# Cisco Systems Inc. Common Stock (DE) (CSCO) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Technology / Communications Equipment. Price $109.20, market value $430.5 billion.

## Valuation
- **P/E (trailing): 32.8×** (5-yr avg 21.7×, 3-yr avg 26.2×). Cisco Systems Inc. Common Stock (DE) trades at 32.8× trailing earnings, well above its own five-year average of 21.7×: investors are paying up relative to the company's past. The Technology median in the September 2026 study was 32.1×. Forward P/E is 19.5×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.64**. A PEG of 0.64 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 6.8×**. Each dollar of revenue is priced at 6.8×.
- **Price / book: 8.6×**. The shares trade at 8.6× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **Free-cash-flow yield: 3.0%** (5-yr avg 6.1%). Free cash flow equals 3.0% of the market value, below its five-year average of 6.1%, so the shares are pricier on cash than usual.
- **Earnings yield: 3.0%**. The inverse of the P/E: 3.0% of the price is earned each year.

## Profitability
- **Gross margin: 64.5%**. Cisco Systems Inc. Common Stock (DE) keeps 64.5% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 24.3%**. 24.3% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 21.0%**. 21.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 26.4%**. 26.4% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 16.7%**. Return on all capital, debt included, is 16.7%: comfortably above what that capital costs.
- **Return on assets: 10.2%**. Each dollar of assets produces 10.2% of profit.

## Growth
- **Revenue growth (1 yr): 11.8%** (3-yr 3.6%/yr, 5-yr 4.9%/yr). Revenue grew 11.8% over the last year, against 4.9% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 30.6%** (3-yr 2.7%/yr, 5-yr 5.9%/yr). Earnings per share rose 30.6%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): -12.5%/yr**. Free cash flow has compounded at -12.5% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.59**. Debt is 0.59 times equity, moderate leverage.
- **Current ratio: 0.93** (quick 0.93). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 4.65**. A Z-score of 4.65 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.54%** ($1.66 per share, trailing). Cisco Systems Inc. Common Stock (DE) yields 1.54%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 49%** (51% of free cash flow). 49% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 15**. 15 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 2.7%/yr** (1-yr 2.5%). The dividend has grown 2.7% a year over five years.

## Analyst view
- **Analyst consensus: buy** (23 analysts). 23 analysts cover Cisco Systems Inc. Common Stock (DE); the consensus is buy, with an average price target of $137.74 (+26% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 63.9%** (YTD 43.8%, 3-mo -9.9%). The shares are up 63.9% over twelve months including dividends.
- **From 52-week high: -16.2%** (65.1% above the low). Trading 16% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 41**. An RSI of 41 is neutral.
- **Beta (1 yr): 1.00** (volatility 34%). Beta of 1.00 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CSCO · Page: https://foliofundamentals.com/stocks/csco

Not investment advice.