CISCO SYSTEMS INC (1CSCO.MI) Stock Fundamental Analysis
Europe - BIT:1CSCO - US17275R1023 - Common Stock
59.57 EUR
+0.69 (+1.17%)
We assign a fundamental rating of 5 out of 10 to 1CSCO. 1CSCO was compared to 29 industry peers in the Communications Equipment industry. While 1CSCO has a great profitability rating, there are some minor concerns on its financial health. 1CSCO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
1CSCO had positive earnings in the past year.
In the past year 1CSCO had a positive cash flow from operations.
Each year in the past 5 years 1CSCO has been profitable.
1CSCO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 8.53%, 1CSCO is doing good in the industry, outperforming 75.86% of the companies in the same industry.
Looking at the Return On Equity, with a value of 22.19%, 1CSCO is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
The Return On Invested Capital of 1CSCO (12.90%) is better than 75.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1CSCO is above the industry average of 12.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 22.19% | ||
| ROIC | 12.9% |
ROA(3y)9.74%
ROA(5y)10.53%
ROE(3y)24.44%
ROE(5y)25.74%
ROIC(3y)14.79%
ROIC(5y)15.83%
1.3 Margins
Looking at the Profit Margin, with a value of 18.45%, 1CSCO belongs to the top of the industry, outperforming 93.10% of the companies in the same industry.
1CSCO's Profit Margin has declined in the last couple of years.
1CSCO's Operating Margin of 22.69% is amongst the best of the industry. 1CSCO outperforms 93.10% of its industry peers.
1CSCO's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 65.56%, 1CSCO belongs to the best of the industry, outperforming 82.76% of the companies in the same industry.
1CSCO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.69% | ||
| PM (TTM) | 18.45% | ||
| GM | 65.56% |
OM growth 3Y-5.86%
OM growth 5Y-4.51%
PM growth 3Y-6.96%
PM growth 5Y-4.1%
GM growth 3Y1.58%
GM growth 5Y0.4%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1CSCO is creating some value.
The number of shares outstanding for 1CSCO has been reduced compared to 1 year ago.
Compared to 5 years ago, 1CSCO has less shares outstanding
1CSCO has a better debt/assets ratio than last year.
2.2 Solvency
1CSCO has a debt to FCF ratio of 2.11. This is a good value and a sign of high solvency as 1CSCO would need 2.11 years to pay back of all of its debts.
1CSCO has a Debt to FCF ratio of 2.11. This is in the better half of the industry: 1CSCO outperforms 68.97% of its industry peers.
1CSCO has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of 1CSCO (0.49) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 2.11 | ||
| Altman-Z | N/A |
ROIC/WACC1.42
WACC9.06%
2.3 Liquidity
1CSCO has a Current Ratio of 1.01. This is a normal value and indicates that 1CSCO is financially healthy and should not expect problems in meeting its short term obligations.
1CSCO has a Current ratio of 1.01. This is amonst the worse of the industry: 1CSCO underperforms 86.21% of its industry peers.
1CSCO has a Quick Ratio of 1.01. This is a bad value and indicates that 1CSCO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.92, 1CSCO is not doing good in the industry: 72.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.88% over the past year.
Measured over the past 5 years, 1CSCO shows a small growth in Earnings Per Share. The EPS has been growing by 3.50% on average per year.
1CSCO shows a small growth in Revenue. In the last year, the Revenue has grown by 5.30%.
1CSCO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.82% yearly.
EPS 1Y (TTM)1.88%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%13.79%
Revenue 1Y (TTM)5.3%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.56%
3.2 Future
1CSCO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.38% yearly.
1CSCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.95% yearly.
EPS Next Y8.52%
EPS Next 2Y8.05%
EPS Next 3Y7.97%
EPS Next 5Y8.38%
Revenue Next Year5.33%
Revenue Next 2Y4.95%
Revenue Next 3Y4.84%
Revenue Next 5Y4.95%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.16, which indicates a rather expensive current valuation of 1CSCO.
1CSCO's Price/Earnings ratio is a bit cheaper when compared to the industry. 1CSCO is cheaper than 75.86% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1CSCO to the average of the S&P500 Index (27.67), we can say 1CSCO is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 16.74, the valuation of 1CSCO can be described as correct.
Based on the Price/Forward Earnings ratio, 1CSCO is valued a bit cheaper than 65.52% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.33. 1CSCO is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 16.74 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1CSCO is on the same level as its industry peers.
1CSCO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.53 | ||
| EV/EBITDA | 17.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1CSCO does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1CSCO may justify a higher PE ratio.
PEG (NY)2.13
PEG (5Y)5.19
EPS Next 2Y8.05%
EPS Next 3Y7.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.44%, 1CSCO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.20, 1CSCO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, 1CSCO has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
5.2 History
The dividend of 1CSCO has a limited annual growth rate of 2.65%.
Dividend Growth(5Y)2.65%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
61.58% of the earnings are spent on dividend by 1CSCO. This is not a sustainable payout ratio.
The dividend of 1CSCO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP61.58%
EPS Next 2Y8.05%
EPS Next 3Y7.97%
BIT:1CSCO (10/17/2025, 7:00:00 PM)
59.57
+0.69 (+1.17%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners80.81%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap235.49B
Revenue(TTM)56.65B
Net Income(TTM)10.45B
Analysts77.5
Price Target64.77 (8.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.44% |
Yearly Dividend1.38
Dividend Growth(5Y)2.65%
DP61.58%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.01%
Min EPS beat(2)-0.5%
Max EPS beat(2)2.52%
EPS beat(4)3
Avg EPS beat(4)1.46%
Min EPS beat(4)-0.5%
Max EPS beat(4)2.52%
EPS beat(8)7
Avg EPS beat(8)2.32%
EPS beat(12)11
Avg EPS beat(12)2.22%
EPS beat(16)12
Avg EPS beat(16)1.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.53%
Min Revenue beat(2)-1.58%
Max Revenue beat(2)-1.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-1.58%
Max Revenue beat(4)-1.14%
Revenue beat(8)0
Avg Revenue beat(8)-1.3%
Revenue beat(12)1
Avg Revenue beat(12)-1.04%
Revenue beat(16)2
Avg Revenue beat(16)-1.32%
PT rev (1m)-1.79%
PT rev (3m)3.47%
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)1.37%
EPS NY rev (1m)0.02%
EPS NY rev (3m)0.37%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)1.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.16 | ||
| Fwd PE | 16.74 | ||
| P/S | 4.82 | ||
| P/FCF | 20.53 | ||
| P/OCF | 19.23 | ||
| P/B | 5.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.69 |
EPS(TTM)3.28
EY5.51%
EPS(NY)3.56
Fwd EY5.97%
FCF(TTM)2.9
FCFY4.87%
OCF(TTM)3.1
OCFY5.2%
SpS12.37
BVpS10.29
TBVpS-4.63
PEG (NY)2.13
PEG (5Y)5.19
Graham Number27.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 22.19% | ||
| ROCE | 14.69% | ||
| ROIC | 12.9% | ||
| ROICexc | 15.81% | ||
| ROICexgc | 366.62% | ||
| OM | 22.69% | ||
| PM (TTM) | 18.45% | ||
| GM | 65.56% | ||
| FCFM | 23.45% |
ROA(3y)9.74%
ROA(5y)10.53%
ROE(3y)24.44%
ROE(5y)25.74%
ROIC(3y)14.79%
ROIC(5y)15.83%
ROICexc(3y)20.5%
ROICexc(5y)22.42%
ROICexgc(3y)289.78%
ROICexgc(5y)250.68%
ROCE(3y)17.43%
ROCE(5y)18.42%
ROICexgc growth 3Y37.98%
ROICexgc growth 5Y6.94%
ROICexc growth 3Y-13.9%
ROICexc growth 5Y-12.52%
OM growth 3Y-5.86%
OM growth 5Y-4.51%
PM growth 3Y-6.96%
PM growth 5Y-4.1%
GM growth 3Y1.58%
GM growth 5Y0.4%
F-Score7
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 2.11 | ||
| Debt/EBITDA | 1.46 | ||
| Cap/Depr | 32.2% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 8.57 | ||
| Cash Conversion | 90.59% | ||
| Profit Quality | 127.12% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | N/A |
F-Score7
WACC9.06%
ROIC/WACC1.42
Cap/Depr(3y)36.04%
Cap/Depr(5y)33.93%
Cap/Sales(3y)1.44%
Cap/Sales(5y)1.33%
Profit Quality(3y)125.66%
Profit Quality(5y)124.86%
High Growth Momentum
Growth
EPS 1Y (TTM)1.88%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%13.79%
EPS Next Y8.52%
EPS Next 2Y8.05%
EPS Next 3Y7.97%
EPS Next 5Y8.38%
Revenue 1Y (TTM)5.3%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.56%
Revenue Next Year5.33%
Revenue Next 2Y4.95%
Revenue Next 3Y4.84%
Revenue Next 5Y4.95%
EBIT growth 1Y-1.07%
EBIT growth 3Y-2.85%
EBIT growth 5Y-1.82%
EBIT Next Year15.46%
EBIT Next 3Y7.7%
EBIT Next 5YN/A
FCF growth 1Y30.15%
FCF growth 3Y1.39%
FCF growth 5Y-1.94%
OCF growth 1Y30.45%
OCF growth 3Y2.38%
OCF growth 5Y-1.65%