Brokerages forecast that Cisco Systems, Inc. (NASDAQ:CSCO) will report $12.89 billion in sales for the current fiscal quarter, Zacks reports. Ten analysts have issued estimates for Cisco Systems’ earnings, with the highest sales estimate coming in at $13.03 billion and the lowest estimate coming in at $12.76 billion. Cisco Systems reported sales of $12.46 billion in the same quarter last year, which would suggest a positive year over year growth rate of 3.5%. The business is expected to issue its next quarterly earnings report after the market closes on Wednesday, May 15th.
According to Zacks, analysts expect that Cisco Systems will report full-year sales of $51.67 billion for the current year, with estimates ranging from $51.46 billion to $51.90 billion. For the next financial year, analysts anticipate that the firm will post sales of $53.41 billion, with estimates ranging from $52.41 billion to $54.46 billion. Zacks Investment Research’s sales calculations are an average based on a survey of sell-side analysts that that provide coverage for Cisco Systems.
Cisco Systems (NASDAQ:CSCO) last released its quarterly earnings results on Wednesday, February 13th. The network equipment provider reported $0.73 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.72 by $0.01. Cisco Systems had a return on equity of 27.58% and a net margin of 25.31%. The company had revenue of $12.45 billion during the quarter, compared to analysts’ expectations of $12.43 billion. During the same quarter in the prior year, the business posted $0.63 earnings per share. The company’s revenue for the quarter was up 4.7% compared to the same quarter last year.
Several research analysts have recently issued reports on the company. Goldman Sachs Group cut Cisco Systems from a “conviction-buy” rating to a “buy” rating and increased their price target for the stock from $58.00 to $62.00 in a research note on Tuesday. KeyCorp increased their price target on Cisco Systems from $55.00 to $58.00 and gave the stock an “overweight” rating in a research note on Monday, March 25th. Bank of America reissued a “buy” rating and issued a $56.00 price target on shares of Cisco Systems in a research note on Thursday, February 14th. MKM Partners raised their target price on Cisco Systems to $54.00 and gave the company a “neutral” rating in a research note on Thursday, February 14th. Finally, Credit Suisse Group raised their target price on Cisco Systems from $44.00 to $47.00 and gave the company a “neutral” rating in a research note on Thursday, February 14th. Seven research analysts have rated the stock with a hold rating, nineteen have assigned a buy rating and one has issued a strong buy rating to the stock. The company currently has an average rating of “Buy” and an average price target of $53.75.
NASDAQ:CSCO opened at $56.95 on Wednesday. Cisco Systems has a 1 year low of $40.25 and a 1 year high of $57.53. The firm has a market capitalization of $272.48 billion, a PE ratio of 21.75, a price-to-earnings-growth ratio of 2.94 and a beta of 1.22. The company has a quick ratio of 1.74, a current ratio of 1.80 and a debt-to-equity ratio of 0.39.
Cisco Systems declared that its Board of Directors has authorized a stock buyback plan on Wednesday, February 13th that permits the company to buyback $15.00 billion in shares. This buyback authorization permits the network equipment provider to reacquire up to 6.5% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.
The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 24th. Investors of record on Friday, April 5th will be paid a dividend of $0.35 per share. The ex-dividend date of this dividend is Thursday, April 4th. This represents a $1.40 annualized dividend and a yield of 2.46%. This is a boost from Cisco Systems’s previous quarterly dividend of $0.33. Cisco Systems’s dividend payout ratio (DPR) is currently 59.83%.
In other news, CFO Kelly A. Kramer sold 70,000 shares of the company’s stock in a transaction on Thursday, February 28th. The stock was sold at an average price of $51.70, for a total transaction of $3,619,000.00. Following the completion of the sale, the chief financial officer now directly owns 420,696 shares of the company’s stock, valued at $21,749,983.20. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Roderick C. Mcgeary sold 15,000 shares of the company’s stock in a transaction on Tuesday, February 19th. The shares were sold at an average price of $49.66, for a total value of $744,900.00. Following the sale, the director now directly owns 102,898 shares of the company’s stock, valued at $5,109,914.68. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 115,000 shares of company stock valued at $5,926,000. 0.03% of the stock is currently owned by company insiders.
Several hedge funds and other institutional investors have recently made changes to their positions in the company. Ibex Wealth Advisors lifted its stake in Cisco Systems by 1.5% in the 3rd quarter. Ibex Wealth Advisors now owns 123,901 shares of the network equipment provider’s stock worth $6,055,000 after acquiring an additional 1,805 shares in the last quarter. Private Trust Co. NA lifted its stake in Cisco Systems by 5.0% in the 3rd quarter. Private Trust Co. NA now owns 66,362 shares of the network equipment provider’s stock worth $3,228,000 after acquiring an additional 3,152 shares in the last quarter. Atria Investments LLC lifted its stake in Cisco Systems by 3.8% in the 3rd quarter. Atria Investments LLC now owns 171,384 shares of the network equipment provider’s stock worth $8,338,000 after acquiring an additional 6,257 shares in the last quarter. Investment House LLC lifted its stake in Cisco Systems by 25.8% in the 3rd quarter. Investment House LLC now owns 130,955 shares of the network equipment provider’s stock worth $6,371,000 after acquiring an additional 26,860 shares in the last quarter. Finally, Appleton Partners Inc. MA lifted its stake in Cisco Systems by 8.7% in the 3rd quarter. Appleton Partners Inc. MA now owns 79,206 shares of the network equipment provider’s stock worth $3,853,000 after acquiring an additional 6,358 shares in the last quarter. 69.14% of the stock is owned by institutional investors and hedge funds.
Cisco Systems Company Profile
Cisco Systems, Inc designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry worldwide. The company offers switching products; routing products that interconnect public and private wireline and mobile networks; data center products; and wireless access points for use in voice, video, and data applications.
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