Shares of Cisco Systems, Inc. (NASDAQ:CSCO – Get Free Report) fell 1.7% during mid-day trading on Monday . The company traded as low as $117.26 and last traded at $119.25. 16,436,976 shares were traded during trading, a decline of 31% from the average session volume of 23,946,510 shares. The stock had previously closed at $121.31.
Key Stories Impacting Cisco Systems
Here are the key news stories impacting Cisco Systems this week:
- Positive Sentiment: Analysts and market commentary highlighted Cisco as a beneficiary of growing AI security demand, with some pieces arguing the company has a more attractive valuation than peers like CrowdStrike and still has room for a rerating. CRWD vs. CSCO: Which Cybersecurity Stock Should You Buy Right Now?
- Positive Sentiment: Multiple articles pointed to Cisco’s expanding AI-related product and infrastructure strategy, including increased demand for AI networking and the company’s data center expansion in Italy and Bahrain. Cisco (CSCO) Eyes SentinelOne As Italy And Bahrain Data Center Push Expands
- Positive Sentiment: Investor commentary continued to frame Cisco as an AI infrastructure winner, suggesting its newer AI-related businesses could be a meaningful future growth engine. The Overlooked Growth Engine Powering Cisco Systems Stock
- Positive Sentiment: Cisco President Jeetu Patel’s comments that AI may create more jobs than it eliminates reinforce Cisco’s role in the AI buildout and keep the company in the center of the AI conversation. Cisco President Says ‘the Future Will Likely Have More Jobs’ as AI Could Create More Work Than It Eliminates
- Neutral Sentiment: Some recent coverage suggested Cisco is trading in a range and underperforming the broader market, which can weigh on sentiment even without a company-specific negative catalyst. Cisco Systems (CSCO) Stock Dips While Market Gains: Key Facts
- Neutral Sentiment: Several pieces were largely opinion-driven or sector-wide commentary, including debate about Cisco’s diversification and its sensitivity to market moves, offering context more than a fresh catalyst. Cisco Stock: Market Risk, Not Portfolio Diversification
- Negative Sentiment: The stock’s recent weakness appears tied in part to broad trading pressure and lack of an immediate earnings catalyst, with some coverage noting Cisco lagged while the market advanced. Cisco Systems (CSCO) Stock Dips While Market Gains: Key Facts
- Negative Sentiment: One rumor that Cisco may be eyeing SentinelOne also underscores that its security growth has been viewed as flat, which may be prompting investors to question whether acquisitions are needed to reignite growth. Cisco (CSCO) Eyes SentinelOne As Italy And Bahrain Data Center Push Expands
Analyst Ratings Changes
Several research analysts have recently issued reports on CSCO shares. Piper Sandler increased their price objective on shares of Cisco Systems from $86.00 to $132.00 and gave the company a “neutral” rating in a report on Thursday, May 14th. BNP Paribas Exane lifted their price target on shares of Cisco Systems from $87.00 to $132.00 and gave the stock an “outperform” rating in a research report on Thursday, May 14th. New Street Research lifted their price objective on shares of Cisco Systems from $82.00 to $122.00 and gave the stock a “neutral” rating in a research report on Thursday, May 14th. Wells Fargo & Company lifted their target price on Cisco Systems from $95.00 to $130.00 and gave the company an “overweight” rating in a research note on Thursday, May 14th. Finally, HSBC upgraded Cisco Systems from a “hold” rating to a “buy” rating and upped their target price for the company from $77.00 to $137.00 in a report on Friday, May 15th. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat.com, Cisco Systems presently has an average rating of “Moderate Buy” and a consensus price target of $123.14.
Cisco Systems Stock Performance
The firm has a 50-day simple moving average of $116.33 and a two-hundred day simple moving average of $92.74. The company has a current ratio of 0.92, a quick ratio of 0.81 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $461.50 billion, a price-to-earnings ratio of 38.02, a price-to-earnings-growth ratio of 3.04 and a beta of 1.02.
Cisco Systems (NASDAQ:CSCO – Get Free Report) last released its quarterly earnings data on Wednesday, May 13th. The network equipment provider reported $1.06 EPS for the quarter, topping analysts’ consensus estimates of $1.03 by $0.03. The firm had revenue of $15.84 billion for the quarter, compared to the consensus estimate of $15.56 billion. Cisco Systems had a return on equity of 28.44% and a net margin of 20.14%.The firm’s revenue was up 12.0% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.96 earnings per share. 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. As a group, sell-side analysts forecast that Cisco Systems, Inc. will post 3.54 earnings per share for the current fiscal year.
Cisco Systems Announces Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 22nd. Investors of record on Monday, July 6th will be issued a $0.42 dividend. The ex-dividend date is Monday, July 6th. This represents a $1.68 dividend on an annualized basis and a yield of 1.4%. Cisco Systems’s dividend payout ratio is currently 54.55%.
Insider Activity
In related news, EVP Deborah L. Stahlkopf sold 6,586 shares of the firm’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $117.31, for a total value of $772,603.66. Following the transaction, the executive vice president directly owned 177,223 shares of the company’s stock, valued at approximately $20,790,030.13. This trade represents a 3.58% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Oliver Tuszik sold 2,761 shares of the company’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $114.61, for a total value of $316,438.21. Following the sale, the executive vice president directly owned 180,877 shares of the company’s stock, valued at $20,730,312.97. The trade was a 1.50% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 47,650 shares of company stock valued at $5,668,823. Corporate insiders own 0.01% of the company’s stock.
Institutional Trading of Cisco Systems
A number of institutional investors and hedge funds have recently modified their holdings of the company. MidAtlantic Capital Management Inc. acquired a new position in shares of Cisco Systems during the 4th quarter worth about $25,000. Intesa Sanpaolo Wealth Management acquired a new stake in Cisco Systems in the 4th quarter valued at approximately $25,000. Networth Advisors LLC increased its position in Cisco Systems by 276.4% in the 1st quarter. Networth Advisors LLC now owns 335 shares of the network equipment provider’s stock worth $26,000 after buying an additional 246 shares during the period. Financial Life Planners acquired a new position in shares of Cisco Systems during the first quarter worth approximately $27,000. Finally, Manning & Napier Advisors LLC lifted its holdings in shares of Cisco Systems by 137.0% during the first quarter. Manning & Napier Advisors LLC now owns 346 shares of the network equipment provider’s stock worth $27,000 after buying an additional 200 shares during the last quarter. 73.33% of the stock is currently owned by institutional investors and hedge funds.
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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