Cisco Systems (NASDAQ:CSCO) Updates Q3 2026 Earnings Guidance

Cisco Systems (NASDAQ:CSCO) updated its third quarter 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 1.020-1.040 for the period, compared to the consensus estimate of 0.950. The company issued revenue guidance of $15.4 billion-$15.6 billion, compared to the consensus revenue estimate of $15.2 billion. Cisco Systems also updated its FY 2026 guidance to 4.130-4.170 EPS.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on CSCO. Melius Research lifted their price target on shares of Cisco Systems from $84.00 to $100.00 and gave the company a “buy” rating in a report on Thursday, November 13th. Zacks Research upgraded shares of Cisco Systems from a “hold” rating to a “strong-buy” rating in a report on Monday, January 26th. President Capital reduced their price objective on shares of Cisco Systems from $90.00 to $88.00 in a research report on Wednesday, December 24th. Weiss Ratings reissued a “buy (b)” rating on shares of Cisco Systems in a report on Tuesday, January 27th. Finally, CICC Research lifted their price target on Cisco Systems from $78.00 to $84.00 and gave the company an “outperform” rating in a research report on Friday, November 14th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $94.73.

Cisco Systems Stock Down 9.7%

Cisco Systems stock traded down $8.30 during midday trading on Thursday, hitting $77.24. 14,279,575 shares of the company’s stock were exchanged, compared to its average volume of 21,780,475. Cisco Systems has a 12 month low of $52.11 and a 12 month high of $88.18. The firm has a 50-day moving average of $77.91 and a two-hundred day moving average of $72.99. The company has a debt-to-equity ratio of 0.46, a quick ratio of 0.83 and a current ratio of 0.93. The company has a market cap of $305.18 billion, a PE ratio of 29.04, a P/E/G ratio of 3.26 and a beta of 0.87.

Cisco Systems (NASDAQ:CSCO) last announced its quarterly earnings data on Wednesday, February 11th. The network equipment provider reported $1.04 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.02 by $0.02. Cisco Systems had a return on equity of 27.29% and a net margin of 18.38%.The firm had revenue of $15.35 billion during the quarter, compared to analysts’ expectations of $15.11 billion. During the same period last year, the business posted $0.94 earnings per share. The company’s revenue for the quarter was up 9.7% compared to the same quarter last year. As a group, analysts expect that Cisco Systems will post 3.04 earnings per share for the current fiscal 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 issued a $0.42 dividend. This represents a $1.68 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date is Thursday, April 2nd. This is an increase from Cisco Systems’s previous quarterly dividend of $0.41. Cisco Systems’s dividend payout ratio (DPR) is currently 61.65%.

Insiders Place Their Bets

In related news, insider Jeetendra I. Patel sold 163,896 shares of the firm’s stock in a transaction dated Friday, November 14th. The stock was sold at an average price of $77.86, for a total transaction of $12,760,942.56. Following the transaction, the insider owned 281,108 shares of the company’s stock, valued at $21,887,068.88. This trade represents a 36.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CEO Charles Robbins sold 281,860 shares of the firm’s stock in a transaction on Monday, November 17th. The shares were sold at an average price of $78.35, for a total value of $22,083,731.00. Following the completion of the sale, the chief executive officer directly owned 820,887 shares of the company’s stock, valued at approximately $64,316,496.45. This trade represents a 25.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 1,044,865 shares of company stock worth $81,397,635. Corporate insiders own 0.01% of the company’s stock.

Trending Headlines about Cisco Systems

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

• Positive Sentiment: Record Q2 revenue and beat on non?GAAP EPS with raised full?year guidance — Cisco reported ~$15.3B revenue and non?GAAP EPS of $1.04, and raised FY26 revenue guidance to $61.2–$61.7B and non?GAAP EPS to $4.13–$4.17, giving a clear demand signal (AI/hyperscaler strength). PR Newswire: Cisco Reports Second Quarter Earnings
• Positive Sentiment: New AI networking silicon — Cisco unveiled the Silicon One G300 (102.4Tbps) aimed at large AI clusters, positioning CSCO to capture infrastructure spending from hyperscalers and compete with Broadcom/Nvidia. This product announcement supports the revenue/AI narrative. InsiderMonkey: Silicon One G300 Announcement
• Positive Sentiment: Dividend rise — Cisco increased its quarterly dividend to $0.42 (2% raise), supporting the income-investor case and total?return thesis. Press Release / Slide Deck
• Positive Sentiment: Analyst support — Rosenblatt reaffirmed a “buy” and $100 PT, reflecting continued analyst optimism and potential upside vs. current levels. Benzinga: Rosenblatt Rating
• Neutral Sentiment: Trade/tariff policy update — U.S. House moved to block tariffs on Canada; reduced trade-policy uncertainty could be modestly positive for tech supply chains but the direct impact on Cisco’s near-term results is unclear. YouTube: Canada Tariffs Override
• Negative Sentiment: Margin concerns from higher memory costs — Several outlets flagged that rising memory prices are pressuring gross margins; Cisco reported GAAP gross margin below some estimates and commentary on component cost pressure weighed on the stock. MSN: Memory Costs Pressure Margins
• Negative Sentiment: Mood mismatch — Despite beats and an upgraded full?year outlook, investors reacted negatively to guidance that many saw as only in?line (or conservative on margins), driving post?close and premarket selling. Coverage notes and market commentary highlight the selloff. CNBC: Stock Drops on Forecast Reaction
• Negative Sentiment: Headline focus on gross?margin metrics and cash?flow/chip-costs — Media reports emphasizing below?estimate gross margin and memory?cost headwinds amplified selling despite top?line momentum. MarketWatch: Investors Pan Earnings

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Northern Trust Corp lifted its position in Cisco Systems by 3.5% during the 3rd quarter. Northern Trust Corp now owns 48,498,612 shares of the network equipment provider’s stock worth $3,318,275,000 after acquiring an additional 1,631,703 shares during the last quarter. Caisse de depot et placement du Quebec boosted its position in shares of Cisco Systems by 11.9% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 8,518,018 shares of the network equipment provider’s stock valued at $582,803,000 after acquiring an additional 903,030 shares in the last quarter. CANADA LIFE ASSURANCE Co grew its stake in shares of Cisco Systems by 5.9% in the 3rd quarter. CANADA LIFE ASSURANCE Co now owns 7,094,878 shares of the network equipment provider’s stock valued at $480,569,000 after purchasing an additional 398,144 shares during the period. AQR Capital Management LLC increased its position in shares of Cisco Systems by 12.5% during the 3rd quarter. AQR Capital Management LLC now owns 5,637,731 shares of the network equipment provider’s stock worth $385,564,000 after purchasing an additional 627,263 shares in the last quarter. Finally, Aviva PLC raised its stake in shares of Cisco Systems by 5.4% in the fourth quarter. Aviva PLC now owns 3,332,793 shares of the network equipment provider’s stock valued at $256,725,000 after acquiring an additional 171,792 shares during the last quarter. Institutional investors and hedge funds 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.