Cisco Systems, Inc. Announces Quarterly Dividend of $0.42 (NASDAQ:CSCO)

Cisco Systems, Inc. (NASDAQ:CSCO) declared a quarterly dividend on Wednesday, August 12th. Investors of record on Friday, October 2nd will be given a dividend of 0.42 per share by the network equipment provider on Wednesday, October 21st. This represents a c) dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Friday, October 2nd.

Cisco Systems has increased its dividend by an average of 0.0%annually over the last three years and has raised its dividend annually for the last 13 consecutive years. Cisco Systems has a payout ratio of 41.8% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Cisco Systems to earn $4.00 per share next year, which means the company should continue to be able to cover its $1.68 annual dividend with an expected future payout ratio of 42.0%.

Cisco Systems Trading Up 2.9%

Shares of CSCO stock opened at $123.88 on Thursday. The stock has a market capitalization of $488.27 billion, a price-to-earnings ratio of 40.22, a PEG ratio of 2.71 and a beta of 1.02. The company’s fifty day simple moving average is $117.56 and its two-hundred day simple moving average is $98.72. Cisco Systems has a 1 year low of $65.75 and a 1 year high of $130.37. The company has a debt-to-equity ratio of 0.40, a current ratio of 0.92 and a quick ratio of 0.81.

Cisco Systems (NASDAQ:CSCO) last posted its quarterly earnings results on Wednesday, August 12th. The network equipment provider reported $1.22 EPS for the quarter, topping analysts’ consensus estimates of $1.17 by $0.05. The firm had revenue of $17.25 billion during the quarter, compared to analyst estimates of $16.84 billion. Cisco Systems had a return on equity of 28.44% and a net margin of 20.14%.The business’s revenue for the quarter was up 17.6% on a year-over-year basis. During the same period last 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. As a group, analysts anticipate that Cisco Systems will post 3.54 earnings per share for the current year.

Insider Buying and Selling at Cisco Systems

In other news, EVP Thimaya K. Subaiya sold 7,127 shares of Cisco Systems stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $119.91, for a total transaction 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 trade represents a 4.82% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Charles Robbins sold 21,400 shares of the business’s stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $120.03, for a total value of $2,568,642.00. Following the transaction, the chief executive officer directly owned 637,085 shares of the company’s stock, valued at $76,469,312.55. The trade was a 3.25% decrease in their position. 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 47,650 shares of company stock valued at $5,668,823 over the last 90 days. Insiders own 0.01% of the company’s stock.

Hedge Funds Weigh In On Cisco Systems

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Intesa Sanpaolo Wealth Management purchased a new stake in shares of Cisco Systems during the 4th quarter valued at $25,000. MidAtlantic Capital Management Inc. purchased a new position in Cisco Systems in the fourth quarter worth $25,000. Networth Advisors LLC increased its stake in Cisco Systems by 276.4% in the first quarter. Networth Advisors LLC now owns 335 shares of the network equipment provider’s stock valued at $26,000 after acquiring an additional 246 shares during the last quarter. Manning & Napier Advisors LLC raised its position in Cisco Systems by 137.0% during the first quarter. Manning & Napier Advisors LLC now owns 346 shares of the network equipment provider’s stock valued at $27,000 after purchasing an additional 200 shares in the last quarter. Finally, Financial Life Planners purchased a new stake in Cisco Systems during the first quarter valued at about $27,000. Hedge funds and other institutional investors own 73.33% of the company’s stock.

About Cisco Systems

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.