Zacks Investment Research upgraded shares of Cisco Systems (NASDAQ:CSCO) from a hold rating to a buy rating in a research report released on Wednesday, January 17th. Zacks Investment Research currently has $46.00 price target on the network equipment provider’s stock.
According to Zacks, “Shares of the IP-based networking company, Cisco have outperformed the industry over the past one year. Recently, it unveiled the Cisco Security Connector, which is now available in the App Store on iOS devices. We believe that the company’s expanding footprint in the rapidly growing security market presents significant growth opportunity. Additionally, partnerships with Telenor, Apple, IBM and Microsoft are positive in our view. Additionally, the company’s Application Centric Infrastructure (ACI) solution is currently used by more than 4K customers. The ACI solution was recently enhanced with new features that have aided growth. Further, the planned acquisition of Broadsoft will boost company's recurring revenue base. Moreover, the company's collaboration with Google Cloud to offer hybrid cloud solution is a key catalyst. However, intense competition from peers and challenges in the emerging markets reamins a headwind.”
Several other brokerages have also recently weighed in on CSCO. BMO Capital Markets restated a hold rating and issued a $32.00 price target on shares of Cisco Systems in a research report on Thursday, September 28th. Vetr cut shares of Cisco Systems from a buy rating to a hold rating and set a $34.13 price objective on the stock. in a research report on Monday, September 25th. Piper Jaffray Companies reiterated an overweight rating and set a $44.00 price objective on shares of Cisco Systems in a research report on Wednesday, January 10th. Needham & Company LLC reiterated a hold rating on shares of Cisco Systems in a research report on Tuesday, September 19th. Finally, Credit Suisse Group reiterated a hold rating and set a $35.00 price objective on shares of Cisco Systems in a research report on Friday, October 6th. Thirteen research analysts have rated the stock with a hold rating, twenty-two have given a buy rating and two have given a strong buy rating to the company. The company has an average rating of Buy and an average target price of $39.54.
Cisco Systems (NASDAQ CSCO) traded up $0.76 on Wednesday, hitting $39.53. 47,947,702 shares of the company were exchanged, compared to its average volume of 27,140,000. The company has a debt-to-equity ratio of 0.39, a quick ratio of 2.81 and a current ratio of 2.87. Cisco Systems has a one year low of $30.36 and a one year high of $42.98. The stock has a market capitalization of $195,420.00, a P/E ratio of 20.48, a price-to-earnings-growth ratio of 3.55 and a beta of 1.23.
Cisco Systems (NASDAQ:CSCO) last issued its quarterly earnings results on Wednesday, November 15th. The network equipment provider reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.60 by $0.01. Cisco Systems had a net margin of 20.26% and a return on equity of 16.64%. The business had revenue of $12.14 billion for the quarter, compared to the consensus estimate of $12.11 billion. During the same quarter in the previous year, the firm earned $0.61 earnings per share. The company’s revenue for the quarter was down 1.7% on a year-over-year basis. research analysts predict that Cisco Systems will post 2.23 EPS for the current fiscal year.
The firm also recently declared a quarterly dividend, which was paid on Wednesday, January 24th. Investors of record on Friday, January 5th were issued a $0.29 dividend. The ex-dividend date was Thursday, January 4th. This represents a $1.16 annualized dividend and a yield of 2.93%. Cisco Systems’s dividend payout ratio (DPR) is presently 60.10%.
In other news, CAO Prat Bhatt sold 2,606 shares of the firm’s stock in a transaction that occurred on Wednesday, November 22nd. The shares were sold at an average price of $36.49, for a total transaction of $95,092.94. Following the sale, the chief accounting officer now owns 89,184 shares of the company’s stock, valued at approximately $3,254,324.16. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP Karen Walker sold 5,786 shares of the firm’s stock in a transaction that occurred on Wednesday, November 22nd. The stock was sold at an average price of $36.49, for a total transaction of $211,131.14. Following the sale, the senior vice president now directly owns 176,418 shares in the company, valued at approximately $6,437,492.82. The disclosure for this sale can be found here. In the last quarter, insiders sold 348,643 shares of company stock worth $12,892,271. 0.05% of the stock is owned by corporate insiders.
Several hedge funds and other institutional investors have recently modified their holdings of CSCO. Bank of New York Mellon Corp lifted its holdings in Cisco Systems by 12.8% in the 4th quarter. Bank of New York Mellon Corp now owns 122,958,272 shares of the network equipment provider’s stock valued at $4,709,302,000 after purchasing an additional 13,927,416 shares in the last quarter. Ameriprise Financial Inc. lifted its holdings in Cisco Systems by 23.6% in the 3rd quarter. Ameriprise Financial Inc. now owns 62,709,508 shares of the network equipment provider’s stock valued at $2,109,614,000 after purchasing an additional 11,972,070 shares in the last quarter. Stifel Financial Corp lifted its holdings in Cisco Systems by 6,109.5% in the 3rd quarter. Stifel Financial Corp now owns 8,147,775 shares of the network equipment provider’s stock valued at $273,977,000 after purchasing an additional 8,016,561 shares in the last quarter. Vanguard Group Inc. lifted its holdings in Cisco Systems by 2.2% in the 2nd quarter. Vanguard Group Inc. now owns 352,120,694 shares of the network equipment provider’s stock valued at $11,021,378,000 after purchasing an additional 7,411,891 shares in the last quarter. Finally, American Century Companies Inc. lifted its holdings in Cisco Systems by 54.2% in the 2nd quarter. American Century Companies Inc. now owns 14,362,422 shares of the network equipment provider’s stock valued at $449,544,000 after purchasing an additional 5,049,326 shares in the last quarter. 75.64% of the stock is currently owned by institutional investors and hedge funds.
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Cisco Systems Company Profile
Cisco Systems, Inc designs and sells a range of products, provides services and delivers integrated solutions to develop and connect networks around the world. The Company operates through three geographic segments: Americas; Europe, the Middle East and Africa (EMEA), and Asia Pacific, Japan and China (APJC).
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