The share price of Cisco Systems, Inc. [NASDAQ: CSCO] inclined by $49.93, presently trading at $49.97. The company’s shares saw 24.15% gains compared to the lowest price in the period of the last 52 weeks, set at $40.25 recorded on 09/12/19. The last few days have been benevolent to the share price as CSCO jumped by +2.40% during the last week, even though the stock is still down by -0.58% compared to 1.17 of all time high it touched on 09/12/19. However, the stock had a poor performance during the past 3 months, roughly losing -5.29%, while additionally gaining 6.17% during the last 12 months. Cisco Systems, Inc. is said to have a 12-month price target set at $55.39. That means that the stock has a strong potential to acquire 5.42% increase from the current trading price.
Cisco Systems, Inc. [NASDAQ:CSCO]: Analyst Rating and Earnings
Its stock price has been found in the range of 40.25 to 58.26. This is compared to its latest closing price of $49.93.
Keep your eyes peeled for the soon-to-be-published financial results of this company, which are expected to be made public on Wed 13 Nov (In 61 Days).
Fundamental Analysis of Cisco Systems, Inc. [CSCO]
Now let’s turn to look at profitability: with a current Operating Margin for Cisco Systems, Inc. [CSCO] sitting at +28.01 and its Gross Margin at +63.91, this company’s Net Margin is now 22.40%. These measurements indicate that Cisco Systems, Inc. [CSCO] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 22.89, and its Return on Invested Capital has reached 38.80%. Its Return on Equity is 30.27, and its Return on Assets is 11.25. These metrics all suggest that Cisco Systems, Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Cisco Systems, Inc. [CSCO] has generated a Total Debt to Total Equity ratio of 73.47. Similarly, its Total Debt to Total Capital is 42.35, while its Total Debt to Total Assets stands at 25.22. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 16.79, and its Long-Term Debt to Total Capital is 43.12.
What about valuation? This company’s Enterprise Value to EBITDA is 12.08 and its Total Debt to EBITDA Value is 1.50. The Enterprise Value to Sales for this firm is now 3.83.
Shifting the focus to workforce efficiency, Cisco Systems, Inc. [CSCO] earns $683,821 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 4.92 and its Total Asset Turnover is 0.50. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.46 and its Current Ratio is 1.51. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Cisco Systems, Inc. [CSCO] has 4.24B shares outstanding, amounting to a total market cap of $211.90B. Its stock price has been found in the range of 40.25 to 58.26. At its current price, it has moved down by -14.23% from its 52-week high, and it has moved up 24.15% from its 52-week low.
This stock’s Beta value is currently 1.26, which indicates that it is 1.77% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 51.25. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Cisco Systems, Inc. [CSCO] a Reliable Buy?
Shares of Cisco Systems, Inc. [CSCO], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.