Cisco hits 52-week high after Q2 results beat expectations, dividend raised 11%.
Last night, Cisco (CSCO) reported Q2 adjusted earnings per share of 53c and revenue of $11.94B, topping analysts’ consensus estimates of 51c and $11.8B, respectively. Cash flows from operations were $2.9B in Q2 versus $2.5B in the prior quarter. The company repurchased about 44M shares of stock in the quarter at an average price of $27.63 per share. CSCO revenues grew 7% and delivered strong EPS growth. Looking to Q3, CSCO forecasts EPS of 51c-53c and revenue growth of 3%-5%, compared to analysts’ consensus estimates of 52c and $12.01B, respectively.
This morning, Piper Jaffray kept an Overweight rating on the stock with a $33 price target. CSCO rose $2.32 or 8.61% in early trading to $29.25 on nearly twice its average daily trading volume. The shares have gained 27% over the past 12 months.