Cisco Systems, Inc. (NASDAQ:CSCO) Raises Dividend to $0.40 Per Share

Cisco Systems, Inc. (NASDAQ:CSCOGet Free Report) declared a quarterly dividend on Wednesday, February 14th, RTT News reports. Stockholders of record on Thursday, April 4th will be given a dividend of 0.40 per share by the network equipment provider on Wednesday, April 24th. This represents a $1.60 annualized dividend and a dividend yield of 3.21%. The ex-dividend date of this dividend is Wednesday, April 3rd. This is a boost from Cisco Systems’s previous quarterly dividend of $0.39.

Cisco Systems has raised its dividend by an average of 2.7% per year over the last three years and has increased its dividend annually for the last 13 consecutive years. Cisco Systems has a payout ratio of 42.1% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Cisco Systems to earn $3.16 per share next year, which means the company should continue to be able to cover its $1.60 annual dividend with an expected future payout ratio of 50.6%.

Cisco Systems Trading Up 0.3 %

NASDAQ CSCO opened at $49.91 on Monday. Cisco Systems has a 52 week low of $45.56 and a 52 week high of $58.19. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.26 and a current ratio of 1.37. The stock’s 50 day moving average price is $49.73 and its two-hundred day moving average price is $50.84. The stock has a market capitalization of $202.10 billion, a price-to-earnings ratio of 15.17, a PEG ratio of 2.26 and a beta of 0.87.

Cisco Systems (NASDAQ:CSCOGet Free Report) last posted its quarterly earnings data on Wednesday, February 14th. The network equipment provider reported $0.87 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.84 by $0.03. Cisco Systems had a net margin of 23.49% and a return on equity of 33.01%. The company had revenue of $12.79 billion for the quarter, compared to the consensus estimate of $12.71 billion. During the same period last year, the company earned $0.76 earnings per share. The firm’s revenue was down 5.9% compared to the same quarter last year. As a group, analysts anticipate that Cisco Systems will post 3.16 earnings per share for the current fiscal year.

Insider Transactions at Cisco Systems

In other news, SVP Maria Victoria Wong sold 2,497 shares of Cisco Systems stock in a transaction on Wednesday, March 13th. The stock was sold at an average price of $50.00, for a total transaction of $124,850.00. Following the completion of the sale, the senior vice president now owns 58,121 shares of the company’s stock, valued at $2,906,050. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. In other news, SVP Maria Victoria Wong sold 2,497 shares of the firm’s stock in a transaction that occurred on Wednesday, March 13th. The shares were sold at an average price of $50.00, for a total transaction of $124,850.00. Following the transaction, the senior vice president now directly owns 58,121 shares of the company’s stock, valued at $2,906,050. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Richard Scott Herren sold 13,942 shares of the business’s stock in a transaction that occurred on Monday, March 11th. The shares were sold at an average price of $50.00, for a total value of $697,100.00. Following the completion of the sale, the chief financial officer now owns 328,491 shares of the company’s stock, valued at $16,424,550. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 19,441 shares of company stock worth $972,080. Company insiders own 0.02% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of CSCO. Fortis Capital Advisors LLC acquired a new position in Cisco Systems during the fourth quarter valued at approximately $34,000. Aspect Partners LLC acquired a new position in shares of Cisco Systems during the 4th quarter worth $42,000. O Dell Group LLC bought a new stake in shares of Cisco Systems during the 4th quarter worth $59,000. Point72 Europe London LLP acquired a new stake in Cisco Systems in the fourth quarter valued at about $62,000. Finally, Strategic Investment Solutions Inc. IL bought a new position in Cisco Systems in the first quarter valued at about $65,000. Institutional investors own 73.33% of the company’s stock.

Analyst Upgrades and Downgrades

CSCO has been the subject of a number of recent research reports. UBS Group increased their price objective on shares of Cisco Systems from $54.00 to $55.00 and gave the stock a “neutral” rating in a research note on Monday, February 12th. Wells Fargo & Company started coverage on Cisco Systems in a research report on Thursday, February 15th. They set an “equal weight” rating and a $52.00 price target for the company. Melius Research reaffirmed a “hold” rating and set a $55.00 price target on shares of Cisco Systems in a research report on Monday, January 8th. StockNews.com downgraded Cisco Systems from a “buy” rating to a “hold” rating in a report on Thursday, February 15th. Finally, Barclays boosted their target price on shares of Cisco Systems from $46.00 to $48.00 and gave the stock an “equal weight” rating in a report on Thursday, February 15th. Two research analysts have rated the stock with a sell rating, fourteen have given a hold rating and five have given a buy rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $56.42.

Check Out Our Latest Analysis on CSCO

About Cisco Systems

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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.

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Dividend History for Cisco Systems (NASDAQ:CSCO)

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