On May 11, 2023 at 12:19:12 ET an unusually large $142.61K block of Put contracts in Cisco Systems (CSCO) was sold, with a strike price of $42.50 / share, expiring in 253 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 1.59 sigmas above the mean, placing it in the 93.97th percentile of all recent large trades made in CSCO options.

This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.

What is the Fund Sentiment?

There are 4484 funds or institutions reporting positions in Cisco Systems. This is an increase of 131 owner(s) or 3.01% in the last quarter. Average portfolio weight of all funds dedicated to CSCO is 0.72%, an increase of 0.18%. Total shares owned by institutions increased in the last three months by 0.85% to 3,320,562K shares. The put/call ratio of CSCO is 0.93, indicating a bullish outlook.

Analyst Price Forecast Suggests 23.86% Upside

As of May 10, 2023, the average one-year price target for Cisco Systems is 57.86. The forecasts range from a low of 51.51 to a high of $72.45. The average price target represents an increase of 23.86% from its latest reported closing price of 46.71.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Cisco Systems is 55,626MM, an increase of 4.64%. The projected annual non-GAAP EPS is 3.62.

What are Other Shareholders Doing?

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 112,402K shares representing 2.74% ownership of the company. In it’s prior filing, the firm reported owning 111,230K shares, representing an increase of 1.04%. The firm increased its portfolio allocation in CSCO by 11.15% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 94,919K shares representing 2.32% ownership of the company. In it’s prior filing, the firm reported owning 93,872K shares, representing an increase of 1.10%. The firm increased its portfolio allocation in CSCO by 10.95% over the last quarter.

Geode Capital Management holds 76,737K shares representing 1.87% ownership of the company. In it’s prior filing, the firm reported owning 75,987K shares, representing an increase of 0.98%. The firm increased its portfolio allocation in CSCO by 11.20% over the last quarter.

Charles Schwab Investment Management holds 70,561K shares representing 1.72% ownership of the company. In it’s prior filing, the firm reported owning 66,719K shares, representing an increase of 5.44%. The firm increased its portfolio allocation in CSCO by 12.32% over the last quarter.

Bank of New York Mellon holds 69,487K shares representing 1.70% ownership of the company. In it’s prior filing, the firm reported owning 70,548K shares, representing a decrease of 1.53%. The firm decreased its portfolio allocation in CSCO by 88.09% over the last quarter.

Cisco Systems Declares $0.39 Dividend

On February 15, 2023 the company declared a regular quarterly dividend of $0.39 per share ($1.56 annualized). Shareholders of record as of April 5, 2023 received the payment on April 26, 2023. Previously, the company paid $0.38 per share.

At the current share price of $46.71 / share, the stock’s dividend yield is 3.34%.

Looking back five years and taking a sample every week, the average dividend yield has been 3.00%, the lowest has been 2.33%, and the highest has been 4.15%. The standard deviation of yields is 0.36 (n=236).

The current dividend yield is 0.94 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.57. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.11%, demonstrating that it has increased its dividend over time.

Cisco Systems Background Information
(This description is provided by the company.)

Cisco is the worldwide leader in technology that powers the Internet. Cisco inspires new possibilities by reimagining your applications, securing your data, transforming your infrastructure, and empowering your teams for a global and inclusive future.

See all Cisco Systems regulatory filings.

This article originally appeared on Fintel

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