Consider This Before Taking a Position in Cisco Systems (CSCO)

More and more people are talking about Cisco Systems over the last few weeks. Is it worth buying the Communication Equipment stock at a price of $52.22? Only time will tell. The information below will give you a basic idea of what this investment may entail:

  • Cisco Systems has moved 18.0% over the last year, and the S&P 500 logged a change of 14.0%

  • CSCO has an average analyst rating of buy and is -5.73% away from its mean target price of $55.39 per share

  • Its trailing earnings per share (EPS) is $3.07

  • Cisco Systems has a trailing 12 month Price to Earnings (P/E) ratio of 17.0 while the S&P 500 average is 15.97

  • Its forward earnings per share (EPS) is $3.99 and its forward P/E ratio is 13.1

  • The company has a Price to Book (P/B) ratio of 4.79 in contrast to the S&P 500's average ratio of 2.95

  • Cisco Systems is part of the Telecommunications sector, which has an average P/E ratio of 18.85 and an average P/B of 3.12

  • CSCO has reported YOY quarterly earnings growth of 40.7% and gross profit margins of 0.6%

  • The company has a free cash flow of $18.07 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter

  • Cisco Systems, Inc. designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company also offers switching portfolio encompasses campus switching as well as data center switching; enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure, and reliable connectivity to campus, data center and branch networks; wireless products include wireless access points and controllers; and compute portfolio including the cisco unified computing system, hyperflex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization. In addition, it provides Internet for the future product consists of routed optical networking, 5G, silicon, and optics solutions; collaboration products, such as meetings, collaboration devices, calling, contact center, and communication platform as a service; end-to-end security product consists of network security, cloud security, security endpoints, unified threat management, and zero trust; and optimized application experiences products including full stack observability and network assurance. Further, the company offers a range of service and support options for its customers, including technical support and advanced services and advisory services. It serves businesses of various sizes, public institutions, governments, and service providers. The company sells its products and services directly, as well as through systems integrators, service providers, other resellers, and distributors. Cisco Systems, Inc. has strategic alliances with other companies. Cisco Systems, Inc. was incorporated in 1984 and is headquartered in San Jose, California.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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