Tomorrow Is Not Likely To Be Same For Cisco Systems Inc. (CSCO)


    SSgA Funds Management, Inc. has recently announced that it has increased stake in Cisco Systems Inc. (NASDAQ:CSCO) by 0.75%. After grabbing 187.23 million shares, the institutional investor is now in possession of 1.39 million shares of the Technology Company. The new investment brought the stake of investor firm to 4.43% having worth around $8.82 billion. Moreover, Wellington Management Co. LLP increased its share by 7.59 million to have a control over 102.19 million shares. And Geode Capital Management LLC raised its holdings to 3.1 million shares by acquiring 65.43 million shares or 1.55% of the stake.

    Cisco Systems Inc. (CSCO) concluded trading on 08/27/20 at a closing price of $42.29, with 22.44 million shares of worth about $948.97 million changed hands on the day. Weekly performance of the stock remained negative as price took a plunge of -0.05% during that period and on Thursday the price saw a gain of about 0.09%. Currently the company’s common shares owned by public are about 4.23B shares, out of which, 4.22B shares are available for trading.

    A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 26 analysts are covering the CSCO stock and their offered price forecasts bring an average price target of $49.63. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $55.00 and could fall to a lowest price of $44.00. Analysts also issued an outlook of 2.30 for the Cisco Systems Inc. stock for next 12 months. The stock’s current price level is 14.31% above of average price target set by the analysts, while a rise to estimated low would result in gain of 3.89 for the stock. However, touching the estimated high of $55.00 would mean a gain of 23.11% for the stock.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 124 times over the past 12 months. They bought 1,374,866 shares in 32 of the transactions. In 92 selling transactions, insiders dumped 1,547,179 shares.

    Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and Invesco QQQ Trust are the top 3 mutual funds which are holding stakes in Cisco Systems Inc. Vanguard Total Stock Market Index is currently holding 108.01 million shares of worth totaling $5.09 billion. The company recently came selling -0.3 million shares which brought its stake up to 2.56% of the company’s outstanding shares. Vanguard 500 Index Fund sold -0.54 million shares, after which its hold over company’s outstanding shares shrunk to 2.07%, leaving 87.45 million shares with the mutual fund that have a worth of about $4.12 billion. Invesco QQQ Trust, after buying 47.64 million shares, have now control over 1.13% of the stake in the company. It holds 71078.0 shares of worth $2.24 billion.

    Cisco Systems Inc. (NASDAQ: CSCO) started trading at $42.40, above $0.15 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $42.29, or with a gain of 0.09%. Stock saw a price change of -0.05% in past 5 days and over the past one month there was a price change of -9.46%. Year-to-date (YTD), CSCO shares are showing a performance of -11.82% which decreased to -9.77% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $32.40 but also hit the highest price of $50.30 during that period. While comparing its average daily trading volume of 22.59 million shares, we see that about 22.44 million changed hands on the day. The stock is currently trading -5.61% below its 20-day simple moving average (SMA20), while that difference is down -7.34% for SMA50 and it goes to -5.12% lower than SMA200.

    SSgA Funds Management, Inc. acquired 187.23 million shares of Cisco Systems Inc. having value of about $8.82 billion. Data submitted at the U.S SEC by SSgA Funds Management, Inc. revealed that the firm now holds 1.39 million shares in the company valued at close to $58919400.67, or have control over 0.75% stake in the company. Cisco Systems Inc. (NASDAQ: CSCO) currently have 4.23B outstanding shares and institutions hold larger chunk of about 74.40% of that. Holding of mutual funds in the company is about 36.74% while other institutional holders and individual stake holders have control over 37.41% and 1.70% of the stake respectively.

    The stock has a current market capitalization of $178.81B and its 3Y-monthly beta is at 0.88. PE ratio of stock for trailing 12 months is 16.05, while it has posted earnings per share of $2.64 in the same period. Its PEG reads 2.60 and has Quick Ratio of 1.50 while making debt-to-equity ratio of 0.45. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for CSCO, volatility over the week remained 1.32% while standing at 1.75% over the month.

    Analysts are in expectations that Cisco Systems Inc. (CSCO) stock would likely to be making an EPS of $0.7 in the current quarter, while forecast for next quarter ESPS is $0.73 and it is $3.33 for next year. For the current quarter EPS, analysts have given the company a lowest target $0.69 which is $0.72 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of $0.84 in the same quarter a year ago. Stock’s fiscal year EPS is expected to rise by 30.30% while it is estimated to increase by 7.56% in next year. EPS is likely to shrink at an annualized rate of 6.18% for next 5-years, compared to annual growth of 13.50% made by the stock over the past 5-years.

    Analysts at 26 brokerage firms have issued recommendations for the Cisco Systems Inc. (CSCO)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.30. Out of those 26 Wall Street analysts, 13 recommended a “Buy” rating, while 12 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.

    Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Wolfe Research on July 24, 2020 offering an Outperform rating for the stock and assigned a target price of to it. Coverage by JP Morgan stated Cisco Systems Inc. (CSCO) stock as a Neutral in their note to investors on July 16, 2020, suggesting a price target of $50 for the stock. On July 09, 2020, Morgan Stanley Upgrade their recommendations, while on June 16, 2020, BofA/Merrill Upgrade their ratings for the stock with a price target of $55. Stock get a Neutral rating from Robert W. Baird on June 10, 2020.


    Please enter your comment!
    Please enter your name here