Cisco Systems (NASDAQ:CSCO) Stock Price Down 4.5% – Here’s What Happened

Cisco Systems, Inc. (NASDAQ:CSCO)’s share price traded down 4.5% on Wednesday . The stock traded as low as $110.22 and last traded at $111.77. 22,672,062 shares were traded during trading, a decline of 5% from the average daily volume of 23,959,504 shares. The stock had previously closed at $117.09.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the stock. Morgan Stanley increased their price target on shares of Cisco Systems from $120.00 to $130.00 and gave the company an “overweight” rating in a research report on Friday, June 12th. Evercore raised their price target on Cisco Systems from $110.00 to $150.00 and gave the stock an “outperform” rating in a report on Thursday, May 14th. JPMorgan Chase & Co. lifted their price target on Cisco Systems from $95.00 to $96.00 in a research report on Monday, May 11th. New Street Research increased their price objective on Cisco Systems from $82.00 to $122.00 and gave the stock a “neutral” rating in a report on Thursday, May 14th. Finally, Argus raised their target price on Cisco Systems from $100.00 to $150.00 and gave the stock a “buy” rating in a research note on Tuesday, May 19th. Three analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $123.14.

Cisco Systems Stock Up 2.0%

The stock has a 50-day simple moving average of $117.09 and a two-hundred day simple moving average of $93.20. The firm has a market cap of $440.97 billion, a PE ratio of 36.17, a P/E/G ratio of 2.85 and a beta of 1.02. The company has a quick ratio of 0.81, a current ratio of 0.92 and a debt-to-equity ratio of 0.40.

Cisco Systems (NASDAQ:CSCO) last issued its quarterly earnings results on Wednesday, May 13th. The network equipment provider reported $1.06 EPS for the quarter, beating analysts’ consensus estimates of $1.03 by $0.03. The business had revenue of $15.84 billion for the quarter, compared to analysts’ expectations of $15.56 billion. Cisco Systems had a net margin of 20.14% and a return on equity of 28.44%. The business’s quarterly revenue was up 12.0% on a year-over-year basis. During the same period last year, the business earned $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. Analysts expect that Cisco Systems, Inc. will post 3.54 earnings per share for the current year.

Cisco Systems Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, July 22nd. Investors of record on Monday, July 6th will be given a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a yield of 1.5%. The ex-dividend date is Monday, July 6th. Cisco Systems’s dividend payout ratio (DPR) is presently 54.55%.

Insiders Place Their Bets

In other Cisco Systems news, insider Jeetendra I. Patel sold 7,169 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $117.28, for a total value of $840,780.32. Following the completion of the sale, the insider owned 246,737 shares in the company, valued at approximately $28,937,315.36. The trade was a 2.82% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Oliver Tuszik sold 2,761 shares of the firm’s stock in a transaction on Friday, May 15th. The stock was sold at an average price of $114.61, for a total transaction of $316,438.21. Following the completion of the sale, the executive vice president directly owned 180,877 shares in the company, valued at approximately $20,730,312.97. This trade represents a 1.50% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 47,650 shares of company stock worth $5,668,823. 0.01% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Cisco Systems

Several hedge funds and other institutional investors have recently modified their holdings of the stock. MidAtlantic Capital Management Inc. purchased a new stake in shares of Cisco Systems in the 4th quarter worth about $25,000. Intesa Sanpaolo Wealth Management bought a new stake in Cisco Systems in the fourth quarter worth $25,000. Networth Advisors LLC grew its stake 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 worth $26,000 after acquiring an additional 246 shares during the last quarter. Financial Life Planners bought a new position in shares of Cisco Systems during the first quarter valued at $27,000. Finally, Manning & Napier Advisors LLC increased 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 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 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.