(CSCO) Cisco Systems - NASDAQ
Sector: Technology | Industry: Communication Equipment | Exchange: NASDAQ (USA) | Market Cap: 480.185m USD | Total Return: 87.7% in 12m
Avg Turnover: 2.95B
EPS Trend: -9.7%
Qual. Beats: 3
Rev. Trend: 36.3%
Qual. Beats: 3
Warnings
Below Avwap Earnings
Tailwinds
Supp Ema20, Rs Leader, Confidence
Cisco Systems, Inc. is a global provider of networking, security, and collaboration solutions. The company designs and sells hardware and software that facilitate data center switching, wireless connectivity, and secure access service edge (SASE) frameworks. Its portfolio spans threat intelligence, observability suites, and cloud-based communication tools via the Webex platform.
Operating within the Communications Equipment sub-industry, Cisco utilizes a diverse distribution model involving direct sales, systems integrators, and resellers. A significant portion of the business has transitioned toward a recurring revenue model through software subscriptions and multi-year service contracts, reducing reliance on one-time hardware cycles.
The company serves a broad client base including government agencies, service providers, and private enterprises across the Americas, EMEA, and Asia-Pacific regions. For a deeper look into the companys valuation metrics, consider reviewing the latest data on ValueRay.
Founded in 1984 and headquartered in San Jose, California, Cisco remains a central infrastructure provider for both public and private wireline and mobile networks. The sector is currently characterized by high demand for AI-ready data center architecture and integrated cybersecurity platforms.
- Splunk acquisition accelerates transition toward high-margin recurring software and security revenue
- Enterprise networking demand softens as customers digest excess hardware inventory backlog
- AI infrastructure buildout boosts demand for high-performance ethernet switching and optics
- Cybersecurity portfolio expansion offsets legacy hardware volatility through subscription growth
- Global corporate IT spending cycles dictate volume for core campus and data center networking.
| Net Income: 12.0b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.10 > 0.02 and ΔFCF/TA -0.64 > 1.0 |
| NWC/Revenue: -4.91% < 20% (prev -3.02%; Δ -1.89% < -1%) |
| CFO/TA 0.10 > 3% & CFO 13.0b > Net Income 12.0b |
| Net Debt (14.7b) to EBITDA (14.0b): 1.05 < 3 |
| Current Ratio: 0.92 > 1.5 & < 3 |
| Outstanding Shares: last quarter (3.99b) vs 12m ago -0.42% < -2% |
| Gross Margin: 64.33% > 18% (prev 65.24%; Δ -0.92% > 0.5%) |
| Asset Turnover: 49.52% > 50% (prev 46.44%; Δ 3.09% > 0%) |
| Interest Coverage Ratio: 9.11 > 6 (EBIT TTM 13.3b / Interest Expense TTM 1.47b) |
| A: -0.02 (Total Current Assets 36.6b - Total Current Liabilities 39.5b) / Total Assets 126b |
| B: 0.01 (Retained Earnings 704.0m / Total Assets 126b) |
| C: 0.11 (EBIT TTM 13.3b / Avg Total Assets 123b) |
| D: 0.64 (Book Value of Equity 48.9b / Total Liabilities 76.7b) |
| Altman-Z'' = 1.26 = BB |
| DSRI: 0.72 (Receivables 6.48b/8.23b, Revenue 60.7b/55.6b) |
| GMI: 1.01 (GM 65.24% / 64.33%) |
| AQI: 0.97 (AQ_t 0.69 / AQ_t-1 0.71) |
| SGI: 1.09 (Revenue 60.7b / 55.6b) |
| TATA: -0.01 (NI 12.0b - CFO 13.0b) / TA 126b) |
| Beneish M = -3.20 (Cap -4..+1) = AA |
As of June 17, 2026, the stock is trading at USD 119.57 with a total of 15,719,860 shares traded.
Over the past week, the price has changed by -3.21%,
over one month by +1.66%,
over three months by +53.13% and
over the past year by +87.66%.
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 | 126.5 | 5.8% |
P/E Trailing = 40.61
P/E Forward = 25.0
P/S = 7.9048
P/B = 9.5832
P/EG = 1.6487
Revenue TTM = 60.7b USD
EBIT TTM = 13.3b USD
EBITDA TTM = 14.0b USD
Long Term Debt = 19.4b USD (from longTermDebt, last quarter)
Short Term Debt = 11.9b USD (from shortTermDebt, last quarter)
Debt = 31.3b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 14.7b USD (calculated: Debt 31.3b - CCE 16.6b)
Enterprise Value = 495b USD (480b + Debt 31.3b - CCE 16.6b)
Interest Coverage Ratio = 9.11 (Ebit TTM 13.3b / Interest Expense TTM 1.47b)
EV/FCF = 39.22x (Enterprise Value 495b / FCF TTM 12.6b)
FCF Yield = 2.55% (FCF TTM 12.6b / Enterprise Value 495b)
FCF Margin = 20.77% (FCF TTM 12.6b / Revenue TTM 60.7b)
Net Margin = 19.69% (Net Income TTM 12.0b / Revenue TTM 60.7b)
Gross Margin = 64.33% ((Revenue TTM 60.7b - Cost of Revenue TTM 21.7b) / Revenue TTM)
Gross Margin QoQ = 63.63% (prev 64.97%)
Tobins Q-Ratio = 3.94 (Enterprise Value 495b / Total Assets 126b)
Interest Expense / Debt = 4.68% (Interest Expense 1.47b / Debt 31.3b)
Taxrate = 15.04% (2.12b / 14.1b)
NOPAT = 11.3b (EBIT 13.3b * (1 - 15.04%))
Current Ratio = 0.92 (Total Current Assets 36.6b / Total Current Liabilities 39.5b)
Debt / Equity = 0.64 (Debt 31.3b / totalStockholderEquity, last quarter 48.9b)
Debt / EBITDA = 1.05 (Net Debt 14.7b / EBITDA 14.0b)
Debt / FCF = 1.16 (Net Debt 14.7b / FCF TTM 12.6b)
Total Stockholder Equity = 47.6b (last 4 quarters mean from totalStockholderEquity)
RoA = 9.75% (Net Income 12.0b / Total Assets 126b)
RoE = 25.14% (Net Income TTM 12.0b / Total Stockholder Equity 47.6b)
RoCE = 19.94% (EBIT 13.3b / Capital Employed (Equity 47.6b + L.T.Debt 19.4b))
RoIC = 11.95% (NOPAT 11.3b / Invested Capital 94.9b)
WACC = 8.92% (E(480b)/V(511b) * Re(9.24%) + D(31.3b)/V(511b) * Rd(4.68%) * (1-Tc(0.15)))
Discount Rate = 9.24% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -94.39 | Cagr: -0.94%
[DCF] Terminal Value 73.26% ; FCFF base≈12.7b ; Y1≈12.6b ; Y5≈13.0b
[DCF] Fair Price = 43.23 (EV 185b - Net Debt 14.7b = Equity 170b / Shares 3.94b; r=8.92% [WACC]; 5y FCF grow -1.46% → 2.50% )
EPS Correlation: -9.71 | EPS CAGR: -0.57% | SUE: 1.25 | # QB: 3
Revenue Correlation: 36.31 | Revenue CAGR: 1.62% | SUE: 4.0 | # QB: 3
EPS next Quarter (2026-10-31): EPS=1.15 | Chg30d=+7.21% | Revisions=+79% | Analysts=20
EPS current Year (2026-07-31): EPS=4.28 | Chg30d=+2.96% | Revisions=+85% | GrowthEPS=+12.3% | GrowthRev=+11.0%
EPS next Year (2027-07-31): EPS=4.77 | Chg30d=+5.78% | Revisions=+85% | GrowthEPS=+11.6% | GrowthRev=+8.9%
[Analyst] Revisions Ratio: +85%