CISCO SYSTEMS INC (CIS.DE) Stock Fundamental Analysis
FRA:CIS • US17275R1023
66.41 EUR
-0.09 (-0.14%)
Last: Feb 25, 2026, 07:00 PM
Overall CIS gets a fundamental rating of 5 out of 10. We evaluated CIS against 30 industry peers in the Communications Equipment industry. CIS has an excellent profitability rating, but there are some minor concerns on its financial health. CIS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- CIS had positive earnings in the past year.
- CIS had a positive operating cash flow in the past year.
- CIS had positive earnings in each of the past 5 years.
- CIS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- CIS's Return On Assets of 8.98% is fine compared to the rest of the industry. CIS outperforms 73.33% of its industry peers.
- With a decent Return On Equity value of 23.21%, CIS is doing good in the industry, outperforming 80.00% of the companies in the same industry.
- CIS's Return On Invested Capital of 13.41% is amongst the best of the industry. CIS outperforms 83.33% of its industry peers.
- CIS had an Average Return On Invested Capital over the past 3 years of 14.02%. This is above the industry average of 10.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 23.21% | ||
| ROIC | 13.41% |
ROA(3y)9.67%
ROA(5y)10.49%
ROE(3y)24.29%
ROE(5y)25.65%
ROIC(3y)14.02%
ROIC(5y)15.13%
1.3 Margins
- CIS's Profit Margin of 18.76% is amongst the best of the industry. CIS outperforms 93.33% of its industry peers.
- In the last couple of years the Profit Margin of CIS has declined.
- The Operating Margin of CIS (23.18%) is better than 90.00% of its industry peers.
- CIS's Operating Margin has declined in the last couple of years.
- The Gross Margin of CIS (64.81%) is better than 76.67% of its industry peers.
- CIS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.18% | ||
| PM (TTM) | 18.76% | ||
| GM | 64.81% |
OM growth 3Y-6.7%
OM growth 5Y-5.03%
PM growth 3Y-7.78%
PM growth 5Y-4.61%
GM growth 3Y1.26%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CIS is still creating some value.
- Compared to 1 year ago, CIS has less shares outstanding
- Compared to 5 years ago, CIS has less shares outstanding
- The debt/assets ratio for CIS has been reduced compared to a year ago.
2.2 Solvency
- CIS has a debt to FCF ratio of 2.46. This is a good value and a sign of high solvency as CIS would need 2.46 years to pay back of all of its debts.
- The Debt to FCF ratio of CIS (2.46) is better than 63.33% of its industry peers.
- CIS has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.45, CIS is doing worse than 63.33% of the companies in the same industry.
- Even though the debt/equity ratio score it not favorable for CIS, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 2.46 | ||
| Altman-Z | N/A |
ROIC/WACC1.4
WACC9.6%
2.3 Liquidity
- A Current Ratio of 0.96 indicates that CIS may have some problems paying its short term obligations.
- The Current ratio of CIS (0.96) is worse than 83.33% of its industry peers.
- CIS has a Quick Ratio of 0.96. This is a bad value and indicates that CIS is not financially healthy enough and could expect problems in meeting its short term obligations.
- CIS's Quick ratio of 0.85 is on the low side compared to the rest of the industry. CIS is outperformed by 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 10.83% over the past year.
- CIS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.50% yearly.
- CIS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.00%.
- CIS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.82% yearly.
EPS 1Y (TTM)10.83%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%10.64%
Revenue 1Y (TTM)9%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%9.71%
3.2 Future
- CIS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.07% yearly.
- The Revenue is expected to grow by 5.76% on average over the next years.
EPS Next Y10.59%
EPS Next 2Y9.4%
EPS Next 3Y8.63%
EPS Next 5Y10.07%
Revenue Next Year7.24%
Revenue Next 2Y6.15%
Revenue Next 3Y5.74%
Revenue Next 5Y5.76%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 19.59 indicates a rather expensive valuation of CIS.
- CIS's Price/Earnings ratio is rather cheap when compared to the industry. CIS is cheaper than 83.33% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.05. CIS is valued slightly cheaper when compared to this.
- The Price/Forward Earnings ratio is 17.20, which indicates a rather expensive current valuation of CIS.
- Based on the Price/Forward Earnings ratio, CIS is valued a bit cheaper than 80.00% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of CIS to the average of the S&P500 Index (28.03), we can say CIS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.59 | ||
| Fwd PE | 17.2 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CIS is on the same level as its industry peers.
- CIS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.24 | ||
| EV/EBITDA | 19.45 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CIS does not grow enough to justify the current Price/Earnings ratio.
- CIS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.85
PEG (5Y)5.6
EPS Next 2Y9.4%
EPS Next 3Y8.63%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.24%, CIS has a reasonable but not impressive dividend return.
- CIS's Dividend Yield is a higher than the industry average which is at 2.64.
- Compared to an average S&P500 Dividend Yield of 1.80, CIS pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
5.2 History
- The dividend of CIS has a limited annual growth rate of 2.65%.
Dividend Growth(5Y)2.65%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- 58.56% of the earnings are spent on dividend by CIS. This is a bit on the high side, but may be sustainable.
- CIS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.56%
EPS Next 2Y9.4%
EPS Next 3Y8.63%
FRA:CIS (2/25/2026, 7:00:00 PM)
66.41
-0.09 (-0.14%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)02-11 2026-02-11/amc
Earnings (Next)05-12 2026-05-12/amc
Inst Owners81.27%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap262.39B
Revenue(TTM)59.05B
Net Income(TTM)11.08B
Analysts78.71
Price Target74.96 (12.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
Yearly Dividend1.36
Dividend Growth(5Y)2.65%
DP58.56%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.17%
Min EPS beat(2)-0.21%
Max EPS beat(2)-0.13%
EPS beat(4)1
Avg EPS beat(4)0.42%
Min EPS beat(4)-0.5%
Max EPS beat(4)2.52%
EPS beat(8)5
Avg EPS beat(8)1.34%
EPS beat(12)9
Avg EPS beat(12)2.05%
EPS beat(16)11
Avg EPS beat(16)1.55%
Revenue beat(2)0
Avg Revenue beat(2)-0.82%
Min Revenue beat(2)-1.19%
Max Revenue beat(2)-0.45%
Revenue beat(4)0
Avg Revenue beat(4)-1.17%
Min Revenue beat(4)-1.58%
Max Revenue beat(4)-0.45%
Revenue beat(8)0
Avg Revenue beat(8)-1.14%
Revenue beat(12)0
Avg Revenue beat(12)-1.15%
Revenue beat(16)2
Avg Revenue beat(16)-1.18%
PT rev (1m)1.75%
PT rev (3m)11.79%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.72%
EPS NY rev (1m)0%
EPS NY rev (3m)1.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.59 | ||
| Fwd PE | 17.2 | ||
| P/S | 5.23 | ||
| P/FCF | 25.24 | ||
| P/OCF | 23.19 | ||
| P/B | 6.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.45 |
EPS(TTM)3.39
EY5.1%
EPS(NY)3.86
Fwd EY5.81%
FCF(TTM)2.63
FCFY3.96%
OCF(TTM)2.86
OCFY4.31%
SpS12.69
BVpS10.26
TBVpS-4.26
PEG (NY)1.85
PEG (5Y)5.6
Graham Number27.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 23.21% | ||
| ROCE | 15.81% | ||
| ROIC | 13.41% | ||
| ROICexc | 16.39% | ||
| ROICexgc | 355.28% | ||
| OM | 23.18% | ||
| PM (TTM) | 18.76% | ||
| GM | 64.81% | ||
| FCFM | 20.73% |
ROA(3y)9.67%
ROA(5y)10.49%
ROE(3y)24.29%
ROE(5y)25.65%
ROIC(3y)14.02%
ROIC(5y)15.13%
ROICexc(3y)19.45%
ROICexc(5y)21.44%
ROICexgc(3y)218.06%
ROICexgc(5y)205%
ROCE(3y)17.32%
ROCE(5y)18.35%
ROICexgc growth 3Y7.78%
ROICexgc growth 5Y-7.79%
ROICexc growth 3Y-15.92%
ROICexc growth 5Y-13.75%
OM growth 3Y-6.7%
OM growth 5Y-5.03%
PM growth 3Y-7.78%
PM growth 5Y-4.61%
GM growth 3Y1.26%
GM growth 5Y0.21%
F-Score7
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 2.46 | ||
| Debt/EBITDA | 1.32 | ||
| Cap/Depr | 42.91% | ||
| Cap/Sales | 1.84% | ||
| Interest Coverage | 9.56 | ||
| Cash Conversion | 82.18% | ||
| Profit Quality | 110.52% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | N/A |
F-Score7
WACC9.6%
ROIC/WACC1.4
Cap/Depr(3y)36.04%
Cap/Depr(5y)33.93%
Cap/Sales(3y)1.44%
Cap/Sales(5y)1.33%
Profit Quality(3y)126.8%
Profit Quality(5y)125.54%
High Growth Momentum
Growth
EPS 1Y (TTM)10.83%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%10.64%
EPS Next Y10.59%
EPS Next 2Y9.4%
EPS Next 3Y8.63%
EPS Next 5Y10.07%
Revenue 1Y (TTM)9%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%9.71%
Revenue Next Year7.24%
Revenue Next 2Y6.15%
Revenue Next 3Y5.74%
Revenue Next 5Y5.76%
EBIT growth 1Y17.55%
EBIT growth 3Y-3.72%
EBIT growth 5Y-2.35%
EBIT Next Year17.41%
EBIT Next 3Y9.5%
EBIT Next 5Y9.13%
FCF growth 1Y-9.71%
FCF growth 3Y1.39%
FCF growth 5Y-1.94%
OCF growth 1Y-7.23%
OCF growth 3Y2.38%
OCF growth 5Y-1.65%
CISCO SYSTEMS INC / CIS.DE FAQ
What is the fundamental rating for CIS stock?
ChartMill assigns a fundamental rating of 5 / 10 to CIS.DE.
What is the valuation status for CIS stock?
ChartMill assigns a valuation rating of 4 / 10 to CISCO SYSTEMS INC (CIS.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for CISCO SYSTEMS INC?
CISCO SYSTEMS INC (CIS.DE) has a profitability rating of 7 / 10.
Can you provide the financial health for CIS stock?
The financial health rating of CISCO SYSTEMS INC (CIS.DE) is 4 / 10.
Is the dividend of CISCO SYSTEMS INC sustainable?
The dividend rating of CISCO SYSTEMS INC (CIS.DE) is 6 / 10 and the dividend payout ratio is 58.56%.