Cisco Systems (NASDAQ:CSCO) Releases Earnings Results, Misses Estimates By $0.14 EPS

Cisco Systems (NASDAQ:CSCO) issued its earnings results on Wednesday. The network equipment provider reported $0.77 earnings per share for the quarter, missing analysts’ consensus estimates of $0.91 by ($0.14), Zacks reports. Cisco Systems had a return on equity of 25.70% and a net margin of 17.73%. Cisco Systems updated its Q3 2025 guidance to 0.900-0.920 EPS and its FY 2025 guidance to 3.680-3.740 EPS.

Cisco Systems Trading Up 0.2 %

CSCO traded up $0.14 on Friday, hitting $63.98. 3,822,847 shares of the company were exchanged, compared to its average volume of 19,364,762. The firm has a fifty day simple moving average of $59.97 and a two-hundred day simple moving average of $55.42. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.80 and a current ratio of 0.88. Cisco Systems has a 12 month low of $44.50 and a 12 month high of $66.50. The stock has a market capitalization of $254.82 billion, a PE ratio of 27.42, a price-to-earnings-growth ratio of 4.63 and a beta of 0.84.

Cisco Systems Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 23rd. Investors of record on Thursday, April 3rd will be given a dividend of $0.41 per share. This represents a $1.64 annualized dividend and a yield of 2.56%. This is a positive change from Cisco Systems’s previous quarterly dividend of $0.40. The ex-dividend date of this dividend is Thursday, April 3rd. Cisco Systems’s dividend payout ratio (DPR) is presently 68.67%.

Cisco Systems declared that its board has initiated a stock repurchase program on Wednesday, February 12th that authorizes the company to buyback $15.00 billion in outstanding shares. This buyback authorization authorizes the network equipment provider to purchase up to 6% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

Analyst Ratings Changes

Several equities research analysts recently issued reports on the company. UBS Group upped their price target on Cisco Systems from $62.00 to $70.00 and gave the stock a “neutral” rating in a report on Thursday. JPMorgan Chase & Co. increased their price target on Cisco Systems from $69.00 to $73.00 and gave the stock an “overweight” rating in a research note on Thursday. Piper Sandler increased their price target on Cisco Systems from $57.00 to $72.00 and gave the stock a “neutral” rating in a research note on Thursday. Citigroup increased their price target on Cisco Systems from $68.00 to $71.00 and gave the stock a “buy” rating in a research note on Thursday. Finally, The Goldman Sachs Group increased their price objective on Cisco Systems from $56.00 to $63.00 and gave the stock a “neutral” rating in a report on Thursday. Seven analysts have rated the stock with a hold rating, fourteen have assigned a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $66.53.

Insider Buying and Selling

In other news, SVP Maria Victoria Wong sold 4,881 shares of Cisco Systems stock in a transaction that occurred on Wednesday, November 27th. The stock was sold at an average price of $59.73, for a total value of $291,542.13. Following the sale, the senior vice president now directly owns 51,931 shares in the company, valued at approximately $3,101,838.63. This trade represents a 8.59 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Thimaya K. Subaiya sold 3,042 shares of Cisco Systems stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $59.19, for a total value of $180,055.98. Following the completion of the sale, the executive vice president now owns 207,798 shares in the company, valued at approximately $12,299,563.62. This represents a 1.44 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 37,239 shares of company stock worth $2,166,612 in the last ninety days. 0.01% of the stock is owned by insiders.

Cisco Systems Company Profile

Cisco Systems, Inc designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company also offers switching portfolio encompasses campus switching as well as data center switching; enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure, and reliable connectivity to campus, data center and branch networks; wireless products include wireless access points and controllers; and compute portfolio including the cisco unified computing system, hyperflex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization.