Cisco Systems (NASDAQ:CSCO) Shares Down 1.8% Following Insider Selling

Cisco Systems, Inc. (NASDAQ:CSCO)’s stock price fell 1.8% on Monday after an insider sold shares in the company. The company traded as low as $109.39 and last traded at $110.06. Approximately 12,378,699 shares were traded during trading, a decline of 46% from the average session volume of 22,747,703 shares. The stock had previously closed at $112.13.

Specifically, EVP Oliver Tuszik sold 680 shares of Cisco Systems stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $110.18, for a total value of $74,922.40. Following the completion of the transaction, the executive vice president owned 163,337 shares in the company, valued at approximately $17,996,470.66. This trade represents a 0.41% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thimaya Subaiya sold 312 shares of the company’s stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $110.18, for a total value of $34,376.16. Following the sale, the executive vice president owned 127,661 shares in the company, valued at approximately $14,065,688.98. This trade represents a 0.24% decrease in their ownership of the stock. 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.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on the company. Wall Street Zen lowered Cisco Systems from a “buy” rating to a “hold” rating in a report on Saturday. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Cisco Systems in a research note on Wednesday, August 26th. Argus increased their target price on shares of Cisco Systems from $100.00 to $150.00 and gave the company a “buy” rating in a research note on Tuesday, May 19th. UBS Group raised their target price on shares of Cisco Systems from $132.00 to $138.00 and gave the stock a “buy” rating in a report on Thursday, August 13th. Finally, Zacks Research cut shares of Cisco Systems from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 4th. Two 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. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $129.68.

Key Stories Impacting Cisco Systems

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

• Positive Sentiment: Splunk AI expansion strengthens Cisco’s growth narrative. Cisco introduced new Splunk capabilities that allow customers to run, secure and monitor AI workloads on-premises, where sensitive data already resides. The company is also targeting real-time tracking of AI spending and agent performance through its Tokenomics and observability tools. The developments support Cisco’s goal of increasing AI-related revenue by 87.5% and helped bolster investor enthusiasm. Cisco Delivers Trusted AI at Scale Through New Splunk Advancements
• Positive Sentiment: Expanded NVIDIA partnership adds enterprise AI credibility. Cisco and NVIDIA are extending their collaboration to bring agentic AI and automated security capabilities to Splunk customers, including on-premises deployments. Deeper ties with NVIDIA and AWS could help Cisco capture demand for secure enterprise AI infrastructure and improve the strategic value of its Splunk acquisition. Cisco and Nvidia Expand Partnership
• Neutral Sentiment: Executives emphasized the need for faster AI regulation. President Jeetu Patel said AI guardrails should advance at the same pace as the technology. The comments reinforce Cisco’s focus on trusted and secure AI but do not directly change earnings expectations. Cisco President Shares Thoughts on AI Debate
• Neutral Sentiment: Cisco joined Verizon’s 6G Innovation Forum and is researching quantum networking with Infleqtion. These initiatives broaden Cisco’s long-term technology opportunities, although they are unlikely to materially affect near-term revenue. Cisco Takes a Formal Role in 6G and Quantum Networking
• Negative Sentiment: Two executives sold small portions of their holdings. Oliver Tuszik sold 680 shares and Thimaya Subaiya sold 312 shares, both under pre-arranged Rule 10b5-1 plans. The sales represent less than 0.5% of each executive’s holdings, limiting their significance but creating a modest insider-selling overhang. Oliver Tuszik Sells Cisco Shares

Cisco Systems Trading Up 0.0%

The stock’s fifty day moving average price is $113.54 and its 200 day moving average price is $103.93. The stock has a market capitalization of $433.96 billion, a P/E ratio of 32.96, a PEG ratio of 2.29 and a beta of 1.00. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.93 and a quick ratio of 0.79.

Cisco Systems (NASDAQ:CSCO) last posted its quarterly earnings results 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 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 the consensus estimate of $16.84 billion. During the same quarter in the previous year, the firm posted $0.99 earnings per share. The company’s revenue 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. Research analysts forecast that Cisco Systems, Inc. will post 4.43 earnings per share for the current year.

Cisco Systems Dividend Announcement

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

Institutional Trading of Cisco Systems

Institutional investors have recently modified their holdings of the company. Bridgewater Advisors Inc. acquired a new position in shares of Cisco Systems during the second quarter valued at approximately $6,442,000. WCG Wealth Advisors LLC lifted its position in Cisco Systems by 101.8% in the fourth quarter. WCG Wealth Advisors LLC now owns 107,306 shares of the network equipment provider’s stock worth $8,266,000 after purchasing an additional 54,141 shares during the period. Beacon Pointe Advisors LLC bought a new position in Cisco Systems during the 2nd quarter valued at $60,009,000. Vise Technologies Inc. boosted its stake in Cisco Systems by 47.1% during the 4th quarter. Vise Technologies Inc. now owns 200,341 shares of the network equipment provider’s stock valued at $15,432,000 after purchasing an additional 64,144 shares in the last quarter. Finally, Western Wealth Management LLC increased its position in shares of Cisco Systems by 60.5% during the 1st quarter. Western Wealth Management LLC now owns 76,372 shares of the network equipment provider’s stock valued at $5,926,000 after purchasing an additional 28,792 shares during the period. 73.33% of the stock is currently owned by institutional investors.

About Cisco Systems

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.