Wells Fargo & Company Has Lowered Expectations for Cisco Systems (NASDAQ:CSCO) Stock Price

Cisco Systems (NASDAQ:CSCO) had its price target cut by equities researchers at Wells Fargo & Company from $150.00 to $130.00 in a report issued on Friday, Benzinga reports. The firm presently has an “overweight” rating on the network equipment provider’s stock. Wells Fargo & Company‘s price objective would indicate a potential upside of 35.16% from the stock’s current price.

Several other brokerages also recently weighed in on CSCO. KeyCorp raised their price target on Cisco Systems from $130.00 to $135.00 and gave the company an “overweight” rating in a report on Thursday, August 13th. Zacks Research upgraded shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, September 30th. Freedom Capital upgraded shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a research note on Sunday, August 16th. Barclays cut their price objective on shares of Cisco Systems from $123.00 to $109.00 and set an “equal weight” rating on the stock in a research report on Friday. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Cisco Systems in a research note on Wednesday, August 26th. Three research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $125.27.

Cisco Systems Stock Down 5.7%

Shares of Cisco Systems stock traded down $5.83 during midday trading on Friday, hitting $96.18. The company had a trading volume of 11,607,836 shares, compared to its average volume of 21,999,137. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.79 and a current ratio of 0.93. The stock has a market capitalization of $379.21 billion, a P/E ratio of 28.74, a P/E/G ratio of 2.07 and a beta of 1.01. The company has a 50 day moving average of $108.02 and a 200 day moving average of $102.13. Cisco Systems has a 52-week low of $72.80 and a 52-week high of $130.37.

Cisco Systems (NASDAQ:CSCO) last posted its quarterly earnings data on Thursday, November 12th. The network equipment provider reported $1.40 earnings per share for the quarter, beating analysts’ consensus estimates of $1.33 by $0.07. The company had revenue of $18.52 billion during the quarter, compared to analyst estimates of $18.12 billion. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%. During the same quarter last year, the company earned $1.00 EPS. Cisco Systems has set its Q2 2027 guidance at 1.340-1.360 EPS and its FY 2027 guidance at 5.470-5.530 EPS. On average, equities analysts predict that Cisco Systems will post 4.48 earnings per share for the current fiscal year.

Insider Activity

In other news, EVP Oliver Tuszik sold 680 shares of the stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $110.18, for a total value of $74,922.40. Following the transaction, the executive vice president owned 163,337 shares in the company, valued at $17,996,470.66. This represents a 0.41% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thimaya Subaiya sold 312 shares of the firm’s stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $110.18, for a total transaction of $34,376.16. Following the completion of the transaction, the executive vice president directly owned 127,661 shares in the company, valued at approximately $14,065,688.98. The trade was a 0.24% 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. Insiders have sold a total of 6,824 shares of company stock valued at $759,392 in the last ninety days. Insiders own 0.01% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of CSCO. BlackRock Inc. bought a new stake in Cisco Systems during the second quarter valued at about $42,129,647,000. State Street Corp lifted its position in shares of Cisco Systems by 7.0% during the 2nd quarter. State Street Corp now owns 207,106,569 shares of the network equipment provider’s stock valued at $25,278,492,000 after buying an additional 13,512,872 shares in the last quarter. Bank of America Corp DE purchased a new position in shares of Cisco Systems during the 2nd quarter valued at about $5,892,379,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of Cisco Systems by 2.7% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 43,450,141 shares of the network equipment provider’s stock valued at $5,103,654,000 after acquiring an additional 1,143,106 shares during the period. Finally, Bank of New York Mellon Corp purchased a new stake in Cisco Systems in the 2nd quarter worth approximately $4,714,574,000. Hedge funds and other institutional investors own 73.33% of the company’s stock.

Cisco Systems News Summary

Investors following CSCO have been watching these news items:

• Positive Sentiment: Fiscal Q1 revenue of $18.5 billion and adjusted EPS of $1.40 exceeded analyst expectations. Cisco also raised its fiscal 2027 revenue and earnings forecasts above consensus, supporting the growth outlook. Reuters article
• Negative Sentiment: Investors are focusing on margin pressure from higher hardware exposure and memory costs, which could limit how much of the strong sales growth translates into profit. Zacks article
• Negative Sentiment: Broader weakness and volatility across technology stocks, including Nvidia-related market concerns, may also be weighing on CSCO as investors reassess growth-stock valuations. Stocktwits article

Cisco Systems Company Profile

Cisco Systems, Inc. develops networking, cybersecurity, collaboration and observability technologies for businesses, governments and other organizations. Its products include routers, switches, wireless systems and data center infrastructure, along with security software and services that help organizations connect and protect their networks. The company also provides collaboration tools through its Webex platform and observability capabilities through its software offerings, including technology from Splunk, which Cisco acquired in 2024.