Cisco Systems, Inc. (NASDAQ:CSCO) Plans Dividend Increase – $0.36 Per Share

Cisco Systems, Inc. (NASDAQ:CSCO) declared a quarterly dividend on Wednesday, February 12th, RTT News reports. Shareholders of record on Friday, April 3rd will be paid a dividend of 0.36 per share by the network equipment provider on Wednesday, April 22nd. This represents a $1.44 dividend on an annualized basis and a yield of 2.88%. This is a positive change from Cisco Systems’s previous quarterly dividend of $0.35.

Cisco Systems has raised its dividend payment by an average of 7.4% annually over the last three years and has increased its dividend annually for the last 9 consecutive years. Cisco Systems has a dividend payout ratio of 43.2% meaning its dividend is sufficiently covered by earnings. Analysts expect Cisco Systems to earn $3.10 per share next year, which means the company should continue to be able to cover its $1.40 annual dividend with an expected future payout ratio of 45.2%.

NASDAQ CSCO opened at $49.93 on Thursday. The firm has a market cap of $207.32 billion, a P/E ratio of 19.89, a P/E/G ratio of 2.84 and a beta of 1.22. The company has a debt-to-equity ratio of 0.42, a current ratio of 1.70 and a quick ratio of 1.64. The stock’s 50-day moving average is $47.92 and its 200-day moving average is $47.96. Cisco Systems has a one year low of $43.40 and a one year high of $58.26.

Cisco Systems (NASDAQ:CSCO) last released its quarterly earnings results on Wednesday, February 12th. The network equipment provider reported $0.77 EPS for the quarter, topping the Zacks’ consensus estimate of $0.76 by $0.01. The company had revenue of $12 billion for the quarter, compared to analyst estimates of $11.98 billion. Cisco Systems had a return on equity of 35.01% and a net margin of 21.15%. Cisco Systems’s revenue was down 3.6% compared to the same quarter last year. During the same quarter last year, the firm posted $0.73 earnings per share. Equities analysts anticipate that Cisco Systems will post 2.94 EPS for the current year.

In other Cisco Systems news, EVP Irving Tan sold 10,733 shares of the firm’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $44.81, for a total value of $480,945.73. Following the completion of the transaction, the executive vice president now directly owns 172,199 shares in the company, valued at $7,716,237.19. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Kelly A. Kramer sold 70,000 shares of the firm’s stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of $45.19, for a total value of $3,163,300.00. Following the completion of the transaction, the chief financial officer now owns 352,587 shares of the company’s stock, valued at $15,933,406.53. The disclosure for this sale can be found here. In the last three months, insiders sold 388,864 shares of company stock worth $17,474,321. 0.03% of the stock is owned by insiders.

A number of equities research analysts have recently commented on CSCO shares. Wells Fargo & Co reaffirmed a “buy” rating and set a $58.00 price target (down previously from $60.00) on shares of Cisco Systems in a research report on Thursday, November 14th. Zacks Investment Research raised Cisco Systems from a “sell” rating to a “hold” rating and set a $50.00 price target on the stock in a research report on Wednesday, January 15th. Royal Bank of Canada set a $56.00 target price on Cisco Systems and gave the company a “buy” rating in a research report on Wednesday, November 13th. UBS Group reissued a “buy” rating and issued a $54.00 target price (down previously from $58.00) on shares of Cisco Systems in a research report on Thursday, November 14th. Finally, Evercore ISI reissued a “buy” rating on shares of Cisco Systems in a research report on Sunday, December 15th. Thirteen research analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company. The company currently has an average rating of “Buy” and an average target price of $54.28.

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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Dividend History for Cisco Systems (NASDAQ:CSCO)

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