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CSCO

S&P 500
Favorable · 62/100

Cisco

Information Technology
Communications Equipment

$121.53

1.7%

Updated Today 7:15 PM ET

Price — Past Year

▲ Up 81.6% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$471.16B

P/E

39.6x

Forward P/E (est.)

32.2x

ROE

25.1%

Revenue Growth

9.2%

EPS Growth

23.0%

Profit Margin

19.7%

FCF Yield

3.1%

Debt / Equity

0.6x

ROIC

13.0%

Interest Coverage

27.54x

Current Ratio

0.92x

Dividend Yield

1.4%

Implied Growth (rev. DCF)

6.0%

Rating Score

62/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what CSCO's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. CSCO trades near $121.53, above its 50-day average ($105.04) and 200-day average ($82.65). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 49 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. CSCO's is $4.48 (~3.7% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month CSCO found buyers near $113.57 (support) and sellers near $130.37 (resistance); its 52-week range is $65.38–$130.37. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 2.0× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Cisco (CSCO) is a mega-cap company in the Communications Equipment industry, part of the Information Technology sector of the S&P 500, with a market value around $471.16B.

In its latest reported year it generated about $56.65B in revenue and $10.18B in net profit.

Our model rates CSCO Favorable (62/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

3.3%

Revenue moved from $49.82B in 2021 to $56.65B in 2025, a 3.3% compound annual growth rate. The most recent year grew a steady 9.2% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

64.9%

Operating Margin

20.8%

Net Margin

18.0%

ROE

25.1%

Cisco keeps about 19.7% of each sales dollar as net profit, with a 64.9% gross margin and 20.8% operating margin. Return on equity is 25.1% and return on invested capital about 13.0%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
Research

Total Debt

$22.87B

Net Debt

$15.79B

Net Debt / EBITDA

1.34x

Debt / Equity

0.6x

Leverage: debt-to-equity is 0.6x, and operating profit covers interest about 27.5x, with a current ratio of 0.9x. That is a moderate, manageable debt load for most businesses. It carries roughly $22.87B of total debt against $7.08B of cash.

Cash Flow Analysis
Research

Operating CF

$14.19B

Free Cash Flow

$13.29B

FCF Margin

23.5%

In the latest year Cisco produced about $14.19B of operating cash flow and $13.29B of free cash flow after capital spending. That is a free-cash-flow yield of about 3.1% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research

P/E

39.6x

P/S

8.36x

P/B

5.74x

EV / EBITDA

39.09x

CSCO trades at 39.6x trailing earnings (about 32.2x on estimated forward earnings), 8.4x sales, and 5.7x book value. Reverse-engineering today's price implies the market expects roughly 6.0% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
39.6xExpensive
Forward P/E
32.2xExpensive
P/S ratio
8.4xExpensive
Revenue growth
9.2%Strong
EPS growth
23.0%Strong
Gross margin
64.9%Strong
Net margin
19.7%Strong
ROE
25.1%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How CSCO stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.

In the Information Technology sector (72 S&P 500 companies), CSCO ranks #34 of 72 by our overall rating. It trades at roughly in line versus the sector on earnings (39.6x P/E vs. 35.6x median) with a lower return on equity (25.1% vs. 25.6%) and slower revenue growth (9.2% vs. 17.4%).

P/E vs sector

39.6x

median 35.6x

ROE vs sector

25.1%

median 25.6%

Growth vs sector

9.2%

median 17.4%

Sector rank

#34

of 72 by rating

CompanyP/ERev Gr.Rating
CSCOThis stock39.6x9.2%Favorable· 62
ANET58x30.6%Strong· 80
LITE151x69.0%Neutral· 43
MSI31.2x8.3%Neutral· 48
CIEN139.8x30.6%Neutral· 52
FFIV30.7x9.7%Favorable· 62
LRCX73.6x26.5%Strong· 81
AMAT58.5x3.3%Favorable· 64
Information Technology median35.6x17.4%61/100

Valuation vs. quality map

sector medianANETLITEMSICIENFFIVLRCXAMATCSCOP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$95.54$159.24

vs. $121.53 today · expected CAGR -5%6%

Metric20262027202820292030
Revenue$61.75B$67.31B$73.37B$79.97B$87.17B
Net income$11.12B$12.12B$13.21B$14.39B$15.69B
EPS$2.82$3.07$3.35$3.65$3.98
Share price (low)$67.68$73.78$80.42$87.65$95.54
Share price (high)$112.81$122.96$134.03$146.09$159.24
CAGR (low–high)-44% / -7%-22% / 1%-13% / 3%-8% / 5%-5% / 6%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for CSCO:

  • High net margins (19.7%) point to pricing power or efficiency.
  • Strong return on equity (25.1%) shows capital is put to work well.
  • Our model's overall read is Favorable (62/100).
Bear Case

The case against CSCO:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Valuation risk — at 39.6x earnings, disappointing results could compress the multiple.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: Cisco is a mega-cap information technology business growing at a mature pace, with solid profitability, and a sound balance sheet. It trades at 39.6x earnings, which our model scores Favorable (62/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.