Cisco Systems (NASDAQ:CSCO) Releases Q3 2025 Earnings Guidance

Cisco Systems (NASDAQ:CSCO - Get Free Report) updated its third quarter 2025 earnings guidance on Wednesday. The company provided earnings per share guidance of 0.900-0.920 for the period, compared to the consensus earnings per share estimate of 0.900. The company issued revenue guidance of $13.9 billion-$14.1 billion, compared to the consensus revenue estimate of $13.9 billion. Cisco Systems also updated its FY 2025 guidance to 3.680-3.740 EPS.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on CSCO. Melius raised shares of Cisco Systems from a "hold" rating to a "buy" rating and boosted their price objective for the company from $66.00 to $73.00 in a research report on Monday, January 6th. Citigroup boosted their price objective on shares of Cisco Systems from $68.00 to $71.00 and gave the company a "buy" rating in a research report on Thursday. Wells Fargo & Company boosted their target price on shares of Cisco Systems from $60.00 to $72.00 and gave the company an "equal weight" rating in a research note on Thursday. StockNews.com raised shares of Cisco Systems from a "buy" rating to a "strong-buy" rating in a research note on Friday. Finally, Rosenblatt Securities raised shares of Cisco Systems from a "neutral" rating to a "buy" rating and boosted their target price for the company from $66.00 to $80.00 in a research note on Thursday. Seven research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and three have assigned a strong buy rating to the stock. According to data from MarketBeat.com, Cisco Systems has a consensus rating of "Moderate Buy" and a consensus price target of $66.53.

Cisco Systems Price Performance

CSCO stock traded up $1.03 on Friday, hitting $64.87. 23,689,653 shares of the company's stock traded hands, compared to its average volume of 18,137,774. Cisco Systems has a 1-year low of $44.50 and a 1-year high of $66.50. The stock has a market cap of $258.36 billion, a price-to-earnings ratio of 27.84, a P/E/G ratio of 4.63 and a beta of 0.84. The stock has a fifty day moving average of $60.07 and a 200-day moving average of $55.54. The company has a current ratio of 0.88, a quick ratio of 0.80 and a debt-to-equity ratio of 0.43.

Cisco Systems (NASDAQ:CSCO - Get Free Report) last released its earnings results on Wednesday, February 12th. The network equipment provider reported $0.77 EPS for the quarter, missing the consensus estimate of $0.91 by ($0.14). Cisco Systems had a net margin of 17.73% and a return on equity of 25.70%. On average, analysts forecast that Cisco Systems will post 2.97 EPS for the current fiscal year.

Cisco Systems Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 23rd. Investors of record on Thursday, April 3rd will be paid a dividend of $0.41 per share. The ex-dividend date of this dividend is Thursday, April 3rd. This is a positive change from Cisco Systems's previous quarterly dividend of $0.40. This represents a $1.64 annualized dividend and a yield of 2.53%. Cisco Systems's dividend payout ratio is currently 68.67%.

Cisco Systems announced that its board has initiated a share buyback plan on Wednesday, February 12th that permits the company to buyback $15.00 billion in outstanding shares. This buyback authorization permits the network equipment provider to reacquire up to 6% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Insider Activity

In other news, SVP Maria Victoria Wong sold 4,881 shares of the business's stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of $59.73, for a total transaction of $291,542.13. Following the sale, the senior vice president now owns 51,931 shares in the company, valued at $3,101,838.63. The trade was a 8.59 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Thimaya K. Subaiya sold 21,230 shares of the company's stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $57.07, for a total transaction of $1,211,596.10. Following the completion of the transaction, the executive vice president now owns 213,834 shares in the company, valued at approximately $12,203,506.38. This represents a 9.03 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 37,239 shares of company stock worth $2,166,612 over the last 90 days. 0.01% of the stock is owned by company insiders.

Cisco Systems Company Profile

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.