Members Trust Co Expands Cisco Holdings, Now Valued at $865,000

Members Trust Co has increased its investment in shares of Cisco Systems, Inc. (NASDAQ: CSCO) by 12.1% during the second quarter of 2023, now holding a total of 12,467 shares valued at approximately $865,000. This information stems from the firm’s latest filing with the Securities and Exchange Commission.

The increase in holdings includes the acquisition of an additional 1,349 shares. Members Trust Co is not alone in its interest in Cisco; numerous institutional investors have also adjusted their stakes in the company recently. For instance, Financial Connections Group Inc. raised its investment by 89.4%, bringing its total to 409 shares worth around $28,000 after purchasing an additional 193 shares. Other firms such as Pandora Wealth Inc. and Nova Wealth Management Inc. also initiated new stakes in the first quarter, each valued at about $31,000.

Currently, institutional investors and hedge funds own 73.33% of Cisco’s stock, highlighting significant institutional support for the company.

Cisco Systems’ Market Performance and Dividend Announcement

As of the latest trading session, shares of Cisco opened at $70.72. The company has experienced a 1-year low of $52.11 and a 1-year high of $72.55. Cisco’s market capitalization stands at $279.57 billion, with a price-to-earnings (PE) ratio of 26.99 and a beta of 0.97. The company also recently announced a quarterly dividend of $0.41, set to be distributed on October 22, 2023, to investors on record as of October 3, 2023. This dividend reflects an annualized payout of $1.64 and a yield of 2.3%.

The current payout ratio stands at 62.60%, indicating a sustainable dividend policy.

Analyst Ratings and Insider Trading Activity

In recent weeks, several equity research analysts have provided updated assessments of Cisco’s stock. UBS Group raised its price target from $70.00 to $74.00, maintaining a “neutral” rating. Meanwhile, Wells Fargo & Company increased its price objective from $75.00 to $83.00, assigning an “overweight” rating to the stock. According to MarketBeat.com, Cisco currently holds a consensus rating of “Moderate Buy” with an average price target of $74.72.

Insider trading activity has also been notable. Deborah L. Stahlkopf, Executive Vice President, sold 2,718 shares on September 11, 2023, at an average price of $68.08, totaling approximately $185,041.44. After this transaction, she retains 157,184 shares valued at around $10,701,086.72. Additionally, Charles Robbins, Chief Executive Officer, sold 30,557 shares on August 15, 2023, for about $2,036,012.91. Following this sale, he owns 639,000 shares worth approximately $42,576,570.

These transactions reflect a 1.70% and 4.56% decrease in their respective positions, indicating a strategic adjustment amid changing market conditions.

Cisco Systems, Inc. continues to solidify its position in the networking and communications technology sector. The recent adjustments in shareholdings and dividend declarations are likely to keep investors and analysts closely monitoring the company’s performance in the upcoming quarters.