Neumann Capital Management LLC Acquires 19,506 Shares of Cisco Systems, Inc. $CSCO

Key Points

• Neumann Capital Management acquired 19,506 Cisco shares worth approximately $2.1 million, while institutional investors and hedge funds collectively own 73.33% of the company.
• Analyst sentiment remains favorable, with Cisco carrying a consensus “Moderate Buy” rating and an average price target of $128.52, above its recent trading price of $107.39.
• Cisco reported strong quarterly results, with revenue rising 17.6% year over year to $17.25 billion and EPS of $1.22, while maintaining a quarterly dividend of $0.42 per share, yielding about 1.6% annually.

Neumann Capital Management LLC bought a new position in shares of Cisco Systems, Inc. (NASDAQ:CSCO - Free Report) during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund bought 19,506 shares of the network equipment provider's stock, valued at approximately $2,099,000.

Several other large investors have also recently bought and sold shares of the stock. Bridgewater Advisors Inc. bought a new stake in shares of Cisco Systems in the 2nd quarter worth approximately $6,442,000. Beacon Pointe Advisors LLC acquired a new position in shares of Cisco Systems in the second quarter valued at $60,009,000. Western Wealth Management LLC lifted its position in Cisco Systems by 60.5% in the first quarter. Western Wealth Management LLC now owns 76,372 shares of the network equipment provider's stock worth $5,926,000 after purchasing an additional 28,792 shares during the period. ABN AMRO Bank N.V. bought a new position in Cisco Systems in the second quarter worth $19,114,000. Finally, USS Investment Management Ltd boosted its stake in Cisco Systems by 1.8% during the first quarter. USS Investment Management Ltd now owns 686,466 shares of the network equipment provider's stock worth $53,253,000 after buying an additional 12,251 shares in the last quarter. 73.33% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on CSCO. Wall Street Zen raised shares of Cisco Systems from a "hold" rating to a "buy" rating in a report on Sunday, October 11th. Sanford C. Bernstein began coverage on shares of Cisco Systems in a research note on Wednesday, September 30th. They set a "market perform" rating and a $110.00 price target for the company. Morgan Stanley raised their price target on shares of Cisco Systems from $130.00 to $135.00 and gave the stock an "overweight" rating in a research note on Thursday, August 13th. Rosenblatt Securities lifted their price objective on Cisco Systems from $150.00 to $165.00 and gave the company a "buy" rating in a report on Thursday, August 13th. Finally, Deutsche Bank Aktiengesellschaft assumed coverage on Cisco Systems in a research note on Tuesday, September 1st. They issued a "buy" rating and a $135.00 price objective on the stock. Three analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, Cisco Systems currently has a consensus rating of "Moderate Buy" and a consensus price target of $128.52.

Cisco Systems Price Performance

Cisco Systems stock traded down $2.46 during mid-day trading on Friday, hitting $107.39. 15,881,595 shares of the company were exchanged, compared to its average volume of 19,492,348. The company has a quick ratio of 0.79, a current ratio of 0.93 and a debt-to-equity ratio of 0.39. The business has a fifty day moving average of $111.38 and a 200 day moving average of $108.87. Cisco Systems, Inc. has a 1-year low of $68.95 and a 1-year high of $130.37. The company has a market capitalization of $423.39 billion, a PE ratio of 32.15, a price-to-earnings-growth ratio of 2.29 and a beta of 0.99.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last issued its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.17 by $0.05. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%. The company had revenue of $17.25 billion during the quarter, compared to analysts' expectations of $16.84 billion. During the same period last year, the business earned $0.99 earnings per share. The business's revenue was up 17.6% on a year-over-year basis. 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, sell-side analysts expect that Cisco Systems, Inc. will post 4.42 earnings per share for the current year.

Cisco Systems Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 21st. Investors of record on Friday, October 2nd will be given a dividend of $0.42 per share. The ex-dividend date is Friday, October 2nd. This represents a $1.68 dividend on an annualized basis and a dividend yield of 1.6%. Cisco Systems's dividend payout ratio (DPR) is 50.30%.

Insider Activity

In related news, CEO Charles Robbins sold 21,628 shares of Cisco Systems stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $111.54, for a total transaction of $2,412,387.12. Following the completion of the transaction, the chief executive officer directly owned 602,710 shares of the company's stock, valued at $67,226,273.40. This trade represents a 3.46% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Deborah Stahlkopf sold 6,487 shares of the business's stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $111.53, for a total transaction of $723,495.11. Following the completion of the transaction, the executive vice president owned 167,116 shares in the company, valued at approximately $18,638,447.48. This trade represents a 3.74% decrease in their ownership of the stock. 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 sold a total of 44,869 shares of company stock worth $5,005,620 over the last ninety days. Corporate insiders own 0.01% of the company's stock.

Cisco Systems News Summary

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

• Positive Sentiment: AI infrastructure collaboration: Cisco and NVIDIA are developing a 400G optical standard for AI data centers, designed to increase bandwidth density and support an open hardware ecosystem. The initiative could strengthen Cisco’s position in large-scale AI networking. Cisco Backs a New 400G Optical Standard for AI Data Centers
• Positive Sentiment: Strong demand and sales momentum: Cisco’s AI infrastructure spending and campus-network upgrades are supporting demand. Analysts also highlighted the company’s 17.6% year-over-year quarterly sales growth—the fastest pace in roughly a decade—as evidence of improving fundamentals. How Rare Is Cisco’s Record Sales Growth?
• Positive Sentiment: Relative valuation appeal: A comparison with Astera Labs argues that Cisco offers greater potential upside at a lower valuation while benefiting from robust networking demand, though Astera has delivered stronger recent stock performance. ALAB vs. CSCO: Which AI Infrastructure Stock Is a Better Buy?
• Neutral Sentiment: Recurring-revenue question: Investors are assessing whether Cisco can sustain software and support renewals after the current equipment-upgrade cycle slows. Recurring revenue would provide stability, but the articles do not offer new renewal data. Can Software Renewals Outlast the Networking Upgrade Cycle?
• Negative Sentiment: Competitive and headline risks: Arista Networks has outperformed Cisco in AI networking, underscoring competitive concerns. Separately, Cisco’s multimillion-dollar donation to a White House ballroom project could create reputational or political controversy, although it has no direct financial impact disclosed. Nvidia and Cisco Confirm Donations to White House Ballroom

Cisco Systems Company Profile

Cisco Systems, Inc is a global technology company that develops networking, cybersecurity, collaboration, observability and data center solutions. Its products and services help businesses, governments, educational institutions and other organizations connect users and devices, manage infrastructure, protect digital environments and support cloud-based operations.

Cisco's portfolio includes routers and switches, wireless networking equipment, network management software, firewalls, identity and access tools, endpoint security products, collaboration applications and observability platforms.

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