GoBear is now part of Finder
Picture not described

Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.

How to buy Cisco (CSCO) shares

Learn how to easily invest in Cisco shares.

Cisco Systems Inc is a communication equipment business based in the US. Cisco shares (CSCO) are listed on the NASDAQ and all prices are listed in US Dollars. Cisco employs 79,500 staff and has a trailing 12-month revenue of around USD$49.8 billion.

How to buy shares in Cisco

  1. Compare share trading platforms. Use our comparison table to help you find a platform that fits you.
  2. Open your brokerage account. Complete an application with your details.
  3. Confirm your payment details. Fund your account.
  4. Research the stock. Find the stock by name or ticker symbol – CSCO – and research it before deciding if it's a good investment for you.
  5. Purchase now or later. Buy your desired number of shares with a market order or use a limit order to delay your purchase until the stock reaches a desired price.
  6. Check in on your investment. Optimize your portfolio by tracking your stock.

Compare online brokers

Name Product Number of Stocks Shares Available Markets
Interactive Brokers
Access to global markets
Yes
Global markets
Your capital is at risk.
Saxo Markets
19,000+
Yes
Global markets
Your capital is at risk.
Plus500
2,000+
No
US, UK, AU, DE, FR, IT, PT, GR, JP, SG, ZA, NL, FI, BE, DK, SE, CH, ES, AT, NO, HU, CZ, IE, PL, HK
CFD Service. Your capital is at risk.
BlackBull Markets
N/A
No
UK, HK, JP, MY, NZ, US
CFD Service. Your capital is at risk.
Libertex
50+
No
Worldwide with exception.
Except for: US/Australia/New Zealand/Belgium/British Virgin Islands/Guam/Lebanon/United States Minor/Outlying Islands/Northern Mariana Islands/Uganda/Philippines/Sri Lanka/Kuwait/South Africa/Azerbaijan/Canada/Armenia/Russia/Japan/Brasil.
CFD Service. Your capital is at risk.
Exness
N/A
No
CH, VN, TH, PH, SG, ID, IN, UAE, ZA, SA, EG, BR, CR, MX
CFD Service. Your capital is at risk.
IG
17,000+
No
DK, IE, NO, RU, DE, IT, AT, CH, ES, LU, PT, SE, FR, NL, RO, UK, US, AU, JP, SG, ZA, AE
CFD Service. Your capital is at risk.
loading

Compare up to 4 providers

How has Coronavirus impacted Cisco's stock price?

Since the stock market crash in March caused by coronavirus, Cisco's stock price has had significant positive movement.

Its last market close was $55.25, which is 16.21% up on its pre-crash value of $46.295 and 70.52% up on the lowest point reached during the March crash when the stocks fell as low as $32.4001.

If you had bought $1,000 worth of Cisco stocks at the start of February 2020, those stocks would have been worth $743.55 at the bottom of the March crash, and if you held on to them, then as of the last market close they'd be worth $1,187.32.

Is it a good time to buy Cisco stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Cisco shares at a glance

Information last updated 2021-10-15.
Latest market close$55.25
52-week range$34.28 - $59.87
50-day moving average $56.65
200-day moving average $54.36
Wall St. target price$62.29
PE ratio 22.1
Dividend yield $1.46 (2.62%)
Earnings per share (TTM) $2.50

Cisco stock price (NASDAQ: CSCO)

Use our graph to track the performance of CSCO stocks over time.

Cisco price performance over time

Historical closes compared with the close of $55.25 from 2021-10-15

1 week (2021-10-11) 0.58%
1 month (2021-09-17) -2.81%
3 months (2021-07-17) 2.98%
6 months (2021-04-16) 4.64%
1 year (2020-10-16) 37.57%
2 years (2019-10-18) 18.28%
3 years (2018-10-18) 21.54%
5 years (2016-10-18) 81.50%

Is Cisco under- or over-valued?

Valuing Cisco stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Cisco's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Cisco's P/E ratio

Cisco's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 22x. In other words, Cisco shares trade at around 22x recent earnings.

That's relatively low compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

Cisco's PEG ratio

Cisco's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.8413. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Cisco's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Cisco's EBITDA

Cisco's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $15.5 billion.

The EBITDA is a measure of a Cisco's overall financial performance and is widely used to measure a its profitability.

Cisco financials

Revenue TTM $49.8 billion
Operating margin TTM 27.63%
Gross profit TTM $31.9 billion
Return on assets TTM 8.94%
Return on equity TTM 26.75%
Profit margin 21.26%
Book value $9.79
Market capitalisation $233 billion

TTM: trailing 12 months

Shorting Cisco shares

There are currently 36.6 million Cisco shares held short by investors – that's known as Cisco's "short interest". This figure is 13.4% down from 42.3 million last month.

There are a few different ways that this level of interest in shorting Cisco shares can be evaluated.

Cisco's "short interest ratio" (SIR)

Cisco's "short interest ratio" (SIR) is the quantity of Cisco shares currently shorted divided by the average quantity of Cisco shares traded daily (recently around 17.5 million). Cisco's SIR currently stands at 2.09. In other words for every 100,000 Cisco shares traded daily on the market, roughly 2090 shares are currently held short.

However Cisco's short interest can also be evaluated against the total number of Cisco shares, or, against the total number of tradable Cisco shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Cisco's short interest could be expressed as 0.01% of the outstanding shares (for every 100,000 Cisco shares in existence, roughly 10 shares are currently held short) or 0.0087% of the tradable shares (for every 100,000 tradable Cisco shares, roughly 9 shares are currently held short).

Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against Cisco.

Cisco's environmental, social and governance track record

Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Cisco.

When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.

Cisco's total ESG risk score

Total ESG risk: 12.85

Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Cisco's overall score of 12.85 (as at 12/31/2018) is excellent – landing it in it in the 4th percentile of companies rated in the same sector.

ESG scores are increasingly used to estimate the level of risk a company like Cisco is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).

Cisco's environmental score

Environmental score: 1.54/100

Cisco's environmental score of 1.54 puts it squarely in the 3rd percentile of companies rated in the same sector. This could suggest that Cisco is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.

Cisco's social score

Social score: 6.94/100

Cisco's social score of 6.94 puts it squarely in the 3rd percentile of companies rated in the same sector. This could suggest that Cisco is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.

Cisco's governance score

Governance score: 5.37/100

Cisco's governance score puts it squarely in the 3rd percentile of companies rated in the same sector. That could suggest that Cisco is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.

Cisco's controversy score

Controversy score: 2/5

ESG scores also evaluate any incidences of controversy that a company has been involved in. Cisco scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Cisco has, for the most part, managed to keep its nose clean.

Cisco share dividends

46%

Dividend payout ratio: 45.65% of net profits

Recently Cisco has paid out, on average, around 45.65% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.66% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Cisco shareholders could enjoy a 2.66% return on their shares, in the form of dividend payments. In Cisco's case, that would currently equate to about $1.46 per share.

While Cisco's payout ratio might seem fairly standard, it's worth remembering that Cisco may be investing much of the rest of its net profits in future growth.

Cisco's most recent dividend payout was on 26 October 2021. The latest dividend was paid out to all shareholders who bought their shares by 3 October 2021 (the "ex-dividend date").

Have Cisco's shares ever split?

Cisco's shares were split on a 2:1 basis on 22 March 2000. So if you had owned 1 share the day before before the split, the next day you'd have owned 2 shares. This wouldn't directly have changed the overall worth of your Cisco shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Cisco shares which in turn could have impacted Cisco's share price.

Cisco share price volatility

Over the last 12 months, Cisco's shares have ranged in value from as little as $34.277 up to $59.8656. A popular way to gauge a stock's volatility is its "beta".

CSCO.US volatility(beta: 0.92)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (NASDAQ average) beta is 1, while Cisco's is 0.9201. This would suggest that Cisco's shares are less volatile than average (for this exchange).

Cisco overview

Cisco Systems, Inc. designs, manufactures, and sells Internet Protocol based networking and other products related to the communications and information technology industry in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. It provides infrastructure platforms, including networking technologies of switching, routing, wireless, and data center products that are designed to work together to deliver networking capabilities, and transport and/or store data. The company also offers collaboration products comprising unified communications, Cisco TelePresence, and conferencing, as well as the Internet of Things and analytics software. In addition, it provides security products, such as network security, cloud and email security, identity and access management, advanced threat protection, and unified threat management products. Further, the company offers a range of service and support options for its customers, including technical support and advanced services. It serves businesses of various sizes, public institutions, governments, and service providers.

Frequently asked questions

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs and forex on leverage comes with a higher risk of losing money rapidly. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.

More guides on Finder

Ask Finder

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked
Finder.com provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy Policy and Terms.

Questions and responses on finder.com are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site