CSCO

Cisco Systems, Inc.

TMT


Presented:11/25/2020
Price:$42.50
Cap:$179.58B
Current Price:$54.08
Cap:$215.82B

Presented

Date11/25/2020
Price$42.50
Market Cap$179.58B
Ent Value$150.33B
P/E Ratio17.26x
Book Value$9.04
Div Yield3.36%
Shares O/S4,225.51M
Ave Daily Vol25,114,579
Short Int0.95%

Current

Price$54.08
Market Cap$215.82B
Cisco Systems, Inc. engages in the design, manufacture, and sale of Internet Protocol based networking products and services related to the communications and information technology industry. The firm operates through the following geographical segments: the Americas, EMEA, and APJC. Its product comprises of the following categories: Switches, Routers, Wireless, Network Management Interfaces and Modules, Optical Networking, Access Points, Outdoor and Industrial Access Points, Next-Generation Firewalls, Advanced Malware Protection, VPN Security Clients, Email, and Web Security. The company was founded by Sandra Lerner and Leonard Bosack on December 10, 1984 and is headquartered in San Jose, CA.

Publicly traded companies mentioned herein: Cisco Systems Inc (CSCO) 

Highlights 

The presenter is long shares of CSCO, which he finds to be one of the more responsive businesses to economic conditions due to its historically high churn, 50% market share, and SMB exposure. He notes that the company’s FQ1 results, reported in November, mark its first good quarter in the last 1.5 years, and believes that many of the negative catalysts the company has faced have been addressed. He finds the stock attractive at its 3.7% dividend yield and 12x P/E multiple with tailwinds in its product cycle, and expects it to outperform in the event of an economic recovery.

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Idea Discussion

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