CIBR

Cisco Raises Fiscal 2023 Guidance But Orders Face Difficult Comps

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Image: Cisco’s annualized recurring revenue (ARR) continues to advance nicely. Image Source: Cisco By Brian Nelson, CFA On November 16, Cisco Systems, Inc. (CSCO) reported better than expected first-quarter fiscal 2023 results (for the period ending October 29, 2022) that beat expectations on both the top and bottom lines. The networking giant raised its revenue and adjusted earnings forecast for the fiscal year, indicating strong momentum behind its business amid a very uncertain economic backdrop for both consumers and businesses alike. We’re sticking with our fair value estimate of $50 per share for Cisco at this time. The headlines for Cisco’s first-quarter fiscal 2023 results were fantastic. For starters, the company delivered the largest quarterly revenue in its history, while … Read more

Cisco Responds to Near-Term Headwinds with Large Cost Cuts

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Image Shown: Cisco Systems Inc’s financial performance held up well, relatively speaking, during the initial stages of the pandemic. Image Source: Cisco Systems Inc – Fourth Quarter of Fiscal 2020 IR Earnings Presentation By Callum Turcan On August 12, Cisco Systems Inc (CSCO) reported fourth quarter fiscal 2020 earnings (period ended July 25, 2020) that beat consensus estimates on both the top- and bottom-lines. However, Cisco’s outlook for the current fiscal quarter was weaker than expected which weighed on shares of CSCO during normal trading hours on August 13. Cisco’s near-term performance is facing headwinds due to the ongoing coronavirus (‘COVID-19’) pandemic as many of its customers are delaying projects until after the storm has passed. With that in mind, … Read more

Cisco Systems Makes a (Potentially) Transformative Acquisition

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Image Shown: Over the past five years, shares of Cisco Systems have significantly outperformed the S&P 500 (SPY), before taking dividend considerations into account. When including dividend considerations, Cisco’s outperformance would likely grow even further given shares of CSCO carry a juicy yield. By Callum Turcan We include shares of the networking infrastructure giant Cisco Systems (CSCO) as a holding in both the Best Ideas Newsletter and Dividend Growth Newsletter portfolios. Its high quality cash flow profile, pristine balance sheet, and growing subscription-based revenue streams make Cisco quite appealing. As of this writing, shares of CSCO yield ~3.1% and our Dividend Cushion ratio sits at 2.7, earning the firm a “GOOD” Dividend Safety rating. Should that Dividend Cushion ratio climb … Read more