Cisco SystemsXSWX:CSCO -3.87%83 PE Ratio (TTM) is 38.19 as of Jun. 28, 2026, which is 107% above its 10-year median of 18.45. GuruFocus rates XSWX:CSCO with a GF Score™ of 83/100 and a GF Value™ of CHF55.99 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,634 Hardware companies, Cisco Systems ranks worse than 55.08% on this metric.
The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2026-06-28), Cisco Systems's share price is
CHF93.27.
Cisco Systems's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 was CHF2.44. Therefore, Cisco Systems's PE Ratio (TTM) for today is 38.19.
Warning Sign:
Cisco Systems Inc stock PE Ratio (=36.94) is close to 5-year high of 39.49.
The historical rank and industry rank for Cisco Systems's PE Ratio (TTM) or its related term are showing as below:
XSWX:CSCO'
s PE Ratio (TTM) Range Over the Past 10 Years
Min: 13.65 Med: 18.45 Max: 695
Current: 36.94
During the past 13 years, the highest PE Ratio (TTM) of Cisco Systems was 695.00. The lowest was 13.65. And the median was 18.45.
XSWX:CSCO's PE Ratio (TTM) is ranked worse than 55.08% of 1634
companies
in the Hardware industry
Industry Median: 31.785
vs XSWX:CSCO: 36.94
Cisco Systems's EPS without NRI for the
three
months ended in Apr. 2026 was CHF0.84.
Its EPS without NRI for the trailing twelve months (TTM) ended in Apr. 2026 was CHF3.05.
During the past 12 months, Cisco Systems's average EPS without NRIGrowth Rate was 4.50% per year.
During the past 3 years, the average EPS without NRIGrowth Rate was 4.30% per year.
During the past 5 years, the average EPS without NRIGrowth Rate was 3.60% per year.
During the past 10 years, the average EPS without NRIGrowth Rate was 5.60% per year.
During the past 13 years, Cisco Systems's highest 3-Year average EPS without NRI Growth Rate was 272.50% per year. The lowest was -30.70% per year. And the median was 9.50% per year.
Cisco Systems's EPS (Basic) for the
three
months ended in Apr. 2026 was CHF0.67.
Its EPS (Basic) for the trailing twelve months (TTM) ended in Apr. 2026 was CHF2.44.
Cisco Systems (XSWX:CSCO) PE Ratio (TTM) Explanation
The PE Ratio (TTM) can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio (TTM) is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.
In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio (TTM) is positive. Also for stocks with the same PE Ratio (TTM), the one with faster growth business is more attractive.
If a company loses money, the PE Ratio (TTM) becomes meaningless.
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio (TTM) divided by the growth ratio. He thinks a company with a PE Ratio (TTM) equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio (TTM) of 20, instead of a company growing 10% a year with a PE Ratio (TTM) of 10.
Because the PE Ratio (TTM) measures how long it takes to earn back the price you pay, the PE Ratio (TTM) can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.
Investors need to be aware that the PE Ratio (TTM) can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratio (TTM)s are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio (TTM) is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .
PE Ratio (TTM) can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio (TTM).
Cisco Systems PE Ratio (TTM) Related Terms
Cisco Systems PE Ratio (TTM) Historical Data
* Premium members only.
The historical data trend for Cisco Systems's PE Ratio (TTM) can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XSWX:CSCO vs CIEN, MSI, LITE: PE Ratio (TTM) Comparison
For the Communication Equipment subindustry, Cisco Systems's PE Ratio (TTM), along with its competitors' market caps and PE Ratio (TTM) data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Cisco Systems PE Ratio (TTM) vs Hardware Industry
For the Hardware industry and Technology sector, Cisco Systems's PE Ratio (TTM) distribution charts can be found below:
* The bar in red indicates where Cisco Systems's PE Ratio (TTM) falls into.
The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.
Cisco Systems's PE Ratio (TTM) for today is calculated as
Cisco Systems's Share Price of today is CHF93.27.
Cisco Systems's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF2.44.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
It can also be calculated from the numbers for the whole company:
There are at least three kinds of PE Ratio (TTM)s used by different investors. They are Trailing Twelve Month PE Ratio (TTM) or PE Ratio (TTM) (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio (TTM) based on inflation-adjusted normalized PE Ratio (TTM) is called Shiller PE Ratio, after Yale professor Robert Shiller.
In the calculation of PE Ratio (TTM), the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.
For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.
Cisco Systems (XSWX:CSCO) has a PE Ratio (TTM) of 38.19 as of Jun. 28, 2026. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on Cisco Systems and its competitors. This is 107% above median its historical median of 18.45. Over the past decade, Cisco Systems' PE Ratio (TTM) has ranged from 13.65 to 695.00. According to the industry distribution chart, Cisco Systems ranks #900 out of 1634 companies in the Hardware industry, placing it in the top 55.1%.
Is Cisco Systems' PE Ratio (TTM) too high?
Cisco Systems' current PE Ratio (TTM) of 38.19 is 107% above median its 10-year median of 18.45. Over the past 10 years, this metric has ranged from a low of 13.65 to a high of 695.00. The Hardware industry median PE Ratio (TTM) is 31.79. Cisco Systems' value of 38.19 is 20.2% above this industry median. Based on the distribution chart, Cisco Systems ranks #900 out of 1634 companies in the Hardware industry, which is below the industry midpoint. Overall, Cisco Systems has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cisco Systems' PE Ratio (TTM) compare to CIEN and MSI?
According to the Hardware industry distribution chart, Cisco Systems ranks #900 out of 1634 companies for PE Ratio (TTM). This places Cisco Systems in the lower half of its industry. The industry median PE Ratio (TTM) is 31.79. Cisco Systems' value of 38.19 is 20.2% above this benchmark. Historically, Cisco Systems' own PE Ratio (TTM) has ranged from 13.65 to 695.00 over the past decade. While the company's 10-year median is 18.45 vs. the industry median of 31.79, Cisco Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PE Ratio (TTM) for a Hardware company?
The median PE Ratio (TTM) among Hardware companies is 31.79, based on 1,634 companies in the industry. Companies in the top quartile (top 25%) have a PE Ratio (TTM) significantly above this median, while those in the bottom quartile fall well below. However, PE Ratio (TTM) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cisco Systems's current PE Ratio (TTM) of 38.19 is 20.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PE Ratio (TTM) mean?
A high PE Ratio (TTM) can signal that a stock is expensive relative to its fundamentals. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on Cisco Systems and its competitors. For the Hardware industry, the median PE Ratio (TTM) is 31.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cisco Systems's current PE Ratio (TTM) is 38.19, which is 107% above median its own 10-year median of 18.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cisco Systems stock overvalued right now?
Based on GuruFocus' analysis, Cisco Systems (XSWX:CSCO) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF55.99, compared to a current price of CHF93.27 — trading 66.6% above its estimated fair value. The current PE Ratio (TTM) is 38.19, which is 107% above median its 10-year median of 18.45 and 20.2% above the Hardware industry median of 31.79. Cisco Systems' overall GF Score™ is 83/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PE Ratio (TTM) calculated?
PE Ratio (TTM) is calculated from a company's financial statements. For Cisco Systems (XSWX:CSCO), the current PE Ratio (TTM) is 38.19 as of Jun. 28, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Cisco Systems (XSWX:CSCO) Overvalued in 2026?
Based on GuruFocus' analysis, Cisco Systems stock appears to be overvalued.
The current stock price of CHF93.27 is trading 66.6% above its estimated GF Value™ of CHF55.99.
GuruFocus considers Cisco Systems to be Significantly Overvalued.
Key valuation signals for XSWX:CSCO:
PE Ratio (TTM): 38.19 (107% above median its 10-year median of 18.45)
GF Value™: CHF55.99 vs. price of CHF93.27 (66.6% above fair value)
Industry Position: 20.2% above the Hardware median (#900 of 1634)
No single metric tells the full story. See the XSWX:CSCO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cisco Systems is the largest provider of networking equipment in the world and one of the largest software companies in the world. Its largest businesses are selling networking hardware and software (where it has leading market shares) and cybersecurity software such as firewalls. It also has collaboration products, like its Webex suite, and observability tools. It primarily outsources its manufacturing to third parties and has a large sales and marketing staff—25,000 strong across 90 countries. Overall, Cisco employs 80,000 people and sells its products globally.
83GF Score
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PE Ratio (TTM) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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