Cisco Systems (NASDAQ:CSCO) Stock Price Up 1.2% – Should You Buy?

Cisco Systems, Inc. (NASDAQ:CSCO)’s stock price shot up 1.2% on Thursday . The stock traded as high as $78.88 and last traded at $78.51. 17,483,094 shares were traded during mid-day trading, a decline of 24% from the average session volume of 23,046,570 shares. The stock had previously closed at $77.60.

Trending Headlines about Cisco Systems

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

• Positive Sentiment: Cisco joined a new 400G Optical multi‑source alliance with Broadcom, NVIDIA and others to standardize high‑speed optical interfaces for AI data centers — a direct strategic win for Cisco’s AI‑infrastructure story. Cisco’s 400G Alliance Ties AI Data Centers To Valuation Story
• Positive Sentiment: Goldman Sachs’ strategist highlights AI infrastructure and cybersecurity as favored themes — a bullish backdrop for Cisco as a core networking/AI‑infra play. The AI Payoff Is the ‘Biggest Question’ for U.S. Investors, Says Goldman’s Snider
• Positive Sentiment: Technical/market commentary suggests Cisco could clear near‑term overhead resistance, which may attract momentum traders and help lift the stock. Blue‑Chip Tech Stock Could Topple Overhead Resistance
• Positive Sentiment: Analyst consensus remains constructive (consensus “Moderate Buy”), supporting investor confidence in Cisco’s near‑term outlook. Cisco Systems, Inc. Given Consensus Rating of “Moderate Buy” by Analysts
• Positive Sentiment: Notable long‑term investors (e.g., Ken Fisher) maintain sizable Cisco stakes, a signal of institutional conviction for buy‑and‑hold shareholders. Cisco Systems Inc.: Ken Fisher Reignites Interest in Long‑Term Holding
• Neutral Sentiment: Valuation debate: Zacks flags Cisco as relatively expensive on a price‑to‑sales basis (~4.95x) even as it acknowledges the company’s AI infrastructure tailwinds — a mixed signal for value‑sensitive investors. Cisco is Overvalued at 4.95X PS: Should You Still Buy the Stock?
• Neutral Sentiment: Jabil — a supplier to Cisco — is benefiting from AI and stronger demand across cloud/datacenter segments; this underscores healthy end‑market demand but is an indirect signal for Cisco itself. Jabil Quietly Manufactures an Accelerating Stock Price Rally
• Negative Sentiment: Short‑term headwinds from broader Nasdaq weakness have pressured Cisco at times this week, aligning some pullbacks with index trends rather than company‑specific fundamentals. Cisco Systems (NASDAQ:CSCO) Price Decline Meets Nasdaq Composite Trends

Analysts Set New Price Targets

A number of brokerages have weighed in on CSCO. BNP Paribas Exane lifted their price objective on Cisco Systems from $86.00 to $87.00 and gave the company an “outperform” rating in a report on Thursday, February 12th. JPMorgan Chase & Co. lifted their price target on Cisco Systems from $90.00 to $95.00 and gave the company an “overweight” rating in a research note on Monday, February 9th. UBS Group increased their price objective on Cisco Systems from $90.00 to $95.00 and gave the stock a “buy” rating in a research report on Thursday, February 12th. Morgan Stanley raised their target price on Cisco Systems from $82.00 to $91.00 and gave the company an “overweight” rating in a report on Wednesday, December 17th. Finally, Argus upgraded shares of Cisco Systems to a “strong-buy” rating in a research report on Friday, February 13th. Three analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $89.55.

Cisco Systems Trading Up 1.2%

The firm has a market cap of $310.11 billion, a PE ratio of 27.55, a PEG ratio of 3.00 and a beta of 0.87. The company has a debt-to-equity ratio of 0.45, a current ratio of 0.96 and a quick ratio of 0.85. The business has a 50-day moving average price of $78.22 and a two-hundred day moving average price of $74.70.

Cisco Systems (NASDAQ:CSCO) last issued its quarterly earnings data on Wednesday, February 11th. The network equipment provider reported $1.04 EPS for the quarter, beating analysts’ consensus estimates of $1.02 by $0.02. Cisco Systems had a net margin of 19.22% and a return on equity of 27.88%. The firm had revenue of $15.35 billion for the quarter, compared to analysts’ expectations of $15.11 billion. During the same period in the prior year, the company earned $0.94 EPS. The firm’s revenue was up 9.7% on a year-over-year basis. Analysts forecast that Cisco Systems, Inc. will post 3.04 EPS for the current year.

Cisco Systems Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 22nd. Stockholders of record on Thursday, April 2nd will be paid a dividend of $0.42 per share. This is a positive change from Cisco Systems’s previous quarterly dividend of $0.41. The ex-dividend date of this dividend is Thursday, April 2nd. This represents a $1.68 dividend on an annualized basis and a dividend yield of 2.1%. Cisco Systems’s dividend payout ratio is 57.54%.

Insider Transactions at Cisco Systems

In other news, EVP Deborah L. Stahlkopf sold 7,981 shares of the business’s stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $79.50, for a total value of $634,489.50. Following the completion of the transaction, the executive vice president directly owned 187,097 shares of the company’s stock, valued at $14,874,211.50. The trade was a 4.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, EVP Oliver Tuszik sold 3,132 shares of the company’s stock in a transaction on Wednesday, March 18th. The shares were sold at an average price of $79.74, for a total value of $249,745.68. Following the completion of the sale, the executive vice president owned 188,613 shares in the company, valued at $15,040,000.62. This represents a 1.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 57,281 shares of company stock worth $4,411,680 in the last quarter. Insiders own 0.01% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Intesa Sanpaolo Wealth Management acquired a new position in shares of Cisco Systems in the fourth quarter valued at approximately $25,000. MidAtlantic Capital Management Inc. acquired a new stake in Cisco Systems during the fourth quarter worth approximately $25,000. Bare Financial Services Inc grew its stake in Cisco Systems by 531.0% in the 2nd quarter. Bare Financial Services Inc now owns 366 shares of the network equipment provider’s stock worth $25,000 after acquiring an additional 308 shares during the period. Marquette Asset Management LLC purchased a new stake in Cisco Systems in the 3rd quarter worth approximately $25,000. Finally, Jessup Wealth Management Inc acquired a new position in Cisco Systems in the 4th quarter valued at $29,000. 73.33% of the stock is currently owned by hedge funds and other institutional investors.

Cisco Systems Company Profile

Cisco Systems, Inc is a global technology company that designs, manufactures and sells networking hardware, software and telecommunications equipment. Its core business focuses on enabling enterprise and service-provider networks through products such as routers, switches, network security appliances and wireless systems. Over time Cisco has broadened its portfolio to emphasize software-defined networking, cybersecurity, cloud infrastructure and edge computing solutions that help organizations build and manage modern IT environments.

In addition to hardware, Cisco offers a growing range of software platforms and subscription services for network management, security, analytics and collaboration.