951,009 Shares in Cisco Systems, Inc. $CSCO Bought by Rakuten Investment Management Inc.

Rakuten Investment Management Inc. purchased a new stake in Cisco Systems, Inc. (NASDAQ:CSCO) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund purchased 951,009 shares of the network equipment provider’s stock, valued at approximately $111,934,000. Cisco Systems makes up 0.3% of Rakuten Investment Management Inc.’s portfolio, making the stock its 18th largest holding.

Several other institutional investors have also added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in Cisco Systems in the second quarter worth about $42,129,647,000. State Street Corp grew its holdings in shares of Cisco Systems by 0.5% during the 4th quarter. State Street Corp now owns 195,521,161 shares of the network equipment provider’s stock worth $15,060,995,000 after acquiring an additional 1,057,962 shares during the period. Morgan Stanley raised its position in shares of Cisco Systems by 0.3% in the 4th quarter. Morgan Stanley now owns 75,326,258 shares of the network equipment provider’s stock worth $5,802,382,000 after acquiring an additional 206,352 shares in the last quarter. Invesco Ltd. raised its position in shares of Cisco Systems by 11.6% in the 4th quarter. Invesco Ltd. now owns 59,836,782 shares of the network equipment provider’s stock worth $4,609,227,000 after acquiring an additional 6,224,062 shares in the last quarter. Finally, Norges Bank purchased a new position in shares of Cisco Systems in the 4th quarter valued at approximately $4,473,272,000. 73.33% of the stock is currently owned by institutional investors.

Insider Activity

In other Cisco Systems news, EVP Deborah L. Stahlkopf sold 6,487 shares of the stock in a transaction on Friday, August 14th. The stock was sold at an average price of $111.53, for a total transaction of $723,495.11. Following the sale, the executive vice president directly owned 167,116 shares in the company, valued at approximately $18,638,447.48. This trade represents a 3.74% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeetendra I. Patel sold 7,170 shares of Cisco Systems stock in a transaction on Friday, August 14th. The stock was sold at an average price of $111.57, for a total value of $799,956.90. Following the completion of the sale, the insider directly owned 230,593 shares of the company’s stock, valued at approximately $25,727,261.01. The trade was a 3.02% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 53,611 shares of company stock valued at $6,066,680. Company insiders own 0.01% of the company’s stock.

Key Stories Impacting Cisco Systems

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

• Positive Sentiment: Cisco launched a Sovereign Critical Infrastructure portfolio in Canada and expanded its Secure AI Factory with NVIDIA and Supermicro. The offerings target enterprises, neocloud providers and sovereign-cloud customers seeking integrated AI compute, cooling and networking infrastructure. Cisco Unveils Sovereign and AI Infrastructure Offerings
• Positive Sentiment: Morgan Stanley maintained a $135 price target, citing Cisco’s potential supply advantage through TSMC as shortages continue to affect the AI infrastructure market. This supports the view that Cisco may be positioned to benefit from strong AI networking demand. Morgan Stanley Reveals Cisco’s Supply Edge
• Positive Sentiment: Cisco’s NVIDIA partnership is also linked to the industry’s shift toward liquid-cooled, high-density AI systems, potentially expanding the company’s role in the broader AI infrastructure buildout. NVIDIA’s AI Chips and Liquid Cooling
• Positive Sentiment: Analysts comparing Cisco with Hewlett Packard Enterprise highlighted Cisco’s strong hyperscaler AI orders, networking growth and expanding security business as long-term competitive advantages. HPE vs. CSCO
• Neutral Sentiment: Cisco gave all approximately 90,000 employees access to personal AI agents, demonstrating broad internal adoption of AI, though the immediate financial impact is unclear. Cisco Gives Employees AI Agents
• Negative Sentiment: A growth-stock analysis questioned whether Cisco can sustain enough growth to support its premium valuation, reviving concerns that enthusiasm surrounding AI networking may have outpaced underlying fundamentals. With a P/E ratio above 30, the stock may be particularly sensitive to any slowdown in growth expectations. Growth Stock Analysis

Wall Street Analyst Weigh In

CSCO has been the topic of several research reports. BNP Paribas Exane lifted their price target on Cisco Systems from $87.00 to $132.00 and gave the company an “outperform” rating in a research report on Thursday, May 14th. Citic Securities raised their price objective on Cisco Systems from $90.00 to $130.00 in a research report on Friday, May 15th. Piper Sandler boosted their target price on shares of Cisco Systems from $86.00 to $132.00 and gave the company a “neutral” rating in a report on Thursday, May 14th. Citigroup upped their target price on shares of Cisco Systems from $90.00 to $112.00 and gave the stock a “buy” rating in a research report on Thursday, May 14th. Finally, Truist Financial increased their price target on shares of Cisco Systems from $125.00 to $140.00 and gave the stock a “buy” rating in a research note on Thursday, August 13th. Two research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat.com, Cisco Systems currently has a consensus rating of “Moderate Buy” and an average target price of $129.43.

Cisco Systems Price Performance

Shares of NASDAQ:CSCO opened at $109.93 on Friday. The business has a fifty day moving average price of $115.21 and a 200-day moving average price of $101.24. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.93 and a quick ratio of 0.79. The company has a market capitalization of $433.28 billion, a PE ratio of 32.91, a PEG ratio of 2.20 and a beta of 1.02. Cisco Systems, Inc. has a 1-year low of $66.13 and a 1-year high of $130.37.

Cisco Systems (NASDAQ:CSCO) last announced its quarterly earnings results on Wednesday, August 12th. The network equipment provider reported $1.22 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.17 by $0.05. The company 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%. Cisco Systems’s revenue was up 17.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.99 EPS. 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, equities analysts expect that Cisco Systems, Inc. will post 4.44 EPS for the current fiscal year.

Cisco Systems Announces Dividend

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

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.