Cisco Systems (NASDAQ:CSCO) Trading 4.4% Higher – Time to Buy?

Cisco Systems, Inc. (NASDAQ:CSCO) shares rose 4.4% on Friday . The company traded as high as $112.22 and last traded at $112.13. 14,021,159 shares changed hands during mid-day trading, a decline of 38% from the average session volume of 22,780,855 shares. The stock had previously closed at $107.44.

Cisco Systems News Summary

Here are the key news stories impacting Cisco Systems this week:

• Positive Sentiment: Investors also responded to Cisco’s recent commentary on AI networking, including meaningful hyperscaler orders, a networking refresh cycle and growing demand for high-performance infrastructure. Cisco’s latest quarterly results showed record revenue, earnings above guidance and 35% growth in total product orders, while management raised fiscal 2027 expectations. Cisco Systems rises as investors weigh upbeat AI networking commentary and a broader tech rally
• Positive Sentiment: A broader technology-sector rally, supported by an inflation reading near expectations and lower oil prices, provided an additional tailwind for CSCO and other networking stocks. Ciena, Arista Networks and Cisco market move
• Positive Sentiment: Cisco and Infleqtion announced joint research into networked quantum technology, aiming to connect and scale distributed quantum systems. The opportunity is longer term and is unlikely to materially affect near-term revenue, but it supports Cisco’s technology-development narrative. Infleqtion and Cisco announce collaboration to advance networked quantum technology

Analysts Set New Price Targets

A number of analysts recently weighed in on the company. Weiss Ratings restated a “buy (b)” rating on shares of Cisco Systems in a research note on Wednesday, August 26th. Argus raised their target price on Cisco Systems from $100.00 to $150.00 and gave the company a “buy” rating in a report on Tuesday, May 19th. UBS Group boosted their target price on shares of Cisco Systems from $132.00 to $138.00 and gave the stock a “buy” rating in a research report on Thursday, August 13th. Barclays upped their price target on shares of Cisco Systems from $121.00 to $123.00 and gave the stock an “equal weight” rating in a research note on Thursday, August 13th. Finally, Freedom Capital upgraded shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a research report on Sunday, August 16th. Two analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $129.68.

Cisco Systems Trading Up 4.4%

The company has a debt-to-equity ratio of 0.39, a current ratio of 0.93 and a quick ratio of 0.79. The firm has a market cap of $442.08 billion, a price-to-earnings ratio of 33.57, a price-to-earnings-growth ratio of 2.34 and a beta of 1.00. The business’s 50-day moving average price is $113.66 and its two-hundred day moving average price is $103.30.

Cisco Systems (NASDAQ:CSCO) last released its earnings results 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 net margin of 20.95% and a return on equity of 30.16%. The firm had revenue of $17.25 billion during the quarter, compared to analysts’ expectations of $16.84 billion. During the same period in the previous year, the company earned $0.99 EPS. Cisco Systems’s revenue for the quarter was up 17.6% on a year-over-year basis. 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. Equities analysts expect that Cisco Systems, Inc. will post 4.43 earnings per share for the current year.

Cisco Systems Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 21st. Investors of record on Friday, October 2nd will be paid a $0.42 dividend. This represents a $1.68 annualized dividend and a yield of 1.5%. The ex-dividend date is Friday, October 2nd. Cisco Systems’s dividend payout ratio is presently 50.30%.

Insider Transactions at Cisco Systems

In other Cisco Systems news, insider Jeetendra Patel sold 7,170 shares of Cisco Systems stock in a transaction dated 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 sale, the insider owned 230,593 shares in the company, valued at $25,727,261.01. The trade was a 3.02% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Oliver Tuszik sold 2,760 shares of the stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $112.46, for a total transaction of $310,389.60. Following the transaction, the executive vice president owned 165,276 shares in the company, valued at approximately $18,586,938.96. The trade was a 1.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 51,004 shares of company stock worth $5,750,920 in the last quarter. 0.01% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Cisco Systems

A number of hedge funds have recently made changes to their positions in CSCO. Bullseye Investment Management LLC purchased a new stake in shares of Cisco Systems during the 2nd quarter valued at $159,000. Rench Wealth Management Inc. raised its position in shares of Cisco Systems by 36.9% in the 2nd quarter. Rench Wealth Management Inc. now owns 98,412 shares of the network equipment provider’s stock worth $11,559,000 after buying an additional 26,505 shares during the period. Bouchey Financial Group Ltd. boosted its holdings in Cisco Systems by 10.1% in the second quarter. Bouchey Financial Group Ltd. now owns 12,919 shares of the network equipment provider’s stock valued at $1,518,000 after acquiring an additional 1,189 shares during the last quarter. Tortoise Investment Management LLC boosted its holdings in Cisco Systems by 3.2% in the second quarter. Tortoise Investment Management LLC now owns 6,030 shares of the network equipment provider’s stock valued at $708,000 after acquiring an additional 187 shares during the last quarter. Finally, Sequoia Financial Advisors LLC grew its position in Cisco Systems by 14.0% during the second quarter. Sequoia Financial Advisors LLC now owns 228,014 shares of the network equipment provider’s stock valued at $27,752,000 after acquiring an additional 27,922 shares during the period. Institutional investors and hedge funds own 73.33% of the company’s stock.

Cisco Systems Company Profile

Cisco Systems, Inc is a global technology company that provides networking, cybersecurity, collaboration, observability and other information technology solutions. Its offerings include routers, switches, wireless networking equipment, data center infrastructure, security platforms, unified communications tools and software designed to help organizations connect, manage and protect their digital environments.

Cisco serves businesses, government agencies, educational institutions, telecommunications providers and other organizations worldwide.