Cisco Systems, Inc. (CSCO) Jumps on Earnings Beat Assuring Hedge Funds

How are hedge funds trading Cisco Systems, Inc. (NASDAQ:CSCO)?

Though there was a 0.98% decrease of hedge fund holdings in Cisco Systems, Inc. (NASDAQ:CSCO) by the end of March compared to the end of 2014, the company’s stock lost 1.04% of its value in the first three months of the year, meaning that there was actually a marginal increase of capital in the firm for the first quarter. Moreover, at the end of March, there were 76 funds in the Insider Monkey database which were bullish on Cisco, up by 13 from the previous quarter. However, only 3.4% of the company is held by hedge funds we track.

Among hedge funds, leading the bulls’ herd is Yacktman Asset Management, led by Donald Yacktman, which owned 48.98 million shares of Cisco Systems, Inc. (NASDAQ:CSCO) at the end of March.

Because of the top and bottom line beat for the fiscal fourth quarter and the upbeat guidance and confidence of the firm’s CEO coupled with heightened interest from more hedge funds in the first quarter, we recommend a long position on Cisco Systems, Inc. (NASDAQ:CSCO).

Disclosure: None