Zacks: Analysts Anticipate Cisco Systems, Inc. (CSCO) Will Post Earnings of $0.77 Per Share

Wall Street analysts predict that Cisco Systems, Inc. (NASDAQ:CSCO) will report $0.77 earnings per share (EPS) for the current quarter, according to Zacks Investment Research. Ten analysts have made estimates for Cisco Systems’ earnings. The lowest EPS estimate is $0.76 and the highest is $0.79. Cisco Systems posted earnings of $0.66 per share in the same quarter last year, which would suggest a positive year over year growth rate of 16.7%. The firm is scheduled to announce its next quarterly earnings results after the market closes on Wednesday, May 15th.

According to Zacks, analysts expect that Cisco Systems will report full year earnings of $3.06 per share for the current fiscal year, with EPS estimates ranging from $3.02 to $3.13. For the next financial year, analysts forecast that the company will report earnings of $3.38 per share, with EPS estimates ranging from $3.19 to $3.53. Zacks Investment Research’s EPS calculations are an average based on a survey of sell-side analysts that that provide coverage for Cisco Systems.

Cisco Systems (NASDAQ:CSCO) last posted its earnings results on Wednesday, February 13th. The network equipment provider reported $0.73 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.72 by $0.01. The firm had revenue of $12.45 billion for the quarter, compared to the consensus estimate of $12.43 billion. Cisco Systems had a net margin of 25.31% and a return on equity of 27.58%. The business’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the prior year, the business posted $0.63 earnings per share.

Several equities analysts have commented on the stock. KeyCorp increased their target price on shares of Cisco Systems from $55.00 to $58.00 and gave the stock an “overweight” rating in a research report on Monday, March 25th. Goldman Sachs Group downgraded shares of Cisco Systems from a “conviction-buy” rating to a “buy” rating and increased their target price for the stock from $58.00 to $62.00 in a research report on Tuesday. Jefferies Financial Group increased their target price on shares of Cisco Systems to $55.00 and gave the stock a “buy” rating in a research report on Thursday, February 14th. They noted that the move was a valuation call. Citigroup increased their target price on shares of Cisco Systems from $52.00 to $56.00 and gave the stock a “buy” rating in a research report on Thursday, February 14th. Finally, Credit Suisse Group increased their target price on shares of Cisco Systems from $44.00 to $47.00 and gave the stock a “neutral” rating in a research report on Thursday, February 14th. Six equities research analysts have rated the stock with a hold rating, nineteen have given a buy rating and one has issued a strong buy rating to the company’s stock. Cisco Systems presently has an average rating of “Buy” and an average price target of $54.09.

Cisco Systems stock traded up $0.09 during mid-day trading on Monday, hitting $56.40. 18,331,954 shares of the company’s stock were exchanged, compared to its average volume of 20,487,459. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.80 and a quick ratio of 1.74. The company has a market capitalization of $271.71 billion, a price-to-earnings ratio of 24.10, a PEG ratio of 2.94 and a beta of 1.22. Cisco Systems has a 1-year low of $40.25 and a 1-year high of $57.53.

Cisco Systems announced that its board has initiated a share buyback plan on Wednesday, February 13th that permits the company to buyback $15.00 billion in shares. This buyback authorization permits the network equipment provider to purchase up to 6.5% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.

The company also recently declared a quarterly dividend, which will be paid on Wednesday, April 24th. Shareholders of record on Friday, April 5th will be issued a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a yield of 2.48%. This is a boost from Cisco Systems’s previous quarterly dividend of $0.33. The ex-dividend date is Thursday, April 4th. Cisco Systems’s dividend payout ratio is 59.83%.

In other Cisco Systems news, Director Roderick C. Mcgeary sold 15,000 shares of the company’s stock in a transaction dated Tuesday, February 19th. The shares were sold at an average price of $49.66, for a total transaction of $744,900.00. Following the completion of the sale, the director now directly owns 102,898 shares in the company, valued at $5,109,914.68. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP David Goeckeler sold 30,000 shares of the company’s stock in a transaction dated Tuesday, March 12th. The shares were sold at an average price of $52.07, for a total transaction of $1,562,100.00. Following the sale, the executive vice president now owns 419,439 shares of the company’s stock, valued at $21,840,188.73. The disclosure for this sale can be found here. Insiders have sold 115,000 shares of company stock valued at $5,926,000 over the last 90 days. Corporate insiders own 0.03% of the company’s stock.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in CSCO. Stone House Investment Management LLC bought a new position in Cisco Systems during the first quarter worth about $27,000. Phocas Financial Corp. bought a new position in Cisco Systems during the fourth quarter worth about $26,000. Essex Investment Management Co. LLC bought a new position in Cisco Systems during the fourth quarter worth about $29,000. Horan Securities Inc. lifted its stake in Cisco Systems by 663.0% during the fourth quarter. Horan Securities Inc. now owns 763 shares of the network equipment provider’s stock worth $33,000 after purchasing an additional 663 shares during the period. Finally, Highwater Wealth Management LLC bought a new position in Cisco Systems during the fourth quarter worth about $51,000. Institutional investors and hedge funds own 69.14% of the company’s stock.

About Cisco Systems

Cisco Systems, Inc designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry worldwide. The company offers switching products; routing products that interconnect public and private wireline and mobile networks; data center products; and wireless access points for use in voice, video, and data applications.

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Earnings History and Estimates for Cisco Systems (NASDAQ:CSCO)

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