CISCO SYSTEMS INC (1CSCO.MI) Stock Fundamental Analysis
Europe - BIT:1CSCO - US17275R1023 - Common Stock
66.34 EUR
+4.39 (+7.09%)
1CSCO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 29 industry peers in the Communications Equipment industry. 1CSCO scores excellent on profitability, but there are some minor concerns on its financial health. 1CSCO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year 1CSCO was profitable.
In the past year 1CSCO had a positive cash flow from operations.
Each year in the past 5 years 1CSCO has been profitable.
Each year in the past 5 years 1CSCO had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.32%, 1CSCO is in the better half of the industry, outperforming 75.86% of the companies in the same industry.
1CSCO has a Return On Equity of 21.73%. This is in the better half of the industry: 1CSCO outperforms 79.31% of its industry peers.
The Return On Invested Capital of 1CSCO (11.70%) is better than 72.41% of its industry peers.
1CSCO had an Average Return On Invested Capital over the past 3 years of 14.02%. This is above the industry average of 11.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.32% | ||
| ROE | 21.73% | ||
| ROIC | 11.7% |
ROA(3y)9.67%
ROA(5y)10.49%
ROE(3y)24.29%
ROE(5y)25.65%
ROIC(3y)14.02%
ROIC(5y)15.13%
1.3 Margins
1CSCO has a Profit Margin of 17.97%. This is amongst the best in the industry. 1CSCO outperforms 93.10% of its industry peers.
1CSCO's Profit Margin has declined in the last couple of years.
1CSCO has a better Operating Margin (22.09%) than 89.66% of its industry peers.
In the last couple of years the Operating Margin of 1CSCO has declined.
With an excellent Gross Margin value of 64.94%, 1CSCO belongs to the best of the industry, outperforming 82.76% of the companies in the same industry.
1CSCO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.09% | ||
| PM (TTM) | 17.97% | ||
| GM | 64.94% |
OM growth 3Y-6.7%
OM growth 5Y-5.03%
PM growth 3Y-7.78%
PM growth 5Y-4.61%
GM growth 3Y1.26%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1CSCO is still creating some value.
1CSCO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1CSCO has been reduced compared to 5 years ago.
Compared to 1 year ago, 1CSCO has an improved debt to assets ratio.
2.2 Solvency
1CSCO has an Altman-Z score of 3.22. This indicates that 1CSCO is financially healthy and has little risk of bankruptcy at the moment.
1CSCO has a better Altman-Z score (3.22) than 72.41% of its industry peers.
1CSCO has a debt to FCF ratio of 2.11. This is a good value and a sign of high solvency as 1CSCO would need 2.11 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.11, 1CSCO is in the better half of the industry, outperforming 72.41% of the companies in the same industry.
A Debt/Equity ratio of 0.56 indicates that 1CSCO is somewhat dependend on debt financing.
The Debt to Equity ratio of 1CSCO (0.56) is worse than 62.07% of its industry peers.
Even though the debt/equity ratio score it not favorable for 1CSCO, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.11 | ||
| Altman-Z | 3.22 |
ROIC/WACC1.27
WACC9.18%
2.3 Liquidity
A Current Ratio of 1.00 indicates that 1CSCO may have some problems paying its short term obligations.
With a Current ratio value of 1.00, 1CSCO is not doing good in the industry: 82.76% of the companies in the same industry are doing better.
A Quick Ratio of 0.91 indicates that 1CSCO may have some problems paying its short term obligations.
With a Quick ratio value of 0.91, 1CSCO is not doing good in the industry: 72.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
1CSCO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.88%.
The Earnings Per Share has been growing slightly by 3.50% on average over the past years.
1CSCO shows a small growth in Revenue. In the last year, the Revenue has grown by 5.30%.
1CSCO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.82% yearly.
EPS 1Y (TTM)1.88%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%13.79%
Revenue 1Y (TTM)5.3%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.56%
3.2 Future
1CSCO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.38% yearly.
The Revenue is expected to grow by 4.95% on average over the next years.
EPS Next Y8.49%
EPS Next 2Y8.04%
EPS Next 3Y6.78%
EPS Next 5Y8.38%
Revenue Next Year5.35%
Revenue Next 2Y4.98%
Revenue Next 3Y5.04%
Revenue Next 5Y4.95%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.23 indicates a rather expensive valuation of 1CSCO.
1CSCO's Price/Earnings ratio is a bit cheaper when compared to the industry. 1CSCO is cheaper than 75.86% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1CSCO to the average of the S&P500 Index (25.51), we can say 1CSCO is valued slightly cheaper.
1CSCO is valuated rather expensively with a Price/Forward Earnings ratio of 18.66.
1CSCO's Price/Forward Earnings is on the same level as the industry average.
1CSCO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.23 | ||
| Fwd PE | 18.66 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1CSCO.
1CSCO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1CSCO is cheaper than 62.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.88 | ||
| EV/EBITDA | 19.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1CSCO does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1CSCO may justify a higher PE ratio.
PEG (NY)2.38
PEG (5Y)5.78
EPS Next 2Y8.04%
EPS Next 3Y6.78%
5. Dividend
5.1 Amount
1CSCO has a Yearly Dividend Yield of 2.31%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.25, 1CSCO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, 1CSCO has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.31% |
5.2 History
The dividend of 1CSCO has a limited annual growth rate of 2.65%.
Dividend Growth(5Y)2.65%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
63.23% of the earnings are spent on dividend by 1CSCO. This is not a sustainable payout ratio.
The dividend of 1CSCO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP63.23%
EPS Next 2Y8.04%
EPS Next 3Y6.78%
BIT:1CSCO (11/13/2025, 7:00:00 PM)
66.34
+4.39 (+7.09%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners80.81%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap262.26B
Revenue(TTM)56.65B
Net Income(TTM)10.18B
Analysts77.5
Price Target65.86 (-0.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.31% |
Yearly Dividend1.4
Dividend Growth(5Y)2.65%
DP63.23%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.01%
Min EPS beat(2)-0.5%
Max EPS beat(2)2.52%
EPS beat(4)3
Avg EPS beat(4)1.46%
Min EPS beat(4)-0.5%
Max EPS beat(4)2.52%
EPS beat(8)7
Avg EPS beat(8)2.32%
EPS beat(12)11
Avg EPS beat(12)2.22%
EPS beat(16)12
Avg EPS beat(16)1.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.53%
Min Revenue beat(2)-1.58%
Max Revenue beat(2)-1.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-1.58%
Max Revenue beat(4)-1.14%
Revenue beat(8)0
Avg Revenue beat(8)-1.3%
Revenue beat(12)1
Avg Revenue beat(12)-1.04%
Revenue beat(16)2
Avg Revenue beat(16)-1.32%
PT rev (1m)1.69%
PT rev (3m)4.14%
EPS NQ rev (1m)0.19%
EPS NQ rev (3m)1.3%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)0.39%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.94%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.23 | ||
| Fwd PE | 18.66 | ||
| P/S | 5.37 | ||
| P/FCF | 22.88 | ||
| P/OCF | 21.42 | ||
| P/B | 6.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.88 |
EPS(TTM)3.28
EY4.94%
EPS(NY)3.56
Fwd EY5.36%
FCF(TTM)2.9
FCFY4.37%
OCF(TTM)3.1
OCFY4.67%
SpS12.36
BVpS10.22
TBVpS-4.68
PEG (NY)2.38
PEG (5Y)5.78
Graham Number27.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.32% | ||
| ROE | 21.73% | ||
| ROCE | 14.35% | ||
| ROIC | 11.7% | ||
| ROICexc | 14.23% | ||
| ROICexgc | 168.77% | ||
| OM | 22.09% | ||
| PM (TTM) | 17.97% | ||
| GM | 64.94% | ||
| FCFM | 23.45% |
ROA(3y)9.67%
ROA(5y)10.49%
ROE(3y)24.29%
ROE(5y)25.65%
ROIC(3y)14.02%
ROIC(5y)15.13%
ROICexc(3y)19.45%
ROICexc(5y)21.44%
ROICexgc(3y)218.06%
ROICexgc(5y)205%
ROCE(3y)17.32%
ROCE(5y)18.35%
ROICexgc growth 3Y7.78%
ROICexgc growth 5Y-7.79%
ROICexc growth 3Y-15.92%
ROICexc growth 5Y-13.75%
OM growth 3Y-6.7%
OM growth 5Y-5.03%
PM growth 3Y-7.78%
PM growth 5Y-4.61%
GM growth 3Y1.26%
GM growth 5Y0.21%
F-Score8
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.11 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 32.2% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 8.34 | ||
| Cash Conversion | 92.6% | ||
| Profit Quality | 130.53% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 3.22 |
F-Score8
WACC9.18%
ROIC/WACC1.27
Cap/Depr(3y)36.04%
Cap/Depr(5y)33.93%
Cap/Sales(3y)1.44%
Cap/Sales(5y)1.33%
Profit Quality(3y)126.8%
Profit Quality(5y)125.54%
High Growth Momentum
Growth
EPS 1Y (TTM)1.88%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%13.79%
EPS Next Y8.49%
EPS Next 2Y8.04%
EPS Next 3Y6.78%
EPS Next 5Y8.38%
Revenue 1Y (TTM)5.3%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.56%
Revenue Next Year5.35%
Revenue Next 2Y4.98%
Revenue Next 3Y5.04%
Revenue Next 5Y4.95%
EBIT growth 1Y-3.69%
EBIT growth 3Y-3.72%
EBIT growth 5Y-2.35%
EBIT Next Year15.46%
EBIT Next 3Y7.57%
EBIT Next 5YN/A
FCF growth 1Y30.15%
FCF growth 3Y1.39%
FCF growth 5Y-1.94%
OCF growth 1Y30.45%
OCF growth 3Y2.38%
OCF growth 5Y-1.65%
CISCO SYSTEMS INC / 1CSCO.MI FAQ
What is the fundamental rating for 1CSCO stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1CSCO.MI.
Can you provide the valuation status for CISCO SYSTEMS INC?
ChartMill assigns a valuation rating of 4 / 10 to CISCO SYSTEMS INC (1CSCO.MI). This can be considered as Fairly Valued.
What is the profitability of 1CSCO stock?
CISCO SYSTEMS INC (1CSCO.MI) has a profitability rating of 7 / 10.
What is the financial health of CISCO SYSTEMS INC (1CSCO.MI) stock?
The financial health rating of CISCO SYSTEMS INC (1CSCO.MI) is 5 / 10.
Is the dividend of CISCO SYSTEMS INC sustainable?
The dividend rating of CISCO SYSTEMS INC (1CSCO.MI) is 4 / 10 and the dividend payout ratio is 63.23%.