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

Cisco Systems, Inc. (NASDAQ:CSCO) announced a quarterly dividend on Wednesday, May 13th. Investors of record on Monday, July 6th will be paid a dividend of 0.42 per share by the network equipment provider on Wednesday, July 22nd. This represents a c) dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Monday, July 6th.

Cisco Systems has raised its dividend by an average of 0.0%annually over the last three years and has increased its dividend annually for the last 13 consecutive years. Cisco Systems has a payout ratio of 41.8% meaning its dividend is sufficiently covered by earnings. Research analysts expect Cisco Systems to earn $3.71 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 45.3%.

Cisco Systems Stock Performance

NASDAQ:CSCO opened at $101.87 on Thursday. The company has a current ratio of 0.96, a quick ratio of 0.85 and a debt-to-equity ratio of 0.45. The company has a market capitalization of $402.38 billion, a P/E ratio of 35.74, a price-to-earnings-growth ratio of 3.73 and a beta of 0.92. The firm has a 50-day moving average price of $83.93 and a two-hundred day moving average price of $79.36. Cisco Systems has a twelve month low of $60.85 and a twelve month high of $102.01.

Cisco Systems (NASDAQ:CSCO) last announced its quarterly earnings results on Wednesday, May 13th. The network equipment provider reported $1.06 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.03 by $0.03. Cisco Systems had a net margin of 19.22% and a return on equity of 27.88%. The company had revenue of $15.84 billion for the quarter, compared to the consensus estimate of $15.56 billion. During the same quarter in the prior year, the firm earned $0.96 earnings per share. The company’s revenue for the quarter was up 12.0% compared to the same quarter last year. 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. As a group, research analysts expect that Cisco Systems will post 3.42 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on CSCO shares. Argus raised Cisco Systems to a “strong-buy” rating in a research note on Friday, February 13th. Truist Financial started 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. BNP Paribas Exane upped their target price on Cisco Systems from $86.00 to $87.00 and gave the company an “outperform” rating in a research note on Thursday, February 12th. Evercore upped their target price on Cisco Systems from $100.00 to $110.00 and gave the company an “outperform” rating in a research note on Monday, May 4th. Finally, Zacks Research lowered Cisco Systems from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 13th. Three equities research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat.com, Cisco Systems currently has an average rating of “Moderate Buy” and an average price target of $90.29.

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.