesday, March 31st. They set a "buy" rating and a $94.00 price target for the company. Citigroup boosted their price target on Cisco Systems from $90.00 to $112.00 and gave the company a "buy" rating in a research note on Thursday, May 14th. Evercore lifted their target price on Cisco Systems from $110.00 to $150.00 and gave the stock an "outperform" rating in a report on Thursday, May 14th. Finally, Weiss Ratings upgraded shares of Cisco Systems from a "buy (b-)" rating to a "buy (b)" rating in a report on Friday, May 29th. Two research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $123.14.

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.

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