CSCO Stock Analysis: Cisco Systems | NASDAQ
Communication Equipment | NASDAQ, USA | Market Cap: 434.631m USD | 12M Return: 67.9% | US17275R1023 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 1.59B
EPS Trend: 10.9%
Qual. Beats: 4
Rev. Trend: 61.3%
Qual. Beats: 4
Warnings
No concerns identified
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Cisco Systems (NASDAQ: CSCO) is a global provider of internet-related networking and connectivity technologies, serving customers across the Americas, Europe, the Middle East, Africa, Asia Pacific, Japan, and China. Its portfolio spans data center switching, network security and identity/access management, secure access service edge (SASE), threat detection and response, wireless products, the Webex collaboration suite, contact center and communication platform-as-a-service (CPaaS) software, and network assurance and observability tools. The company also offers professional services, technical support, hardware replacement, financing, and managed network services.
Ciscos revenue model combines hardware sales, perpetual and subscription software licenses, and recurring services and support. It sells to businesses, public institutions, governments, and service providers through direct sales, systems integrators, service providers, resellers, and distributors. As a long-standing leader in the Communications Equipment sub-industry within Information Technology, Cisco has historically been defined by enterprise networking hardware (routers, switches) but has been shifting its mix toward software, subscriptions, and security offerings. The company was incorporated in 1984, is headquartered in San Jose, California, and listed on NASDAQ in 1990.
- AI-driven data center switching revenue accelerates with webscale orders
- Splunk integration boosts security and observability subscription growth
- Enterprise networking demand softens on cautious IT budget cuts
| Net Income: 13.3b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.10 > 0.02 and ΔFCF/TA -0.38 > 1.0 |
| NWC/Revenue: -4.52% < 20% (prev -0.14%; Δ -4.38% < -1%) |
| CFO/TA 0.11 > 3% & CFO 14.2b > Net Income 13.3b |
| Net Debt (13.6b) to EBITDA (20.0b): 0.68 < 3 |
| Current Ratio: 0.93 > 1.5 & < 3 |
| Outstanding Shares: last quarter (3.99b) vs 12m ago -0.13% < -2% |
| Gross Margin: 64.52% > 18% (prev 64.94%; Δ -0.41% > 0.5%) |
| Asset Turnover: 50.27% > 50% (prev 46.33%; Δ 3.95% > 0%) |
| Interest Coverage Ratio: 11.89 > 6 (EBIT TTM 17.5b / Interest Expense TTM 1.47b) |
| A: -0.02 (Total Current Assets 38.7b - Total Current Liabilities 41.5b) / Total Assets 130b |
| B: 0.01 (Retained Earnings 1.56b / Total Assets 130b) |
| C: 0.14 (EBIT TTM 17.5b / Avg Total Assets 126b) |
| D: 0.63 (Book Value of Equity 50.3b / Total Liabilities 79.4b) |
| Altman-Z'' = 1.49 = BB |
| DSRI: 1.00 (Receivables 10.9b/9.76b, Revenue 63.3b/56.7b) |
| GMI: 1.01 (GM 64.94% / 64.52%) |
| AQI: 0.98 (AQ_t 0.68 / AQ_t-1 0.70) |
| SGI: 1.12 (Revenue 63.3b / 56.7b) |
| TATA: -0.01 (NI 13.3b - CFO 14.2b) / TA 130b) |
| Beneish M = -2.95 (Cap -4..+1) = A |
As of September 22, 2026, the stock is trading at USD 111.46 with a total of 21,354,976 shares traded. Over the past week, the price has changed by +1.27%, over one month by +0.38%, over three months by -7.94% and over the past year by +67.92%.
Current recommended Stop Loss: 105.40 (which is 5.4% or 2.1 ATR below the current price).
Cisco Systems has received a consensus analysts rating of 3.92. Therefore, it is recommended to buy CSCO.
- StrongBuy: 10
- Buy: 5
- Hold: 10
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 137.6 | 23.5% |
P/E Trailing = 33.1051
P/E Forward = 20.0803
P/S = 6.8635
P/B = 8.4473
P/EG = 0.9932
Revenue TTM = 63.3b USD
EBIT TTM = 17.5b USD
EBITDA TTM = 20.0b USD
Long Term Debt = 19.4b USD (from longTermDebt, last quarter)
Short Term Debt = 10.2b USD (from shortTermDebt, last quarter)
Debt = 29.5b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 13.6b USD (calculated: Debt 29.5b - CCE 15.9b)
Enterprise Value = 448b USD (435b + Debt 29.5b - CCE 15.9b)
Interest Coverage Ratio = 11.89 (Ebit TTM 17.5b / Interest Expense TTM 1.47b)
EV/FCF = 32.97x (Enterprise Value 448b / FCF TTM 13.6b)
FCF Yield = 3.03% (FCF TTM 13.6b / Enterprise Value 448b)
FCF Margin = 21.47% (FCF TTM 13.6b / Revenue TTM 63.3b)
Net Margin = 20.95% (Net Income TTM 13.3b / Revenue TTM 63.3b)
Gross Margin = 64.52% ((Revenue TTM 63.3b - Cost of Revenue TTM 22.5b) / Revenue TTM)
Gross Margin QoQ = 64.13% (prev 63.63%)
Tobins Q-Ratio = 3.46 (Enterprise Value 448b / Total Assets 130b)
Interest Expense / Debt = 4.98% (Interest Expense 1.47b / Debt 29.5b)
Taxrate = 17.13% (2.74b / 16.0b)
NOPAT = 14.5b (EBIT 17.5b * (1 - 17.13%))
Current Ratio = 0.93 (Total Current Assets 38.7b / Total Current Liabilities 41.5b)
Debt / Equity = 0.59 (Debt 29.5b / totalStockholderEquity, last quarter 50.3b)
Debt / EBITDA = 0.68 (Net Debt 13.6b / EBITDA 20.0b)
Debt / FCF = 1.00 (Net Debt 13.6b / FCF TTM 13.6b)
Total Stockholder Equity = 48.4b (last 4 quarters mean from totalStockholderEquity)
RoA = 10.53% (Net Income 13.3b / Total Assets 130b)
RoE = 27.39% (Net Income TTM 13.3b / Total Stockholder Equity 48.4b)
RoCE = 25.78% (EBIT 17.5b / Capital Employed (Equity 48.4b + L.T.Debt 19.4b))
RoIC = 15.23% (NOPAT 14.5b / Invested Capital 95.1b)
WACC = 8.91% (E(435b)/V(464b) * Re(9.23%) + D(29.5b)/V(464b) * Rd(4.98%) * (1-Tc(0.17)))
Discount Rate = 9.23% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -88.90 | Cagr: -0.80%
[DCF] Terminal Value 73.83% ; FCFF base≈13.5b ; Y1≈13.8b ; Y5≈15.2b
[DCF] Fair Price = 51.00 (EV 215b - Net Debt 13.6b = Equity 201b / Shares 3.94b; r=8.91% [WACC]; 5y FCF grow 2.31% → 2.50% )
EPS Correlation: 10.94 | EPS CAGR: 0.70% | SUE: 4.0 | # QB: 4
Revenue Correlation: 61.33 | Revenue CAGR: 3.59% | SUE: 4.0 | # QB: 4
EPS current Quarter (2026-10-31): EPS=1.32 | Chg30d=+15.19% | Revisions=+86% | Analysts=23
EPS next Quarter (2027-01-31): EPS=1.23 | Chg30d=+4.73% | Revisions=+75% | Analysts=22
EPS current Year (2027-07-31): EPS=5.14 | Chg30d=+7.51% | Revisions=+88% | GrowthEPS=+18.8% | GrowthRev=+15.5%
EPS next Year (2028-07-31): EPS=5.60 | Chg30d=+6.10% | Revisions=+84% | GrowthEPS=+8.9% | GrowthRev=+6.3%
[Analyst] Revisions Ratio: +93% (up=72, down=1)