Cisco Systems (NASDAQ:CSCO) Shares Down 1.2% – Here’s What Happened

Cisco Systems, Inc. (NASDAQ:CSCO)’s stock price fell 1.2% on Wednesday. The company traded as low as $113.25 and last traded at $113.64. Approximately 16,545,339 shares traded hands during trading, a decline of 26% from the average session volume of 22,320,129 shares. The stock had previously closed at $115.07.

Wall Street Analyst Weigh In

CSCO has been the topic of a number of recent research reports. Morgan Stanley increased their target price on Cisco Systems from $130.00 to $135.00 and gave the stock an “overweight” rating in a report on Thursday, August 13th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Cisco Systems in a research note on Wednesday, August 26th. Piper Sandler lowered their target price on shares of Cisco Systems from $132.00 to $125.00 and set a “neutral” rating on the stock in a report on Tuesday, September 22nd. Zacks Research raised shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, September 30th. Finally, Wall Street Zen upgraded Cisco Systems from a “hold” rating to a “buy” rating in a research note on Sunday, October 11th. Three analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, Cisco Systems has an average rating of “Moderate Buy” and an average target price of $128.52.

Cisco Systems Trading Down 2.1%

The company has a debt-to-equity ratio of 0.39, a current ratio of 0.93 and a quick ratio of 0.79. The company has a market capitalization of $423.79 billion, a P/E ratio of 32.13, a price-to-earnings-growth ratio of 2.37 and a beta of 0.99. The firm has a fifty day moving average price of $111.66 and a 200-day moving average price of $108.88.

Cisco Systems (NASDAQ:CSCO) last announced 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. The firm had revenue of $17.25 billion during the quarter, compared to the consensus estimate of $16.84 billion. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%. The business’s revenue for the quarter was up 17.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.99 EPS. 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. On average, equities research analysts anticipate that Cisco Systems, Inc. will post 4.42 earnings per share for the current year.

Cisco Systems Announces Dividend

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

Insiders Place Their Bets

In other Cisco Systems news, insider Jeetendra Patel sold 7,170 shares of the stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $111.57, for a total transaction of $799,956.90. Following the completion of the transaction, the insider owned 230,593 shares in the company, valued at $25,727,261.01. This trade represents a 3.02% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Oliver Tuszik sold 680 shares of Cisco Systems stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $110.18, for a total transaction of $74,922.40. Following the completion of the transaction, the executive vice president owned 163,337 shares of the company’s stock, valued at $17,996,470.66. The trade was a 0.41% decrease in their position. 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 sold a total of 44,869 shares of company stock worth $5,005,620 in the last ninety days. 0.01% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cisco Systems

Several institutional investors have recently made changes to their positions in the stock. Halbert Hargrove Global Advisors LLC increased its position in shares of Cisco Systems by 142.5% during the third quarter. Halbert Hargrove Global Advisors LLC now owns 257 shares of the network equipment provider’s stock valued at $28,000 after buying an additional 151 shares during the period. Blueline Advisors LLC bought a new position in shares of Cisco Systems in the third quarter valued at approximately $32,000. Networth Advisors LLC boosted its position in shares of Cisco Systems by 276.4% in the first quarter. Networth Advisors LLC now owns 335 shares of the network equipment provider’s stock valued at $26,000 after acquiring an additional 246 shares during the period. GK Wealth Management LLC purchased a new position in Cisco Systems during the third quarter valued at approximately $37,000. Finally, Manning & Napier Advisors LLC grew its stake in Cisco Systems by 137.0% during the first quarter. Manning & Napier Advisors LLC now owns 346 shares of the network equipment provider’s stock valued at $27,000 after acquiring an additional 200 shares in the last quarter. Hedge funds and other institutional investors own 73.33% of the company’s stock.

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.