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CSCO
Cisco Systems, Inc. - NASDAQ

7/9/2014, 8:19 PM ET
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  • Cisco: The New Dividend Leader?
    Bill Maurer Today, 12:30 AM 9 Comments

    Summary

    • Cisco had no dividend in 2010. Now, the annual yield is over 3.00%.
    • Cisco's yield leads US large cap tech, but the lead may not last long.
    • Buyback's return to normal levels should fuel future dividend increases.
    • Intel and Microsoft will also battle for the top dividend yield spot.
  • Cisco Is Beating The S&P 500 This Year, But It Is Still A Laggard
    Abba's Aces Thu, Jul. 3 1 Comment

    Summary

    • Cisco's peers Intel and Microsoft are at ten-year highs, and Cisco isn't.
    • Cisco trades at a massive discount on forward earnings estimates when compared to its old-school tech buddies.
    • Earnings estimates for 2015 are creeping back up slowly.
  • Cisco For The Alpha Hunter
    Shiv Kapoor Thu, Jun. 19 7 Comments

    Summary

    • Cisco remains well valued even after the recent run up in price.
    • The stock as priced offers at least 65 basis points of growth alpha, which translates to a 16.3% gain potential to my estimate of fair value.
    • Once at fair value, investors can expect a total long-term return of 10.54%.
  • Why Cisco's Tail-F Acquisition Could Be Positive For Investors
    BB Research Thu, Jun. 19 2 Comments

    Summary

    • Cisco announced its intent to acquire privately held Tail-f Systems, a Swedish service providing firm.
    • The firm offers innovative solutions to telecom service providers that could help Cisco grow sales.
    • We believe that the stock has 12-13% upside in the medium-term.
  • Cisco: A Slow-Moving Company In The Middle Of A Massive Churn.
    Mihir Mehta Wed, Jun. 18 6 Comments

    Summary

    • The news around exit of CEO John Chambers is surging and it will be in favor of Cisco to get a fresh and enthusiastic leadership.
    • The opportunities and challenges presented by SDN will be instrumental in shaping Cisco's future performance. Also, Cisco will have to put up a strong fight against rival VMware.
    • Considering the ambiguity around SDN and IoT, it is prudent to hold off putting money in the stock for now.
  • Cisco Systems - Another Small Deal Shows Cisco's Commitment To Turn The Ship
    The Value Investor Wed, Jun. 18 1 Comment

    Summary

    • Cisco Systems acquires Tail-f Systems, a provider of traditional and virtualized network solutions.
    • The company is facing gaps in its product and service offerings, something which it tries to solve by making nimble acquisitions.
    • Fair valuation, strong balance sheet and high shareholder payouts lower the risks.
  • VMware And Cisco To Fight It Out In The SDN Arena
    Trefis Tue, Jun. 17 6 Comments

    Summary

    • The battle between once-partners VMware and Cisco seems to be heating up in the software-defined networking (SDN) domain, with VMware announcing its NSX licenses to be sold via channel partners.
    • Before launching the NSX platform in October, VMware management stated that the company does not intend to harm its partnership with networking giant Cisco by launching competing SDN products.
    • We forecast VMware’s average price per license to grow to about $5,300 per license by the end of our forecast period.
  • Cisco: The Overlooked Dividend Idea In Big-Cap Tech
    Valuentum Thu, Jun. 12 5 Comments

    Summary

    • We apply a three-stage free cash flow to the firm (enterprise cash flow) valuation model, which generates an estimate of intrinsic value for every company in our coverage universe.
    • Cisco is a firm that is trading near the low end of its fair value range.
    • Apple and Microsoft often steal the thunder with respect to dividend growth in big-cap tech, but Cisco is worth a look.
  • Cisco: 9 Different Insiders Have Sold Shares During The Last 30 Days
    Markus Aarnio Thu, Jun. 12 10 Comments

    Summary

    • 9 insiders sold Cisco stock within one month.
    • The stock was not purchased by any insiders in the month of intensive selling.
    • 6 of these 9 insiders decreased their holdings by more than 10%.
  • Cisco: The Chambers Clock Is Starting
    Bill Maurer Thu, Jun. 12 8 Comments

    Summary

    • Cisco CEO John Chambers may step aside soon.
    • Chambers is nearing 20 year anniversary as CEO.
    • It's time for Cisco to move forward.
    • Departure would be part of massive reorganization.
    • Revenue improvement expected into and through fiscal 2015.
  • Cisco: Dividend Growth Will Continue To Decelerate
    Stock Gamer Fri, Jun. 6 6 Comments

    Summary

    • The recent 12% dividend hike is not sustainable in the near term given free cash flow will likely grow by a much slower rate through 2016.
    • With modest free cash flow growth and continued share buyback, a more sustainable dividend per share growth would be about 9%.
    • Current valuation seems to have priced in the 9% dividend growth expectation.
  • Cisco: Future Dividend Aristocrat?
    Josh Arnold Wed, Jun. 4 9 Comments

    Summary

    • Cisco shares have moved up very steadily in the past two years.
    • Has the stock moved ahead of fundamentals?
    • The company's robust dividend is likely to support shares in the future.
  • Cisco's Awesome Dividend Opportunity Has Passed If You Didn't Buy In March
    Abba's Aces Tue, Jun. 3 6 Comments

    Summary

    • The stock has traveled too high in too short of a time frame after its earnings announcement. This is a good problem to have if you bought in March.
    • The stock has expensive valuations on earnings growth potential.
    • The dividend is still a great 3%, but was much higher 2 months ago.
  • Should You Bet On A Cisco Turnaround?
    Anup Singh Wed, May. 21 8 Comments

    Summary

    • Cisco's turnaround has taken off well and the company looks set to get better going forward.
    • Cisco's Intercloud strategy could be a strong growth driver going forward.
    • The Internet of Things is yet another big opportunity for Cisco, and it has already started investing in start-ups to benefit from it.
  • China Headaches For Cisco And IBM
    Seeking Profits Wed, May. 21 10 Comments

    Summary

    • The U.S charged Chinese army officials with cyber crimes, which will increase tensions between the countries.
    • There are also reports that the NSA intercepted Cisco equipment headed to China, prompting a response from CEO John Chambers.
    • With this news, I expect China to avoid U.S. tech firms when possible, which will be negative for IBM and Cisco.
  • Cisco: A Turnaround Sooner Than Expected
    Bill Maurer Tue, May. 20 6 Comments

    Summary

    • Cisco reported better than expected fiscal Q3 results.
    • Guidance was also much better than expected.
    • Company's turnaround coming sooner than expected.
    • Strong capital returns make Cisco a decent play.
    • Upside possible if results keep trending this way.
  • Cisco Needs To Pace Things Up Before It's Too Late
    Alpha Strategist Mon, May. 19 6 Comments

    Summary

    • The company blames the environmental inconsistency for the drop in its geographical sales.
    • Growth in sales in the US and Europe hovered between mid-single digits, whereas it remained negative in the BRIC markets and Mexico.
    • The new low-cost technology, Software Defined Networking (SDN), is a major threat to the company's margins, as it replaces the need to invest in Cisco's high-margin products.
  • Cisco Continues To Face Top Line Challenges But Upbeat Order Growth A Good Sign
    Trefis Fri, May. 16 7 Comments

    Summary

    • Cisco saw revenues drop year-over-year by 5.5% as sustained weakness in emerging markets and sluggish spending by service providers weighed on results.
    • The company was able to offset some of the pressure with a strong showing in the U.S., where both commercial as well as enterprise orders grew by over 10% y-o-y.
    • Cisco seems well positioned to reclaim some of its lost market share as the strong order flow translates into revenues, possibly toward the back half of the year.
  • Cisco Systems: Despite A Beat, I Remain Uncertain About The Long Term
    The Value Investor Fri, May. 16 4 Comments

    Summary

    • Investors are relieved as the company beat expectations and is more upbeat for the final quarter.
    • Despite this, revenues are still shrinking as competition attacks the business from all sides.
    • Despite a rock solid financial position and fair valuation, the business model remains under pressure which is my major doubt.
  • Why Cisco Is Heading To $32
    Wall Street Playbook Thu, May. 15 13 Comments

    Summary

    • Cisco's challenge, of late, has been to reinstate investors' confidence.
    • If Cisco can offset the enterprises shift towards the cloud and outsourcing, Cisco's stock should do well in the long term.
    • I am raising my target from $30 to $32 on the basis of long-term free cash flow growth and the quicker pace of the economic recovery.
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Company Description

Cisco Systems Inc designs, manufactures, and sells Internet Protocol (IP) based networking and other products related to the communications and information technology (IT) industry.