Cisco Systems (NASDAQ:CSCO) Issues FY 2025 Earnings Guidance

Cisco Systems (NASDAQ:CSCO) updated its FY 2025 earnings guidance on Wednesday. The company provided earnings per share guidance of 3.770-3.790 for the period, compared to the consensus earnings per share estimate of 3.720. The company issued revenue guidance of $56.5 billion-$56.7 billion, compared to the consensus revenue estimate of $56.4 billion. Cisco Systems also updated its Q4 2025 guidance to 0.960-0.980 EPS.

Analyst Upgrades and Downgrades

CSCO has been the subject of a number of recent research reports. StockNews.com lowered Cisco Systems from a “strong-buy” rating to a “buy” rating in a research note on Wednesday, March 5th. Piper Sandler raised their target price on shares of Cisco Systems from $60.00 to $64.00 and gave the stock a “neutral” rating in a report on Thursday. Rosenblatt Securities upped their price target on shares of Cisco Systems from $63.00 to $74.00 and gave the company a “buy” rating in a report on Thursday. JPMorgan Chase & Co. upped their price objective on shares of Cisco Systems from $70.00 to $73.00 and gave the company an “overweight” rating in a research note on Thursday. Finally, DZ Bank upgraded Cisco Systems from a “hold” rating to a “buy” rating in a report on Tuesday, February 18th. Six research analysts have rated the stock with a hold rating, sixteen have given a buy rating and two have issued a strong buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $66.53.

Cisco Systems Trading Up 4.8%

Shares of CSCO opened at $64.26 on Friday. Cisco Systems has a fifty-two week low of $44.50 and a fifty-two week high of $66.50. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.79 and a current ratio of 0.87. The company’s fifty day moving average is $58.69 and its 200 day moving average is $59.60. The stock has a market capitalization of $255.65 billion, a PE ratio of 28.06, a P/E/G ratio of 4.16 and a beta of 0.89.

Cisco Systems (NASDAQ:CSCO) last issued its quarterly earnings data on Wednesday, May 14th. The network equipment provider reported $0.96 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.91 by $0.05. The business had revenue of $14.15 billion for the quarter, compared to the consensus estimate of $14.05 billion. Cisco Systems had a return on equity of 26.08% and a net margin of 16.96%. During the same period in the prior year, the business posted $0.88 earnings per share. Sell-side analysts expect that Cisco Systems will post 3.04 earnings per share for the current fiscal year.

Cisco Systems Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, July 23rd. Stockholders of record on Thursday, July 3rd will be paid a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a dividend yield of 2.55%. The ex-dividend date of this dividend is Thursday, July 3rd. Cisco Systems’s dividend payout ratio is presently 71.62%.

Cisco Systems declared that its board has initiated a stock buyback program on Wednesday, February 12th that permits the company to repurchase $15.00 billion in outstanding shares. This repurchase authorization permits the network equipment provider to repurchase up to 6% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s management believes its shares are undervalued.

Insider Activity at Cisco Systems

In other news, EVP Deborah L. Stahlkopf sold 11,808 shares of Cisco Systems stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $64.37, for a total value of $760,080.96. Following the sale, the executive vice president now directly owns 200,191 shares of the company’s stock, valued at $12,886,294.67. The trade was a 5.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Thimaya K. Subaiya sold 2,065 shares of the stock in a transaction dated Wednesday, March 12th. The shares were sold at an average price of $60.70, for a total transaction of $125,345.50. Following the completion of the sale, the executive vice president now owns 191,184 shares of the company’s stock, valued at $11,604,868.80. This trade represents a 1.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 14,635 shares of company stock valued at $931,901 in the last ninety days. Corporate insiders own 0.01% of the company’s stock.

Institutional Investors Weigh In On Cisco Systems

A hedge fund recently raised its stake in Cisco Systems stock. Revolve Wealth Partners LLC increased its holdings in shares of Cisco Systems, Inc. (NASDAQ:CSCO) by 37.0% in the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 9,156 shares of the network equipment provider’s stock after purchasing an additional 2,474 shares during the quarter. Revolve Wealth Partners LLC’s holdings in Cisco Systems were worth $542,000 at the end of the most recent reporting period. Hedge funds and other institutional investors own 73.33% of the company’s stock.

About Cisco Systems

Cisco Systems, Inc designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company also offers switching portfolio encompasses campus switching as well as data center switching; enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure, and reliable connectivity to campus, data center and branch networks; wireless products include wireless access points and controllers; and compute portfolio including the cisco unified computing system, hyperflex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization.