CSCO does seem fairly cheap. However, you may want to check the share dilution since 1998 when you simply look at the Net Income. CSCO has been one of the worst diluters, IMHO.
One interesting measure is Book Value per share. When a company consistently reports positive earnings, pays no dividend, and the Book Value has little change, it should make an investor pause to consider what is happening to the supposed profits.
CSCO was one of the most egregious issuers of stock options for employees. I haven't looked it up for some time. But the potential dilution seemed to make it almost impossible for an investor to ever make a profit.
Generally an OK business. You just don't get to participate in the success. But can say you own something in your portfolio.
Why I'm Bullish on Cisco [View article]
Who's Sharing Cisco's Cash? [View article]
When a company consistently reports positive earnings, pays no dividend, and the Book Value has little change, it should make an investor pause to consider what is happening to the supposed profits.
CSCO was one of the most egregious issuers of stock options for employees. I haven't looked it up for some time. But the potential dilution seemed to make it almost impossible for an investor to ever make a profit.
Generally an OK business. You just don't get to participate in the success. But can say you own something in your portfolio.
JMHO.