Focus Partners Advisor Solutions LLC Purchases New Stake in Cisco Systems, Inc. $CSCO

Key Points

• Focus Partners Advisor Solutions LLC bought 104,857 Cisco shares in the second quarter, valued at approximately $12.3 million. Institutional investors and hedge funds collectively own 73.33% of the company.
• Cisco reported fiscal fourth-quarter revenue of $17.25 billion and adjusted EPS of $1.22, beating estimates, while AI infrastructure orders increased sharply. Management also issued stronger fiscal 2027 growth guidance, driven by hyperscaler and data-center demand.
• Investors remain concerned about margin pressure from lower-margin AI hardware and Cisco’s elevated valuation, contributing to recent share-price weakness despite the earnings beat. The company declared a quarterly dividend of $0.42 per share, equivalent to a 1.5% annualized yield.

Focus Partners Advisor Solutions LLC purchased a new stake in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 104,857 shares of the network equipment provider's stock, valued at approximately $12,317,000.

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Cozad Asset Management Inc. lifted its stake in shares of 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 worth $2,033,000 after buying an additional 87 shares during the last quarter. Dogwood Wealth Management LLC grew its stake in Cisco Systems by 3.9% in the 2nd quarter. Dogwood Wealth Management LLC now owns 2,413 shares of the network equipment provider's stock valued at $283,000 after buying an additional 90 shares during the last quarter. Financial Insights Inc. grew its stake in Cisco Systems by 1.5% in the 1st quarter. Financial Insights Inc. now owns 6,220 shares of the network equipment provider's stock valued at $483,000 after buying an additional 92 shares during the last quarter. CPA Asset Management Group LLC raised its holdings in Cisco Systems by 1.8% in the 2nd quarter. CPA Asset Management Group LLC now owns 5,335 shares of the network equipment provider's stock valued at $627,000 after acquiring an additional 93 shares during the period. Finally, Southern Financial Group LLC lifted its position in Cisco Systems by 1.1% during the first quarter. Southern Financial Group LLC now owns 9,159 shares of the network equipment provider's stock worth $711,000 after acquiring an additional 102 shares during the last quarter. 73.33% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Cisco Systems

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

• Positive Sentiment: AI demand is accelerating. Cisco reported fiscal Q4 revenue of approximately $17.3 billion, up 18% year over year, and adjusted EPS of $1.22 versus the $1.17 consensus estimate. AI infrastructure orders increased 4.5 times to $9.3 billion for fiscal 2026, while management expects approximately $7.5 billion of hyperscaler AI infrastructure revenue in fiscal 2027. Chuck Robbins Says AI Is Fueling a Networking Supercycle
• Positive Sentiment: Fiscal 2027 guidance exceeded expectations. Management forecast roughly 15% revenue growth, supported by hyperscaler spending, data-center switching and broader networking upgrades. Several firms—including UBS, Truist, Wells Fargo, KeyCorp, Morgan Stanley and Rosenblatt—raised their price targets and maintained bullish ratings, suggesting long-term upside if the AI networking cycle continues. Cisco Just Gave Investors Three Big Reasons to Be Bullish
• Neutral Sentiment: The market is demanding faster growth. Despite the earnings beat and upbeat outlook, Cisco’s shares have decreased because expectations were already elevated after a substantial rally. Investors are questioning whether the company’s AI momentum can remain strong beyond the current infrastructure buildout and whether Cisco’s premium valuation is justified. Cisco Shares Slide Despite Earnings Beat and Strong Guidance
• Negative Sentiment: Margin pressure is the primary concern. AI infrastructure growth is arriving mainly through lower-margin hardware, creating mix-related gross-margin compression and raising questions about how profitably Cisco can scale orders. HSBC downgraded CSCO to Hold from Buy and reduced its price target to $120 from $137, citing a lack of near-term catalysts even after the strong quarter. Cisco Beat on Every Line, Then Fell on What AI Costs to Ship

Cisco Systems Price Performance

Cisco Systems stock opened at $111.68 on Friday. The stock's fifty day moving average price is $117.03 and its two-hundred day moving average price is $99.09. Cisco Systems, Inc. has a one year low of $65.75 and a one year high of $130.37. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.93 and a quick ratio of 0.81. The firm has a market cap of $440.18 billion, a PE ratio of 33.44, a price-to-earnings-growth ratio of 2.52 and a beta of 1.02.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last announced its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share for the quarter, beating the consensus estimate of $1.17 by $0.05. The firm had revenue of $17.25 billion during the quarter, compared to analysts' expectations of $16.84 billion. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%.The company's quarterly revenue was up 17.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.99 EPS. 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. As a group, research analysts expect that Cisco Systems, Inc. will post 4.09 EPS for the current fiscal year.

Cisco Systems Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 21st. Investors of record on Friday, October 2nd will be paid a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend is Friday, October 2nd. Cisco Systems's payout ratio is 50.30%.

Insider Buying and Selling

In other news, CEO Charles Robbins sold 21,400 shares of the business's stock in a transaction that occurred on Friday, May 22nd. The shares were 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 directly owned 637,085 shares in the company, valued at approximately $76,469,312.55. The trade was a 3.25% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thimaya K. Subaiya sold 7,127 shares of the company's stock in a transaction that occurred 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 sale, the executive vice president directly owned 140,857 shares of the company's stock, valued at approximately $16,890,162.87. This trade represents a 4.82% 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. Insiders sold 31,134 shares of company stock valued at $3,739,000 over the last quarter. 0.01% of the stock is owned by company insiders.

Analyst Ratings Changes

A number of brokerages have recently issued reports on CSCO. Argus boosted 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. Wells Fargo & Company increased their target price on Cisco Systems from $130.00 to $150.00 and gave the stock an "overweight" rating in a research note on Thursday. Weiss Ratings raised Cisco Systems from a "buy (b-)" rating to a "buy (b)" rating in a report on Friday, May 29th. New Street Research boosted their price target on Cisco Systems from $82.00 to $122.00 and gave the company a "neutral" rating in a research note on Thursday, May 14th. Finally, Morgan Stanley upped their price objective on Cisco Systems from $130.00 to $135.00 and gave the company an "overweight" rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and seven have given a Hold rating to the company's stock. According to data from MarketBeat, Cisco Systems currently has a consensus rating of "Moderate Buy" and an average target price of $129.43.

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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