Cisco Systems (NASDAQ:CSCO) Stock Price Up 3.5% – Here’s Why

Shares of Cisco Systems, Inc. (NASDAQ:CSCO) rose 3.5% during trading on Monday. The stock traded as high as $111.01 and last traded at $110.24. Approximately 20,448,274 shares traded hands during trading, a decline of 7% from the average session volume of 22,057,736 shares. The stock had previously closed at $106.50.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on CSCO shares. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Cisco Systems in a report on Tuesday, September 1st. They issued a “buy” rating and a $135.00 price target for the company. Wells Fargo & Company raised their price objective on shares of Cisco Systems from $130.00 to $150.00 and gave the stock an “overweight” rating in a report on Thursday, August 13th. Wall Street Zen raised shares of Cisco Systems from a “hold” rating to a “buy” rating in a research report on Sunday, October 11th. Piper Sandler reduced their target price on shares of Cisco Systems from $132.00 to $125.00 and set a “neutral” rating for the company in a research note on Tuesday, September 22nd. Finally, UBS Group upped their target price on shares of Cisco Systems from $132.00 to $138.00 and gave the stock a “buy” rating in a research note on Thursday, August 13th. Three equities research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $128.52.

Cisco Systems Stock Up 3.5%

The firm’s 50-day simple moving average is $110.18 and its 200 day simple moving average is $110.07. 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 $434.63 billion, a P/E ratio of 33.01, a PEG ratio of 2.22 and a beta of 0.99.

Cisco Systems (NASDAQ:CSCO) last announced its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share for the quarter, beating the consensus estimate of $1.17 by $0.05. Cisco Systems had a return on equity of 30.16% and a net margin of 20.95%. The company had revenue of $17.25 billion during the quarter, compared to analysts’ expectations of $16.84 billion. During the same quarter last year, the company earned $0.99 EPS. Cisco Systems’s revenue for the quarter was up 17.6% compared to the same quarter last year. 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. As a group, research analysts expect that Cisco Systems, Inc. will post 4.42 EPS for the current year.

Cisco Systems Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, October 21st. Stockholders of record on Friday, October 2nd were paid a dividend of $0.42 per share. The ex-dividend date was Friday, October 2nd. This represents a $1.68 dividend on an annualized basis and a dividend yield of 1.5%. Cisco Systems’s dividend payout ratio is currently 50.30%.

Insider Buying and Selling

In related news, EVP Thimaya K. Subaiya sold 312 shares of the business’s stock in a transaction on Monday, September 14th. The shares were sold at an average price of $110.18, for a total transaction of $34,376.16. Following 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 ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeetendra I. Patel sold 7,170 shares of Cisco Systems 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 directly owned 230,593 shares of the company’s stock, valued at approximately $25,727,261.01. This trade represents a 3.02% 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 have sold a total of 44,869 shares of company stock worth $5,005,620 in the last quarter. 0.01% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Cozad Asset Management Inc. boosted its stake in Cisco Systems by 0.3% during the 1st quarter. Cozad Asset Management Inc. now owns 26,203 shares of the network equipment provider’s stock valued at $2,033,000 after acquiring an additional 87 shares during the last quarter. Dogwood Wealth Management LLC boosted its stake in Cisco Systems by 3.9% in the second quarter. Dogwood Wealth Management LLC now owns 2,413 shares of the network equipment provider’s stock valued at $283,000 after acquiring an additional 90 shares during the period. Green Ridge Wealth Planning LLC grew its stake in Cisco Systems by 1.5% during the 3rd quarter. Green Ridge Wealth Planning LLC now owns 6,017 shares of the network equipment provider’s stock worth $648,000 after buying an additional 90 shares during the last quarter. August Group Capital Ltd increased its holdings in shares of Cisco Systems by 2.0% in the 2nd quarter. August Group Capital Ltd now owns 4,723 shares of the network equipment provider’s stock worth $555,000 after acquiring an additional 91 shares during the period. Finally, Financial Insights Inc. boosted its position in shares of Cisco Systems by 1.5% during the first quarter. Financial Insights Inc. now owns 6,220 shares of the network equipment provider’s stock worth $483,000 after buying an additional 92 shares during the period. 73.33% of the stock is currently owned by institutional investors.

Cisco Systems Company Profile

Cisco Systems, Inc is a global technology company that develops networking, cybersecurity, collaboration and observability solutions for businesses, government organizations and service providers. Its offerings include routers, switches, wireless networking equipment, data-center infrastructure, security software and services, as well as technologies that support cloud and hybrid IT environments.

The company also provides collaboration tools through its Webex portfolio, cloud-managed networking through Cisco Meraki and security and observability capabilities that include technologies from Splunk, which Cisco acquired in 2024.