NEW YORK, January 2, 2026, 11:37 ET — Regular session
- Cisco Systems shares were down about 1% in late morning trading.
- The stock is trading ex-dividend, a calendar effect that often weighs on the price.
- Investors are looking ahead to Cisco’s next earnings update and key U.S. data.
Shares of Cisco Systems, Inc. (CSCO) fell about 1% to $76.23 in late morning trading on Friday, after sliding as much as 1.9% earlier in the session.
The move comes as Cisco trades ex-dividend, meaning buyers purchasing the stock on or after that date are not eligible for the next payout. Cisco’s upcoming cash dividend is $0.41 per share, with payment due on January 21, Fidelity data showed.
The broader market was mixed, leaving the ex-dividend adjustment more visible in a large, liquid name like Cisco. The S&P 500 tracker SPY was little changed, while the tech-heavy QQQ was down about 0.2%.
Cisco’s dividend status matters because the stock is widely held by income-focused investors who prize steady cash returns. In its most recent quarterly results, the company reported revenue of $14.9 billion, up 8% year over year, and said Networking revenue rose 15% while Security fell 2%; CEO Chuck Robbins said, “We had a solid start to fiscal 2026, and Cisco is on track to deliver our strongest year yet.” Cisco
Looking ahead, a filing showed Cisco forecast second-quarter fiscal 2026 revenue of $15.0 billion to $15.2 billion and non-GAAP earnings per share of $1.01 to $1.03, and it reiterated full-year revenue guidance of $60.2 billion to $61.0 billion with non-GAAP EPS of $4.08 to $4.14. Non-GAAP is an adjusted profit measure that excludes some items such as restructuring and acquisition-related charges.
Peer moves were uneven, reflecting a selective tape inside tech. Arista Networks was up about 2.4%, while cybersecurity names Palo Alto Networks and Fortinet were down about 2.3% and 1.8%, respectively.
Ex-dividend sessions can draw short-term trading strategies, including “dividend capture,” where investors buy to collect a payout and then sell afterward. That selling pressure can weigh on the shares even if company fundamentals are unchanged.
For longer-term investors, the bigger question is whether Cisco’s networking demand tied to AI-related infrastructure spending can offset softer areas, including parts of security and collaboration, as customers shift budgets and modernize their networks.
Cisco’s next earnings report is expected on February 11, 2026, according to Yahoo Finance’s earnings calendar.
Macro catalysts are also lining up early in the new year, with investors watching U.S. jobs data and the start of fourth-quarter earnings season; major bank results begin on January 13 with JPMorgan, Reuters reported.
Cisco was down about 80 cents in late morning trading, nearly double the $0.41 dividend, suggesting broader positioning and the day’s risk tone also contributed to the move.
Traders will be watching for signs that the stock stabilizes after the ex-dividend adjustment, and whether it tracks the broader tech tape into the close.
