For years, Cisco (NASDAQ:CSCO) has struggled for an uplift in revenue and profitability growth, pinned down by its one-off equipment sales which kept it vulnerable to cyclical volatility, as we was witnessed
Cisco Systems Is A Cash Cow And Could Be A Star
Summary
- Cisco is on the right track, shifting its business model more towards software and applications, with a focus on recurring revenues.
- Financial management has been prudent, leaving the company with ample firepower for expansion.
- Valuation is no longer cheap after a 50% hike in the share price since last year.
I have an extensive 24-year career experience in analyzing and valuing companies. I started my career as a buy side then a sell side equity analyst, then I worked as a private equity analyst for several years then as a long-term corporate investor of both equity and debt. Since the start of my career until now, I have been constantly screening, analyzing and investing in stocks - more intensely since mid 2014 when I started building a significant portfolio in UK, US and European stocks. My portfolio has significantly outperformed the comparable indices of the FTSE 100 and the S&P 500, so I thought to share some of my thoughts and experiences publicly.
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