Cisco Systems (NASDAQ:CSCO) Stock Price Down 0.2% - Should You Sell?

Cisco Systems, Inc. (NASDAQ:CSCO - Get Free Report) shares were down 0.2% during mid-day trading on Thursday . The stock traded as low as $62.91 and last traded at $63.85. Approximately 4,529,005 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 19,571,031 shares. The stock had previously closed at $63.96.

Wall Street Analyst Weigh In

Several research firms recently weighed in on CSCO. Piper Sandler reiterated a "neutral" rating on shares of Cisco Systems in a report on Thursday. UBS Group raised their price target on Cisco Systems from $62.00 to $70.00 and gave the stock a "neutral" rating in a research report on Thursday, February 13th. Barclays reiterated an "equal weight" rating on shares of Cisco Systems in a report on Thursday. JPMorgan Chase & Co. raised their target price on Cisco Systems from $69.00 to $73.00 and gave the company an "overweight" rating in a report on Thursday, February 13th. Finally, Wells Fargo & Company reiterated an "equal weight" rating on shares of Cisco Systems in a research note on Thursday. Seven research analysts have rated the stock with a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $66.63.

Cisco Systems Trading Up 0.8 %

The company has a market cap of $254.37 billion, a price-to-earnings ratio of 27.92, a PEG ratio of 4.16 and a beta of 0.79. The company has a quick ratio of 0.79, a current ratio of 0.87 and a debt-to-equity ratio of 0.43. The business's fifty day simple moving average is $61.63 and its two-hundred day simple moving average is $57.39.

Remove Ads

Cisco Systems (NASDAQ:CSCO - Get Free Report) last announced its quarterly 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 return on equity of 26.08% and a net margin of 16.96%. On average, equities analysts predict that Cisco Systems, Inc. will post 3.04 EPS for the current year.

Cisco Systems Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, April 23rd. Shareholders of record on Thursday, April 3rd will be given a dividend of $0.41 per share. This is a positive change from Cisco Systems's previous quarterly dividend of $0.40. The ex-dividend date of this dividend is Thursday, April 3rd. This represents a $1.64 annualized dividend and a yield of 2.56%. Cisco Systems's payout ratio is 71.62%.

Cisco Systems announced that its board has authorized a stock buyback plan on Wednesday, February 12th that permits the company to repurchase $15.00 billion in shares. This repurchase authorization permits the network equipment provider to purchase up to 6% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company's management believes its shares are undervalued.

Insider Transactions at Cisco Systems

In other news, EVP Thimaya K. Subaiya sold 3,042 shares of the business's stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $59.19, for a total value of $180,055.98. Following the transaction, the executive vice president now owns 207,798 shares of the company's stock, valued at approximately $12,299,563.62. The trade was a 1.44 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP Maria Victoria Wong sold 586 shares of the stock in a transaction on Thursday, December 12th. The stock was sold at an average price of $58.69, for a total value of $34,392.34. Following the sale, the senior vice president now directly owns 50,767 shares of the company's stock, valued at approximately $2,979,515.23. This represents a 1.14 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 67,348 shares of company stock worth $4,318,181. Insiders own 0.01% of the company's stock.

Hedge Funds Weigh In On Cisco Systems

A number of large investors have recently bought and sold shares of the company. Swedbank AB raised its stake in shares of Cisco Systems by 0.6% during the 3rd quarter. Swedbank AB now owns 9,029,594 shares of the network equipment provider's stock worth $480,555,000 after buying an additional 52,711 shares in the last quarter. Capital Performance Advisors LLP purchased a new position in Cisco Systems in the third quarter worth $51,000. Hollencrest Capital Management lifted its holdings in Cisco Systems by 2.8% in the third quarter. Hollencrest Capital Management now owns 7,651 shares of the network equipment provider's stock valued at $407,000 after acquiring an additional 208 shares during the period. Fiera Capital Corp boosted its position in shares of Cisco Systems by 11.2% during the 3rd quarter. Fiera Capital Corp now owns 13,279 shares of the network equipment provider's stock worth $707,000 after purchasing an additional 1,341 shares in the last quarter. Finally, Leavell Investment Management Inc. grew its stake in shares of Cisco Systems by 29.8% during the 3rd quarter. Leavell Investment Management Inc. now owns 83,559 shares of the network equipment provider's stock worth $4,447,000 after purchasing an additional 19,169 shares during the period. Hedge funds and other institutional investors own 73.33% of the company's stock.

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.