Zacks Investment Research cut shares of Cisco Systems Inc. (NASDAQ:CSCO) from a buy rating to a sell rating in a research note issued to investors on Tuesday.

According to Zacks, “Cisco Systems is the leading provider of IP-based networking and other products. The modest first-quarter results and the disappointing guidance will weigh on the stock price in the near term. Intensifying competition from several smaller players, slowing order growth from service providers and challenges in the emerging markets are the primary headwinds. Nonetheless, we believe Cisco’s expanding footprint in the rapidly growing security and data center market are promising. Moreover, partnerships with the likes of Pure Storage, salesforce.com and IBM will help Cisco to gain signficant traction in the data center, cloud and Internet of Things (IoT) market in the long haul. Further, continued share buyback and dividend hikes are positive.”

Several other research firms also recently commented on CSCO. Vetr downgraded shares of Cisco Systems from a buy rating to a hold rating and set a $32.71 target price on the stock. in a report on Monday, September 5th. RBC Capital Markets reissued an outperform rating and issued a $35.00 target price on shares of Cisco Systems in a report on Sunday, September 4th. Deutsche Bank AG reissued a buy rating and issued a $35.00 target price on shares of Cisco Systems in a report on Tuesday, September 6th. Raymond James Financial Inc. boosted their target price on shares of Cisco Systems from $32.00 to $34.00 and gave the stock an outperform rating in a report on Friday, September 23rd. Finally, JMP Securities reissued a market perform rating on shares of Cisco Systems in a report on Wednesday, October 5th. Two research analysts have rated the stock with a sell rating, thirteen have given a hold rating, twenty-one have assigned a buy rating and one has issued a strong buy rating to the company. The stock has an average rating of Buy and an average target price of $32.73.

Analyst Recommendations for Cisco Systems (NASDAQ:CSCO)

Cisco Systems (NASDAQ:CSCO) traded down 0.47% during trading on Tuesday, hitting $29.75. 5,095,081 shares of the company traded hands. The company’s 50 day moving average is $30.70 and its 200-day moving average is $30.06. The stock has a market capitalization of $149.55 billion, a PE ratio of 14.23 and a beta of 1.42. Cisco Systems has a 52 week low of $22.46 and a 52 week high of $31.95.

Cisco Systems (NASDAQ:CSCO) last issued its quarterly earnings results on Wednesday, November 16th. The network equipment provider reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.59 by $0.02. Cisco Systems had a net margin of 21.73% and a return on equity of 17.50%. The business had revenue of $12.35 billion for the quarter, compared to the consensus estimate of $12.34 billion. During the same quarter in the previous year, the firm earned $0.59 earnings per share. The company’s revenue for the quarter was down 2.6% on a year-over-year basis. Analysts predict that Cisco Systems will post $2.39 earnings per share for the current year.

The firm also recently announced a quarterly dividend, which was paid on Wednesday, October 26th. Shareholders of record on Wednesday, October 5th were paid a dividend of $0.26 per share. This represents a $1.04 annualized dividend and a yield of 3.48%. The ex-dividend date was Monday, October 3rd. Cisco Systems’s payout ratio is currently 49.52%.

In other news, Director Carol Bartz sold 15,000 shares of the business’s stock in a transaction on Thursday, August 25th. The stock was sold at an average price of $31.25, for a total value of $468,750.00. Following the sale, the director now owns 23,104 shares of the company’s stock, valued at approximately $722,000. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Charles Robbins sold 148,800 shares of the business’s stock in a transaction on Tuesday, September 13th. The stock was sold at an average price of $31.01, for a total value of $4,614,288.00. Following the completion of the sale, the chief executive officer now directly owns 629,813 shares in the company, valued at approximately $19,530,501.13. The disclosure for this sale can be found here. Company insiders own 0.11% of the company’s stock.

Several hedge funds have recently bought and sold shares of CSCO. Riggs Asset Managment Co. Inc. increased its stake in Cisco Systems by 6.7% in the second quarter. Riggs Asset Managment Co. Inc. now owns 3,570 shares of the network equipment provider’s stock worth $102,000 after buying an additional 225 shares in the last quarter. Proficio Capital Partners LLC increased its stake in Cisco Systems by 7.0% in the third quarter. Proficio Capital Partners LLC now owns 3,211 shares of the network equipment provider’s stock worth $102,000 after buying an additional 210 shares in the last quarter. Orrstown Financial Services Inc. increased its stake in Cisco Systems by 89.3% in the third quarter. Orrstown Financial Services Inc. now owns 3,243 shares of the network equipment provider’s stock worth $103,000 after buying an additional 1,530 shares in the last quarter. Reilly Financial Advisors LLC increased its stake in Cisco Systems by 9.5% in the third quarter. Reilly Financial Advisors LLC now owns 3,289 shares of the network equipment provider’s stock worth $104,000 after buying an additional 286 shares in the last quarter. Finally, Nelson Van Denburg & Campbell Wealth Management Group LLC increased its stake in Cisco Systems by 112.3% in the third quarter. Nelson Van Denburg & Campbell Wealth Management Group LLC now owns 3,418 shares of the network equipment provider’s stock worth $108,000 after buying an additional 1,808 shares in the last quarter. 75.09% of the stock is currently owned by institutional investors.

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About Cisco Systems

Cisco System, Inc (Cisco) designs and sells lines of products, provides services and delivers integrated solutions to develop and connect networks around the world, building the Internet. The Company is engaged in designing, manufacturing and selling Internet Protocol (IP)-based networking and other products related to the communications and information technology (IT) industry, and provides services associated with these products and their use.

5 Day Chart for NASDAQ:CSCO

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