Wall Street Zen Downgrades Cisco Systems (NASDAQ:CSCO) to Hold

Cisco Systems (NASDAQ:CSCO) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report released on Tuesday.

A number of other analysts have also weighed in on CSCO. Truist Financial assumed coverage on Cisco Systems in a research note on Tuesday, March 31st. They issued a “buy” rating and a $94.00 target price on the stock. Wells Fargo & Company boosted their target price on shares of Cisco Systems from $95.00 to $130.00 and gave the company an “overweight” rating in a research note on Thursday, May 14th. HSBC upgraded shares of Cisco Systems from a “hold” rating to a “buy” rating and upped their price target for the stock from $77.00 to $137.00 in a report on Friday, May 15th. Morgan Stanley raised their price target on shares of Cisco Systems from $120.00 to $130.00 and gave the stock an “overweight” rating in a research note on Friday, June 12th. Finally, JPMorgan Chase & Co. lifted their price objective on shares of Cisco Systems from $95.00 to $96.00 in a report on Monday, May 11th. Three analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $123.14.

Cisco Systems Stock Down 2.7%

Shares of NASDAQ:CSCO opened at $112.44 on Tuesday. Cisco Systems has a 1 year low of $65.75 and a 1 year high of $130.37. The business has a 50 day simple moving average of $117.84 and a two-hundred day simple moving average of $95.53. The firm has a market capitalization of $443.17 billion, a PE ratio of 36.51, a price-to-earnings-growth ratio of 2.94 and a beta of 1.02. 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 issued its quarterly earnings results on Wednesday, May 13th. The network equipment provider reported $1.06 earnings per share for the quarter, topping the consensus estimate of $1.03 by $0.03. Cisco Systems had a return on equity of 28.44% and a net margin of 20.14%.The firm had revenue of $15.84 billion for the quarter, compared to the consensus estimate of $15.56 billion. During the same period in the prior year, the business posted $0.96 earnings per share. The company’s revenue for the quarter was up 12.0% on a year-over-year basis. Cisco Systems has set its Q4 2026 guidance at 1.160-1.180 EPS and its FY 2026 guidance at 4.270-4.290 EPS. On average, equities analysts predict that Cisco Systems will post 3.54 EPS for the current year.

Insider Buying and Selling

In other Cisco Systems news, CEO Charles Robbins sold 21,400 shares of the firm’s stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $120.03, for a total transaction of $2,568,642.00. Following the transaction, the chief executive officer owned 637,085 shares of the company’s stock, valued at approximately $76,469,312.55. This trade represents a 3.25% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Thimaya K. Subaiya sold 7,127 shares of the business’s stock in a transaction dated Tuesday, June 16th. The shares were 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 of the company’s stock, valued at approximately $16,890,162.87. This represents a 4.82% 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 quarter. 0.01% of the stock is owned by company insiders.

Hedge Funds Weigh In On Cisco Systems

Institutional investors have recently bought and sold shares of the business. Norges Bank purchased a new position in shares of Cisco Systems in the 4th quarter valued at $4,473,272,000. Auto Owners Insurance Co lifted its stake in shares of Cisco Systems by 8,718.3% during the 4th quarter. Auto Owners Insurance Co now owns 51,952,421 shares of the network equipment provider’s stock worth $400,190,000 after purchasing an additional 51,363,281 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its position in Cisco Systems by 103.2% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 29,289,151 shares of the network equipment provider’s stock valued at $2,256,144,000 after purchasing an additional 14,874,407 shares in the last quarter. Franklin Resources Inc. boosted its position in Cisco Systems by 18.0% during the fourth quarter. Franklin Resources Inc. now owns 50,320,905 shares of the network equipment provider’s stock valued at $3,876,219,000 after purchasing an additional 7,679,422 shares in the last quarter. Finally, Invesco Ltd. grew its stake in Cisco Systems by 11.6% in the fourth quarter. Invesco Ltd. now owns 59,836,782 shares of the network equipment provider’s stock valued at $4,609,227,000 after purchasing an additional 6,224,062 shares during the last quarter. 73.33% of the stock is owned by hedge funds and other institutional investors.

Cisco Systems News Summary

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

• Positive Sentiment: Coverage highlights Cisco’s AI-related cloud demand and enterprise digital-transformation exposure, identifying CSCO alongside Alphabet and Cloudflare as a cloud-computing stock benefiting from increased AI infrastructure spending. 3 Top Cloud Computing Stocks Worth Buying Before August
• Positive Sentiment: An analysis of Cisco’s new AI and quantum-safe security alliances suggests the partnerships could strengthen the company’s cybersecurity positioning and support a more growth-oriented investment narrative over time. Did Cisco’s New AI and Quantum-Safe Security Alliances Just Shift Cisco Systems’ Investment Narrative?
• Neutral Sentiment: Market commentary argues that the semiconductor selloff may be temporary and that investor sentiment could stabilize within days, but it also revives concerns about the volatility of technology stocks. As Semis Sell Off, Rattled Investors Should Heed Last Millennium’s Lesson From Cisco Systems
• Negative Sentiment: Networking-industry coverage points to ongoing headwinds, while a Wall Street Zen downgrade to “Hold” likely reduced enthusiasm among some investors. Wall Street Zen Downgrades Cisco Systems to Hold
• Negative Sentiment: Cisco underperformed the broader market in the latest trading session, reflecting pressure across semiconductors and technology stocks. With a valuation near 34 times earnings, investors may be particularly sensitive to sector weakness and concerns about whether AI-driven growth can justify the premium.

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.