USA Financial Formulas Grows Stock Holdings in Cisco Systems, Inc. $CSCO

USA Financial Formulas lifted its position in Cisco Systems, Inc. (NASDAQ:CSCO) by 37.5% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 19,229 shares of the network equipment provider’s stock after purchasing an additional 5,240 shares during the quarter. Cisco Systems accounts for about 0.3% of USA Financial Formulas’ holdings, making the stock its 20th largest holding. USA Financial Formulas’ holdings in Cisco Systems were worth $1,492,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of the company. BIP Wealth LLC purchased a new stake in Cisco Systems in the second quarter worth approximately $2,885,000. Phillips Financial Management LLC purchased a new position in shares of Cisco Systems during the second quarter worth approximately $286,000. SWS Partners purchased a new position in shares of Cisco Systems during the second quarter worth approximately $3,128,000. Trifecta Capital Advisors LLC bought a new stake in shares of Cisco Systems in the 2nd quarter worth approximately $1,355,000. Finally, Everett Harris & Co. CA bought a new stake in shares of Cisco Systems in the 2nd quarter worth approximately $3,932,000. 73.33% of the stock is owned by hedge funds and other institutional investors.

Cisco Systems Trading Down 1.6%

Shares of CSCO opened at $111.68 on Friday. The stock has a market capitalization of $440.18 billion, a P/E ratio of 33.44, a PEG ratio of 2.52 and a beta of 1.02. Cisco Systems, Inc. has a twelve month low of $65.75 and a twelve month high of $130.37. The company has a quick ratio of 0.81, a current ratio of 0.93 and a debt-to-equity ratio of 0.39. The firm has a fifty day simple moving average of $117.03 and a two-hundred day simple moving average of $99.09.

Cisco Systems (NASDAQ:CSCO) last released its quarterly earnings data on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.17 by $0.05. The firm had revenue of $17.25 billion for the quarter, compared to analysts’ expectations of $16.84 billion. Cisco Systems had a net margin of 20.95% and a return on equity of 30.16%. The company’s revenue for the quarter was up 17.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.99 earnings per share. 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. On average, research analysts anticipate that Cisco Systems, Inc. will post 4.09 EPS for the current year.

Cisco Systems Announces Dividend

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

Insider Buying and Selling at Cisco Systems

In other Cisco Systems news, EVP Oliver Tuszik sold 2,607 shares of the stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $121.12, for a total value of $315,759.84. Following the completion of the sale, the executive vice president owned 172,727 shares in the company, valued at approximately $20,920,694.24. This trade represents a 1.49% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thimaya K. Subaiya sold 7,127 shares of Cisco Systems stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $119.91, for a total value of $854,598.57. Following the completion of the sale, the executive vice president owned 140,857 shares in the company, valued at approximately $16,890,162.87. This represents a 4.82% 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. Insiders sold 31,134 shares of company stock valued at $3,739,000 in the last 90 days. Insiders own 0.01% of the company’s stock.

Analyst Ratings Changes

Several equities analysts recently commented on the stock. Wall Street Zen raised shares of Cisco Systems from a “hold” rating to a “buy” rating in a report on Saturday. JPMorgan Chase & Co. boosted their price target on shares of Cisco Systems from $95.00 to $96.00 in a research note on Monday, May 11th. Citigroup upped their price target on shares of Cisco Systems from $90.00 to $112.00 and gave the company a “buy” rating in a research report on Thursday, May 14th. Zacks Research downgraded Cisco Systems from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 4th. Finally, Evercore boosted their target price on Cisco Systems from $110.00 to $150.00 and gave the company an “outperform” rating in a research note on Thursday, May 14th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $129.43.

Trending Headlines about Cisco Systems

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

• Positive Sentiment: AI demand is accelerating. Cisco reported fiscal Q4 revenue of approximately $17.3 billion, up 18% year over year, and adjusted EPS of $1.22 versus the $1.17 consensus estimate. AI infrastructure orders increased 4.5 times to $9.3 billion for fiscal 2026, while management expects approximately $7.5 billion of hyperscaler AI infrastructure revenue in fiscal 2027. Chuck Robbins Says AI Is Fueling a Networking Supercycle
• Positive Sentiment: Fiscal 2027 guidance exceeded expectations. Management forecast roughly 15% revenue growth, supported by hyperscaler spending, data-center switching and broader networking upgrades. Several firms—including UBS, Truist, Wells Fargo, KeyCorp, Morgan Stanley and Rosenblatt—raised their price targets and maintained bullish ratings, suggesting long-term upside if the AI networking cycle continues. Cisco Just Gave Investors Three Big Reasons to Be Bullish
• Neutral Sentiment: The market is demanding faster growth. Despite the earnings beat and upbeat outlook, Cisco’s shares have decreased because expectations were already elevated after a substantial rally. Investors are questioning whether the company’s AI momentum can remain strong beyond the current infrastructure buildout and whether Cisco’s premium valuation is justified. Cisco Shares Slide Despite Earnings Beat and Strong Guidance
• Negative Sentiment: Margin pressure is the primary concern. AI infrastructure growth is arriving mainly through lower-margin hardware, creating mix-related gross-margin compression and raising questions about how profitably Cisco can scale orders. HSBC downgraded CSCO to Hold from Buy and reduced its price target to $120 from $137, citing a lack of near-term catalysts even after the strong quarter. Cisco Beat on Every Line, Then Fell on What AI Costs to Ship

Cisco Systems 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.