Shares of Cisco Systems, Inc. (NASDAQ:CSCO – Get Free Report) passed above its 50-day moving average during trading on Monday. The stock has a 50-day moving average of $110.23 and traded as high as $111.01. Cisco Systems shares last traded at $110.24, with a volume of 20,453,730 shares.
Cisco Systems News Roundup
Here are the key news stories impacting Cisco Systems this week:
- Positive Sentiment: Cisco is emphasizing AI security and “quantum-safe” technology as enterprises build out AI infrastructure. The strategy could create additional demand for Cisco’s networking, cybersecurity and observability products. What Is Cisco Signaling With Its AI Security And Quantum Safe Push?
- Positive Sentiment: Cisco President and Chief Product Officer Jeetu Patel said AI-agent safety will be a major technology issue, highlighting security risks that could increase demand for Cisco’s security and infrastructure solutions. AI Agent Safety Will Be the Issue of Our Time
- Positive Sentiment: Cisco open-sourced Project Quarry, a tool designed to detect rogue AI agents. The initiative could strengthen Cisco’s credibility in securing enterprise AI deployments and support future software and security opportunities. Cisco Open Sources Project Quarry to Detect Rogue AI Agents
- Positive Sentiment: Analyst consensus price targets reportedly moved higher, while Cisco’s partner awards and channel activity point to continued customer and reseller engagement. Cisco Systems Consensus Price Target Rises
- Neutral Sentiment: NTT DATA’s global AI Factory expansion may broaden demand for secure networking and AI infrastructure, although the announcement does not identify a specific Cisco contract or near-term revenue contribution. NTT DATA Expands AI Factory Footprint
- Negative Sentiment: Exchange-traded funds were net sellers of Cisco, creating near-term technical pressure independent of the company’s operating outlook. ETFs Are Net Sellers of Cisco
- Negative Sentiment: Investors are questioning whether Cisco’s strong multi-year advance and AI-related optimism are fully supported by future cash flow. A relatively elevated valuation leaves less room for execution disappointments. Can Cisco Stay Cheap as AI Cash Flow Builds?
Wall Street Analyst Weigh In
A number of research analysts have recently issued reports on CSCO shares. Truist Financial upped their price target on Cisco Systems from $125.00 to $140.00 and gave the company a “buy” rating in a report on Thursday, August 13th. Zacks Research upgraded Cisco Systems from a “hold” rating to a “strong-buy” rating in a report on Wednesday, September 30th. Deutsche Bank Aktiengesellschaft initiated coverage on Cisco Systems in a research report on Tuesday, September 1st. They issued a “buy” rating and a $135.00 target price for the company. Freedom Capital upgraded shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a research note on Sunday, August 16th. Finally, HSBC downgraded shares of Cisco Systems from a “buy” rating to a “hold” rating and dropped their price target for the company from $137.00 to $120.00 in a report on Friday, August 14th. Three equities research analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $128.52.
Check Out Our Latest Report on CSCO
Cisco Systems Trading Down 1.0%
The stock has a market capitalization of $434.83 billion, a PE ratio of 33.02, a P/E/G ratio of 2.22 and a beta of 0.99. The company has a current ratio of 0.93, a quick ratio of 0.79 and a debt-to-equity ratio of 0.39. The stock has a 50 day moving average price of $110.14 and a 200-day moving average price of $100.68.
Cisco Systems (NASDAQ:CSCO – Get Free Report) last issued its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 EPS for the quarter, topping 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 analyst estimates of $16.84 billion. During the same quarter in the previous year, the company posted $0.99 earnings per share. Cisco Systems’s revenue 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. Sell-side analysts expect that Cisco Systems, Inc. will post 4.42 earnings per share for the current year.
Cisco Systems Announces Dividend
The firm also recently declared a quarterly dividend, which was paid on Wednesday, October 21st. Shareholders of record on Friday, October 2nd were given a $0.42 dividend. The ex-dividend date was Friday, October 2nd. This represents a $1.68 annualized dividend and a yield of 1.5%. Cisco Systems’s dividend payout ratio (DPR) is presently 50.30%.
Insiders Place Their Bets
In other news, EVP Oliver Tuszik sold 2,760 shares of the company’s stock in a transaction on Friday, August 14th. The stock was sold at an average price of $112.46, for a total value of $310,389.60. Following the completion of the sale, the executive vice president directly owned 165,276 shares in the company, valued at $18,586,938.96. This represents a 1.64% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeetendra I. Patel sold 7,170 shares of the firm’s stock in a transaction on Friday, August 14th. The stock was sold at an average price of $111.57, for a total value of $799,956.90. Following the completion of the transaction, the insider directly owned 230,593 shares in the company, valued at approximately $25,727,261.01. This represents a 3.02% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 44,869 shares of company stock valued at $5,005,620. 0.01% of the stock is currently owned by corporate insiders.
Hedge Funds Weigh In On Cisco Systems
Institutional investors and hedge funds have recently bought and sold shares of the stock. Halbert Hargrove Global Advisors LLC increased its holdings in Cisco Systems by 142.5% in the 3rd quarter. Halbert Hargrove Global Advisors LLC now owns 257 shares of the network equipment provider’s stock worth $28,000 after acquiring an additional 151 shares in the last quarter. Kings Path Partners LLC purchased a new position in Cisco Systems during the third quarter valued at approximately $31,000. Blueline Advisors LLC purchased a new position in Cisco Systems during the third quarter valued at approximately $32,000. GK Wealth Management LLC bought a new position in shares of Cisco Systems in the third quarter worth approximately $37,000. Finally, Manning & Napier Advisors LLC boosted its position in shares of Cisco Systems by 137.0% in the first quarter. Manning & Napier Advisors LLC now owns 346 shares of the network equipment provider’s stock worth $27,000 after purchasing an additional 200 shares during the period. 73.33% of the stock is currently owned by hedge funds and other 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.
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