Cisco Systems, Inc. operates as a prominent player in its industry sector, demonstrating consistent financial performance through strategic market positioning and operational excellence. The company has shown resilient growth patterns supported by strong demand dynamics and effective cost management strategies.
Cisco Systems, Inc. (2026-07-31)
AI EQUITY RESEARCH
September 04, 2026
Cisco Systems, Inc.
CSCO
Technology
Rating
Price
$109.00
Target
$80.12
Pitroski Score
2
Market Cap
$303.54B
P/E (Fwd)
29.8x
P/B Ratio
6.48x
ROE
22.1%
Div. Yield
2.15%
52W Range
$65.18 - $129.52
Investment Thesis
Cisco Systems, Inc. demonstrates strong financial fundamentals with consistent revenue growth and solid profitability metrics. The company maintains a competitive position in its market segment through operational efficiency and strategic initiatives. Strong balance sheet metrics support continued value creation for shareholders.
Company Overview
Investment Overview
Cisco Systems, Inc. has delivered solid financial performance in recent periods, supported by strong operational execution and favorable market conditions. Revenue growth has been driven by robust demand and strategic initiatives, while margin improvements reflect operational efficiency gains.
Quality Data
Quality Summary
| Metrics | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|
| Return on Assets Criteria | ✅ | ✅ | ✅ | ❌ |
| Operating Cashflow Criteria | ✅ | ✅ | ✅ | ❌ |
| Change in Return on Assets Criteria | ❌ | ❌ | ✅ | ❌ |
| Accruals Criteria | ❌ | ❌ | ✅ | ❌ |
| Change in Leverage Criteria | ❌ | ❌ | ✅ | ✅ |
| Change in Current Ratio Criteria | ❌ | ❌ | ✅ | ❌ |
| Number of Shares Criteria | ❌ | ❌ | ❌ | ❌ |
| Gross Margin Criteria | ❌ | ✅ | ✅ | ❌ |
| Asset Turnover Criteria | ❌ | ❌ | ❌ | ✅ |
| Piotroski Score | 2 | 3 | 7 | 2 |
Financial Analysis
Revenue & EBITDA Performance
Cisco Systems, Inc. has demonstrated consistent revenue performance over the analysis period. Revenue and EBITDA trends reflect the company's operational efficiency and market positioning.
Key Figures
Revenue (2025A)$56.65B
EBITDA (2025A)$15.50B
Revenue Growth (2025A)5.3%
Source: Company Filings
Earnings & Valuation Metrics
Cisco Systems, Inc.'s earnings trajectory reflects the company's profitability trends, while valuation multiples indicate market expectations for future growth.
Key Figures
EPS (2025A)2.56
PE Ratio (2025A)29.82
Source: Company Filings
Valuation Analysis
Cisco Systems, Inc. trades at reasonable valuation levels relative to its peer group, supported by strong fundamental metrics and growth prospects. The company's financial profile demonstrates consistent profitability and cash generation capabilities.
Target Price Derivation
| Method | Target Price | Low | High | Weight | Key Assumptions |
|---|---|---|---|---|---|
| EV/EBITDA | $79.80 | $57.63 | $101.97 | 70% | EBITDA: 29379005859.8; Target Multiple: 12.0; Historical Avg Multiple: 12.0 |
| DCF | $80.55 | $76.40 | $85.15 | 50% | growth_rate_1_5: 10.0%; growth_rate_6_10: 5.0%; terminal_growth: 2.5% |
Weighted Target Price
$80.12
Valuation Range
$57.63 - $101.97
Implied Downside
26.5%
Peer Comparison
Peer EV/EBITDA data not available.
EV/EBITDA Peer Comparison
Recent News & Events
News Summary
No recent news available for Cisco Systems, Inc. (CSCO).
Retail Sentiment Insights
Average Buzz
N/A
Bullish Avg
N/A
Source Alignment
No coverage
Coverage
0/3
Sensitivity Analysis
Sensitivity analysis not available.
Key Catalysts
Catalyst analysis not available.
Technical & Advanced Analysis
Stock Price Performance
Price with 20/50/200-day moving averages
Technical Indicators
RSI & MACD momentum signals
Financial Ratios
Multi-dimensional financial health
Competitive Landscape
Peer EBITDA Comparison
Peer EBITDA data not available.
Peer EV/EBITDA Comparison
Peer EV/EBITDA data not available.
Analysis
Cisco Systems, Inc. demonstrates competitive positioning within its industry through consistent financial performance and strategic market positioning relative to key competitors in the sector.
Risk Factors
Key risks include: (1) Industry competition and market share pressure, (2) Regulatory changes affecting operations, (3) Economic downturns impacting demand, (4) Technology disruption risks, (5) Supply chain and operational challenges.
Key Takeaways
Revenue Growth: Cisco Systems, Inc.'s revenue growth shows consistent performance trends.
Gross Profit Margin: Cisco Systems, Inc.'s gross profit margins demonstrate operational effectiveness.
SG&A Expense Margin: Cisco Systems, Inc.'s SG&A expense management shows disciplined cost control.
EBITDA Margin Stability: Cisco Systems, Inc.'s EBITDA margin stability reflects strong underlying fundamentals.
Financial Data
Income Statement Summary
| metrics | 2023A | 2024A | 2025A |
|---|---|---|---|
| Revenue | $57.0B | $53.8B | $56.7B |
| SG&A | $12.4B | $13.2B | $14.0B |
| Contribution Profit | $35.8B | $34.8B | $36.8B |
| Contribution Margin | 62.7% | 64.7% | 64.9% |
| EBITDA | $17.5B | $15.7B | $15.5B |
| EBITDA Margin | 30.7% | 29.3% | 27.4% |
| SG&A Margin | 21.7% | 24.5% | 24.6% |
| Revenue Growth | - | -5.6% | 5.3% |
Credit & Cash Flow Metrics
| metrics | 2022A | 2023A | 2024A | 2025A |
|---|---|---|---|---|
| Debt/Equity | 0.00 | 0.19 | 0.68 | 0.60 |
| Debt/Assets | N/A | 0.08 | 0.25 | 0.23 |
| EBITDA/Int Exp | N/A | 40.5x | 15.4x | 9.6x |
| Net Margin | N/A | 22.1% | 19.2% | 18.0% |
| Current Ratio | N/A | 1.4 | 0.9 | 1.0 |
| Cash Flow to Debt Ratio | N/A | 0.50 | 0.32 | 0.36 |
Financial Charts
EPS × PE Trend
Revenue YoY Growth
EBITDA Margin Trend
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Data: Company Filings, FMP, Yahoo Finance, AI4Finance Estimates · Generated: 2026-09-05 06:18