GURUFOCUS.COM » STOCK LIST » USA » NAS » Cisco Systems Inc (NAS:CSCO) » Definitions » GF Value Rank
Switch to:

Cisco Systems (NAS:CSCO) GF Value Rank

: 6 (As of Today)
View and export this data going back to 1990. Start your Free Trial

Cisco Systems has the GF Value Rank of 6.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Communication Equipment subindustry, Cisco Systems's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 GF Value Rank Distribution

For the Hardware industry and Technology sector, Cisco Systems's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Cisco Systems's GF Value Rank falls in comparison to its industry or sector. The grey bar indicates the GF Value Rank's extreme value range as defined by GuruFocus.



Cisco Systems GF Value Rank Related Terms

Thank you for viewing the detailed overview of Cisco Systems's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Cisco Systems (NAS:CSCO) Business Description

Cisco Systems logo
Address
170 West Tasman Drive, San Jose, CA, USA, 95134-1706
Cisco Systems, Inc. is the world's largest hardware and software supplier within the networking solutions sector. The secure, agile networks business contains switching, routing, and wireless solutions. The hybrid work division has products for collaboration and contact center needs. The end-to-end security group has products spanning a variety of threat prevention necessities. The Internet for the future division has routed optical networks, silicon, and optics. Optimized application experiences offer solutions such as full stack observability. Services are Cisco's technical support and advanced services offerings. In collaboration with Cisco's initiative on growing software and services, its revenue model is focused on increasing subscriptions and recurring sales.
Executives
Sharritts Jeffery S. officer: EVP & Chief Cust & Prtnr Offcr 1200 ABERNATHY RD., NE STE 1200 ATLANTA GA 30328
Stahlkopf Deborah L officer: EVP and Chief Legal Officer C/O CISCO SYSTEMS, INC. 170 WEST TASMAN DRIVE SAN JOSE CA 95134
Tessel Marianna director C/O INTUIT INC. 2700 COAST AVENUE MOUNTAIN VIEW CA 94043
Harris John D director C/O FLEXTRONICS INTERNATIONAL USA, INC. 6201 AMERICA CENTER DRIVE SAN JOSE CA 95002
Herren Richard Scott officer: EVP and CFO 851 WEST CYPRESS CREEK ROAD FORT LAUDERDALE FL 33309
Bush Wesley G director 333 MAPLE AVENUE EAST #3080 VIENNA VA 22180
Su Lisa T director C/O ADVANCED MICRO DEVICES, INC. 2485 AUGUSTINE DRIVE SANTA CLARA CA 95054
Tome Carol B director 55 GLENLAKE PARKWAY, NE ATLANTA GA 30328
Elliott Geraldine officer: EVP, Chief Sales & Mktg Offcr 1194 N. MATHILDA AVE. SUNNYVALE CA 94089
Martinez Maria officer: EVP, Chief Customer Exp Offcr THE LANDMARK @ 1 MARKET STREET SUITE 300 SAN FRANCISCO CA 94105
Garrett Mark director 106 EAST BABCOCK STREET SUITE 3A BOZEMAN MT 59715
Tan Irving officer: SVP, Operations and Digital 170 WEST TASMAN DRIVE SAN JOSE CA 95134
Goeckeler David officer: EVP, Networking and Security C/O WESTERN DIGITAL CORPORATION 5601 GREAT OAKS PARKWAY SAN JOSE CA 95119
Saunders Brent L director 2000 GALLOPING HILL ROAD C/O SCHERING PLOUGH CORP KENILWORTH NJ 07033
Chang Amy director 2100 SEAPORT BLVD. C/O INFORMATICA CORPORATION REDWOOD CITY CA 94063

Cisco Systems (NAS:CSCO) Headlines

Other Sources

Company News for Feb 18, 2022

By Zacks 2022-02-18

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
premium membership