King Luther Capital Management Corp Acquires 5,743 Shares of Cisco Systems, Inc. (NASDAQ:CSCO)

Key Points

• King Luther Capital Management Corp increased its holdings in Cisco Systems by 1.1%, acquiring an additional 5,743 shares, bringing their total ownership to 551,605 shares valued at $34 million.
• Cisco reported earnings per share of $0.96 for the last quarter, beating estimates of $0.92, with a revenue of $14.15 billion, which exceeded expectations of $14.05 billion.
• The company declared a quarterly dividend of $0.41 per share, yielding 2.3%, with a payout ratio of approximately 66.94%.

King Luther Capital Management Corp increased its holdings in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 1.1% in the first quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 551,605 shares of the network equipment provider's stock after purchasing an additional 5,743 shares during the quarter. King Luther Capital Management Corp's holdings in Cisco Systems were worth $34,040,000 as of its most recent filing with the SEC.

A number of other hedge funds also recently added to or reduced their stakes in CSCO. Goldman Sachs Group Inc. increased its stake in Cisco Systems by 37.4% in the first quarter. Goldman Sachs Group Inc. now owns 46,973,293 shares of the network equipment provider's stock valued at $2,898,722,000 after acquiring an additional 12,775,066 shares during the last quarter. Pacer Advisors Inc. raised its position in Cisco Systems by 1,144.2% in the 1st quarter. Pacer Advisors Inc. now owns 8,120,886 shares of the network equipment provider's stock valued at $501,140,000 after purchasing an additional 7,468,212 shares during the last quarter. Alyeska Investment Group L.P. acquired a new stake in shares of Cisco Systems during the 4th quarter worth about $413,491,000. GAMMA Investing LLC boosted its holdings in Cisco Systems by 7,096.5% in the first quarter. GAMMA Investing LLC now owns 6,718,402 shares of the network equipment provider's stock worth $414,593,000 after purchasing an additional 6,625,045 shares during the period. Finally, Caisse DE Depot ET Placement DU Quebec increased its stake in Cisco Systems by 187.9% in the 4th quarter. Caisse DE Depot ET Placement DU Quebec now owns 7,478,872 shares of the network equipment provider's stock worth $442,749,000 after purchasing an additional 4,880,747 shares in the last quarter. 73.33% of the stock is currently owned by institutional investors.

Cisco Systems Stock Performance

NASDAQ:CSCO traded up $1.89 during mid-day trading on Friday, reaching $71.79. 31,389,613 shares of the company's stock were exchanged, compared to its average volume of 17,540,942. The business's fifty day simple moving average is $67.49 and its two-hundred day simple moving average is $63.05. Cisco Systems, Inc. has a one year low of $44.50 and a one year high of $72.02. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.87 and a current ratio of 0.95. The firm has a market capitalization of $284.29 billion, a PE ratio of 29.30, a price-to-earnings-growth ratio of 3.98 and a beta of 0.91.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last issued its quarterly earnings data on Wednesday, May 14th. The network equipment provider reported $0.96 EPS for the quarter, topping the consensus estimate of $0.92 by $0.04. The company had revenue of $14.15 billion during the quarter, compared to analyst estimates of $14.05 billion. Cisco Systems had a return on equity of 26.48% and a net margin of 17.60%. Cisco Systems's revenue was up 11.4% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.88 earnings per share. Analysts anticipate that Cisco Systems, Inc. will post 3.04 earnings per share for the current fiscal year.

Cisco Systems Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 23rd. Investors of record on Thursday, July 3rd were given a dividend of $0.41 per share. The ex-dividend date was Thursday, July 3rd. This represents a $1.64 dividend on an annualized basis and a yield of 2.3%. Cisco Systems's dividend payout ratio (DPR) is presently 66.94%.

Analyst Ratings Changes

CSCO has been the topic of a number of recent research reports. Rosenblatt Securities lifted their target price on Cisco Systems from $63.00 to $74.00 and gave the company a "buy" rating in a research report on Thursday, May 15th. Wall Street Zen lowered Cisco Systems from a "strong-buy" rating to a "buy" rating in a research note on Saturday, July 12th. Morgan Stanley lifted their price objective on Cisco Systems from $67.00 to $70.00 and gave the company an "overweight" rating in a research note on Friday, July 18th. Citigroup lifted their price objective on Cisco Systems from $68.00 to $71.00 and gave the company a "buy" rating in a research note on Thursday, May 15th. Finally, Barclays restated an "equal weight" rating on shares of Cisco Systems in a research report on Wednesday, May 21st. Eight equities research analysts have rated the stock with a hold rating, sixteen have assigned a buy rating and two have issued a strong buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $70.55.

Insider Activity

In related news, EVP Deborah L. Stahlkopf sold 9,643 shares of the business's stock in a transaction dated Friday, May 16th. The stock was sold at an average price of $63.50, for a total transaction of $612,330.50. Following the transaction, the executive vice president directly owned 181,186 shares in the company, valued at $11,505,311. The trade was a 5.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Charles Robbins sold 29,784 shares of the stock in a transaction dated Thursday, June 5th. The stock was sold at an average price of $64.61, for a total transaction of $1,924,344.24. Following the transaction, the chief executive officer owned 688,409 shares of the company's stock, valued at approximately $44,478,105.49. This represents a 4.15% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 97,335 shares of company stock valued at $6,271,054 in the last 90 days. 0.01% of the stock is owned by insiders.

Cisco Systems 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.