Macquarie Group Ltd. Trims Stake in Cisco Systems, Inc. $CSCO

Key Points

• Macquarie Group cut its Cisco stake by 42% in the fourth quarter, selling 1.7 million shares and leaving it with 2.38 million shares worth about $183.1 million.
• Cisco is drawing support from major institutions and analysts: several funds increased their holdings, and Morgan Stanley raised its price target to $130 while keeping an overweight rating.
• The company continues to post solid operating results, with its latest quarter beating earnings and revenue estimates, and it also raised its outlook for fiscal 2026 while maintaining a quarterly dividend of $0.42 per share.

Macquarie Group Ltd. reduced its position in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) by 42.0% during the 4th quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 2,378,329 shares of the network equipment provider's stock after selling 1,719,343 shares during the quarter. Cisco Systems comprises about 0.8% of Macquarie Group Ltd.'s portfolio, making the stock its 17th biggest position. Macquarie Group Ltd. owned 0.06% of Cisco Systems worth $183,119,000 at the end of the most recent reporting period.

Several other institutional investors also recently bought and sold shares of CSCO. Norges Bank purchased a new position in Cisco Systems during the 4th quarter worth $4,473,272,000. Arrowstreet Capital Limited Partnership increased its holdings in Cisco Systems by 110.2% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 18,406,442 shares of the network equipment provider's stock worth $1,259,369,000 after purchasing an additional 9,648,265 shares during the period. Franklin Resources Inc. increased its holdings in Cisco Systems by 18.0% during the 4th quarter. Franklin Resources Inc. now owns 50,320,905 shares of the network equipment provider's stock worth $3,876,219,000 after purchasing an additional 7,679,422 shares during the period. Wellington Management Group LLP increased its holdings in Cisco Systems by 19.5% during the 3rd quarter. Wellington Management Group LLP now owns 33,748,414 shares of the network equipment provider's stock worth $2,309,066,000 after purchasing an additional 5,498,375 shares during the period. Finally, Invesco Ltd. increased its holdings in shares of Cisco Systems by 10.5% in the 3rd quarter. Invesco Ltd. now owns 53,612,720 shares of the network equipment provider's stock valued at $3,668,182,000 after acquiring an additional 5,081,469 shares during the period. 73.33% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Cisco Systems

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

• Positive Sentiment: Cisco expanded its AI agentic security portfolio, adding Zero Trust Access for agents and new partnerships aimed at meeting rising enterprise demand for AI protection. Cisco Expands AI Agentic Security Portfolio: What's Ahead in 2026?
• Positive Sentiment: The company also unveiled broader AI security and quantum-safe initiatives, including Cloud Control and Live Protect, reinforcing the view that Cisco is well positioned for secure AI infrastructure spending. Cisco AI Security Push And Quantum Plans Test Investor Expectations
• Positive Sentiment: Morgan Stanley raised its price target on Cisco to $130 from $120 and kept an overweight rating, signaling confidence in further upside. Morgan Stanley price target note
• Positive Sentiment: Technical commentary says Cisco broke above its 20-day moving average, which traders often view as a short-term bullish signal. Cisco Systems (CSCO) Recently Broke Out Above the 20-Day Moving Average
• Neutral Sentiment: Investor and media attention remains elevated, with Cisco among the most searched stocks on Zacks, reflecting continued interest in the name. Investors Heavily Search Cisco Systems, Inc. (CSCO): Here is What You Need to Know
• Negative Sentiment: EVP Oliver Tuszik sold 2,607 shares in a pre-arranged 10b5-1 transaction, a routine insider sale that may modestly pressure sentiment. SEC Form 4 filing

Insiders Place Their Bets

In related news, EVP Oliver Tuszik sold 3,132 shares of the business's stock in a transaction on Wednesday, March 18th. The stock was sold at an average price of $79.74, for a total transaction of $249,745.68. Following the transaction, the executive vice president directly owned 188,613 shares in the company, valued at $15,040,000.62. The trade was a 1.63% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Charles Robbins sold 21,400 shares of the business's stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $120.03, for a total value of $2,568,642.00. Following the transaction, the chief executive officer owned 637,085 shares in the company, valued at approximately $76,469,312.55. This trade represents a 3.25% decrease in their ownership of the stock. 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 have sold 51,636 shares of company stock valued at $5,698,459 in the last 90 days. Corporate insiders own 0.01% of the company's stock.

Cisco Systems Stock Down 0.6%

Shares of CSCO stock opened at $121.10 on Friday. Cisco Systems, Inc. has a 1-year low of $63.93 and a 1-year high of $130.37. The stock's fifty day moving average price is $102.28 and its 200 day moving average price is $86.50. The company has a debt-to-equity ratio of 0.40, a current ratio of 0.92 and a quick ratio of 0.81. The company has a market cap of $477.31 billion, a price-to-earnings ratio of 39.32, a price-to-earnings-growth ratio of 3.10 and a beta of 1.01.

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

Cisco Systems Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 22nd. Investors of record on Monday, July 6th will be paid a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a yield of 1.4%. The ex-dividend date is Monday, July 6th. Cisco Systems's payout ratio is 54.55%.

Analyst Upgrades and Downgrades

CSCO has been the topic of a number of analyst reports. Truist Financial initiated coverage on Cisco Systems in a report on Tuesday, March 31st. They issued a "buy" rating and a $94.00 price target on the stock. Barclays lifted their price target on Cisco Systems from $76.00 to $121.00 and gave the company an "equal weight" rating in a report on Thursday, May 14th. Evercore lifted their price target on Cisco Systems from $110.00 to $150.00 and gave the company an "outperform" rating in a report on Thursday, May 14th. Morgan Stanley lifted their price target on Cisco Systems from $120.00 to $130.00 and gave the company an "overweight" rating in a report on Friday. Finally, Weiss Ratings upgraded Cisco Systems from a "buy (b-)" rating to a "buy (b)" rating in a report on Friday, May 29th. Two 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's stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $120.64.

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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