CISCO SYSTEMS INC (CIS.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:CIS - US17275R1023 - Common Stock
62.9 EUR
-0.55 (-0.87%)
Taking everything into account, CIS scores 6 out of 10 in our fundamental rating. CIS was compared to 32 industry peers in the Communications Equipment industry. While CIS has a great profitability rating, there are some minor concerns on its financial health. CIS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CIS had positive earnings in the past year.
In the past year CIS had a positive cash flow from operations.
CIS had positive earnings in each of the past 5 years.
Each year in the past 5 years CIS had a positive operating cash flow.
1.2 Ratios
CIS has a Return On Assets of 8.53%. This is amongst the best in the industry. CIS outperforms 81.25% of its industry peers.
CIS has a better Return On Equity (22.04%) than 87.50% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.86%, CIS belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CIS is above the industry average of 11.49%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 22.04% | ||
| ROIC | 12.86% |
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
CIS has a Profit Margin of 17.90%. This is amongst the best in the industry. CIS outperforms 90.63% of its industry peers.
CIS's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 22.52%, CIS belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
CIS's Operating Margin has declined in the last couple of years.
CIS's Gross Margin of 64.85% is amongst the best of the industry. CIS outperforms 87.50% of its industry peers.
In the last couple of years the Gross Margin of CIS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.52% | ||
| PM (TTM) | 17.9% | ||
| GM | 64.85% |
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
CIS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CIS has been reduced compared to 1 year ago.
The number of shares outstanding for CIS has been reduced compared to 5 years ago.
The debt/assets ratio for CIS has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of CIS is 2.21, which is a good value as it means it would take CIS, 2.21 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CIS (2.21) is better than 71.88% of its industry peers.
A Debt/Equity ratio of 0.46 indicates that CIS is not too dependend on debt financing.
CIS's Debt to Equity ratio of 0.46 is in line compared to the rest of the industry. CIS outperforms 46.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.21 | ||
| Altman-Z | N/A |
ROIC/WACC1.33
WACC9.66%
2.3 Liquidity
A Current Ratio of 0.93 indicates that CIS may have some problems paying its short term obligations.
With a Current ratio value of 0.93, CIS is not doing good in the industry: 81.25% of the companies in the same industry are doing better.
CIS has a Quick Ratio of 0.93. This is a bad value and indicates that CIS is not financially healthy enough and could expect problems in meeting its short term obligations.
CIS's Quick ratio of 0.83 is on the low side compared to the rest of the industry. CIS is outperformed by 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
CIS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.20%, which is quite good.
Measured over the past 5 years, CIS shows a small growth in Earnings Per Share. The EPS has been growing by 3.50% on average per year.
CIS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.91%.
Measured over the past years, CIS shows a small growth in Revenue. The Revenue has been growing by 2.82% on average per year.
EPS 1Y (TTM)10.2%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%9.89%
Revenue 1Y (TTM)8.91%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.53%
3.2 Future
CIS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.07% yearly.
The Revenue is expected to grow by 6.28% on average over the next years.
EPS Next Y10.59%
EPS Next 2Y9.4%
EPS Next 3Y8.67%
EPS Next 5Y10.07%
Revenue Next Year7.24%
Revenue Next 2Y6.15%
Revenue Next 3Y5.75%
Revenue Next 5Y6.28%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CIS is valuated rather expensively with a Price/Earnings ratio of 18.89.
Compared to the rest of the industry, the Price/Earnings ratio of CIS indicates a rather cheap valuation: CIS is cheaper than 81.25% of the companies listed in the same industry.
CIS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.25.
CIS is valuated correctly with a Price/Forward Earnings ratio of 16.17.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CIS indicates a somewhat cheap valuation: CIS is cheaper than 75.00% of the companies listed in the same industry.
CIS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.89 | ||
| Fwd PE | 16.17 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CIS is on the same level as its industry peers.
CIS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CIS is cheaper than 65.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.82 | ||
| EV/EBITDA | 18.92 |
4.3 Compensation for Growth
CIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CIS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.78
PEG (5Y)5.4
EPS Next 2Y9.4%
EPS Next 3Y8.67%
5. Dividend
5.1 Amount
CIS has a Yearly Dividend Yield of 2.22%.
CIS's Dividend Yield is a higher than the industry average which is at 2.52.
CIS's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.22% |
5.2 History
The dividend of CIS has a limited annual growth rate of 2.65%.
Dividend Growth(5Y)2.65%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
62.56% of the earnings are spent on dividend by CIS. This is not a sustainable payout ratio.
The dividend of CIS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP62.56%
EPS Next 2Y9.4%
EPS Next 3Y8.67%
FRA:CIS (1/12/2026, 7:00:00 PM)
62.9
-0.55 (-0.87%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners81.27%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap248.52B
Revenue(TTM)57.70B
Net Income(TTM)10.33B
Analysts77.42
Price Target73.77 (17.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.22% |
Yearly Dividend1.39
Dividend Growth(5Y)2.65%
DP62.56%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.32%
Min EPS beat(2)-0.5%
Max EPS beat(2)-0.13%
EPS beat(4)2
Avg EPS beat(4)0.81%
Min EPS beat(4)-0.5%
Max EPS beat(4)2.52%
EPS beat(8)6
Avg EPS beat(8)1.6%
EPS beat(12)10
Avg EPS beat(12)2.14%
EPS beat(16)12
Avg EPS beat(16)1.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.39%
Min Revenue beat(2)-1.58%
Max Revenue beat(2)-1.19%
Revenue beat(4)0
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-1.58%
Max Revenue beat(4)-1.14%
Revenue beat(8)0
Avg Revenue beat(8)-1.25%
Revenue beat(12)0
Avg Revenue beat(12)-1.18%
Revenue beat(16)2
Avg Revenue beat(16)-1.24%
PT rev (1m)0.03%
PT rev (3m)11.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.32%
EPS NY rev (1m)0%
EPS NY rev (3m)1.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.41%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.89 | ||
| Fwd PE | 16.17 | ||
| P/S | 5.04 | ||
| P/FCF | 22.82 | ||
| P/OCF | 21.14 | ||
| P/B | 6.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.92 |
EPS(TTM)3.33
EY5.29%
EPS(NY)3.89
Fwd EY6.18%
FCF(TTM)2.76
FCFY4.38%
OCF(TTM)2.98
OCFY4.73%
SpS12.49
BVpS10.15
TBVpS-4.54
PEG (NY)1.78
PEG (5Y)5.4
Graham Number27.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 22.04% | ||
| ROCE | 15.17% | ||
| ROIC | 12.86% | ||
| ROICexc | 15.76% | ||
| ROICexgc | 528.93% | ||
| OM | 22.52% | ||
| PM (TTM) | 17.9% | ||
| GM | 64.85% | ||
| FCFM | 22.07% |
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-Score7
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.21 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 38.47% | ||
| Cap/Sales | 1.75% | ||
| Interest Coverage | 8.27 | ||
| Cash Conversion | 87.98% | ||
| Profit Quality | 123.27% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | N/A |
F-Score7
WACC9.66%
ROIC/WACC1.33
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)10.2%
EPS 3Y4.19%
EPS 5Y3.5%
EPS Q2Q%9.89%
EPS Next Y10.59%
EPS Next 2Y9.4%
EPS Next 3Y8.67%
EPS Next 5Y10.07%
Revenue 1Y (TTM)8.91%
Revenue growth 3Y3.19%
Revenue growth 5Y2.82%
Sales Q2Q%7.53%
Revenue Next Year7.24%
Revenue Next 2Y6.15%
Revenue Next 3Y5.75%
Revenue Next 5Y6.28%
EBIT growth 1Y11.75%
EBIT growth 3Y-3.72%
EBIT growth 5Y-2.35%
EBIT Next Year17.41%
EBIT Next 3Y9.5%
EBIT Next 5Y9.13%
FCF growth 1Y-27.19%
FCF growth 3Y1.39%
FCF growth 5Y-1.94%
OCF growth 1Y-24.88%
OCF growth 3Y2.38%
OCF growth 5Y-1.65%
CISCO SYSTEMS INC / CIS.DE FAQ
What is the fundamental rating for CIS stock?
ChartMill assigns a fundamental rating of 6 / 10 to CIS.DE.
What is the valuation status for CIS stock?
ChartMill assigns a valuation rating of 5 / 10 to CISCO SYSTEMS INC (CIS.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for CISCO SYSTEMS INC?
CISCO SYSTEMS INC (CIS.DE) has a profitability rating of 8 / 10.
Can you provide the financial health for CIS stock?
The financial health rating of CISCO SYSTEMS INC (CIS.DE) is 4 / 10.
Is the dividend of CISCO SYSTEMS INC sustainable?
The dividend rating of CISCO SYSTEMS INC (CIS.DE) is 4 / 10 and the dividend payout ratio is 62.56%.