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Independent research · Est. October 2026
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Stock X-Ray · Technology · S&P 500 Full Coverage — Phase 1

Cisco (CSCO)

X-Ray dated Oct 28, 2026 · Share price as of Oct 28, 2026 intraday, when the valuation snapshot was captured · Financials from SEC filings (EDGAR) · Valuation multiples from a labelled secondary source
The verdict — valuation label: UNDERVALUED

Forward P/E 21.52x is 0.63x the peer median of 34.25x, the cheapest forward multiple in its peer set, while latest-quarter revenue grew +17.6% year over year (PRIMARY/EDGAR) — growth is delivered, not collapsing. Trailing P/E 33.25x and PEG 2.15 temper the case: the peer median is lifted by faster-growing networking names, and Cisco is not cheap on growth-adjusted terms. Delivered demand check: the cluster median grew +27.3% year over year — demand rising, which supports the earnings the forward multiple rests on.

21.5×
Forward P/E — price vs next year’s expected earnings (secondary source)
34.2×
Peer median forward P/E — closest comparable companies
33.2×
Trailing P/E — price vs the last twelve months of earnings
6.9×
Price / sales

What would change this label: Moves toward FAIRLY PRICED if the forward P/E re-rates above about 30.8x (0.90x the peer median) without a matching rise in delivered growth, or if revenue growth falls below +5% year over year for two consecutive quarters. The UNDERVALUED case firms up if revenue growth holds at +15% or better while the forward P/E stays below about 24x.

In simple words

Cisco's shares cost about 22 times next year's expected profit, while other networking companies cost about 34 times — even though Cisco just grew sales by nearly 18%. It is the slow, steady name in a fast group, and the price already assumes that slowness.

Words we use, in plain English: P/E ratio — the share price divided by earnings per share; how many dollars you pay for one dollar of yearly profit. Forward P/E — the same, using next year’s expected earnings. Free cash flow — cash a company has left after running the business and buying equipment. TTM — the last twelve months. Drawdown — the worst fall from a peak to the low after it.
Figure 1 — The share price vs the market — six years
Cisco (CSCO)S&P 500 (SPY)
681331972623262021202220232024202520262020-09-012026-10-27

Both lines start at 100 on 2020-09-01. Over the full window Cisco returned +165.00% and the S&P 500 +118.28% (price returns; dividends not reinvested). Worst peak-to-trough fall for Cisco: -38.6% (2021-12-29 to 2022-10-12). Source: Nasdaq official daily history.

What the label rests on

Forward P/E 21.52x is 0.63x the peer median of 34.25x, the cheapest forward multiple in its peer set, while latest-quarter revenue grew +17.6% year over year (PRIMARY/EDGAR) — growth is delivered, not collapsing. Trailing P/E 33.25x and PEG 2.15 temper the case: the peer median is lifted by faster-growing networking names, and Cisco is not cheap on growth-adjusted terms. Delivered demand check: the cluster median grew +27.3% year over year — demand rising, which supports the earnings the forward multiple rests on. The company’s forward P/E is 21.5× against a peer median of 34.2×. Its own history: UNVERIFIED — no sourced range available. Sector demand read: Delivered demand check: the Communications equipment group's median latest-quarter revenue growth was 27.3% year over year (SEC filings) — demand rising. Latest-quarter sales growth was +17.6% versus a year earlier (SEC filings).

Table 1
CompanyPrice (Oct 28, 2026)Forward P/ETrailing P/E
Cisco (CSCO)$110.7321.5×33.2×
ANET$188.1640.3×59.5×
MSI$478.3826.4×37.7×
LITE$878.0039.7×—
CIEN$356.3534.2×79.6×
FFIV$398.4921.9×31.8×
Peer median34.2×

Multiples: stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026. Peer set chosen by sector; the median is the middle value of the set. The label and its numbers were recorded in the programme’s label registry on Oct 28, 2026 and will be scored at 6 and 12 months.

Sales, profit and cash

Figure 2 — Sales each quarter, and the gross margin
SalesGross margin (right axis)
$0B$6B$13B$19B0%40%79%Oct 2020Oct 2021Oct 2022Oct 2023Oct 2024Oct 2025Jul 2026

Gross margin = gross profit divided by sales, from SEC filings.

Figure 3 — Cash left over each quarter (free cash flow)
PositiveNegative
$-6B$0B$6BOct 2020Oct 2021Oct 2022Oct 2023Oct 2024Oct 2025Jul 2026

Free cash flow = cash from operations minus spending on plant and equipment, both from the company’s SEC cash-flow statement. Gaps are quarters where that spending line is not separately tagged in the filings — shown as gaps, never estimated.

Table 2
QuarterSalesGross marginNet incomeEPS (GAAP, diluted)Free cash flow
Q/E Jul 2026
2026-07-25
$17.3B64.1%$3.9B—$5.0B
Q/E Apr 2026
2026-04-25
$15.8B63.6%$3.4B0.85$3.3B
Q/E Jan 2026
2026-01-24
$15.3B65.0%$3.2B0.80$1.5B
Q/E Oct 2025
2025-10-25
$14.9B65.5%$2.9B0.72$2.9B
Q/E Jul 2025
2025-07-26
$14.7B63.2%$2.5B—$4.0B
Q/E Apr 2025
2025-04-26
$14.1B65.6%$2.5B0.62$3.8B
Q/E Jan 2025
2025-01-25
$14.0B65.1%$2.4B0.61$2.0B
Q/E Oct 2024
2024-10-26
$13.8B65.9%$2.7B0.68$3.4B
Q/E Jul 2024
2024-07-27
$13.6B64.4%$2.2B—$3.5B
Q/E Apr 2024
2024-04-27
$12.7B65.1%$1.9B0.46$3.8B
Q/E Jan 2024
2024-01-27
$12.8B64.2%$2.6B0.65$638M
Q/E Oct 2023
2023-10-28
$14.7B65.2%$3.6B0.89$2.2B

The last twelve reported quarters. Full 24-quarter history sits in the data pack behind this page. A dash means the figure is not tagged as a standalone quarter in the company’s SEC facts (the usual case is the fourth quarter, which many companies only report inside the full-year filing) — it is missing, not zero.

Earnings: getting better or worse?

Each box is one quarter’s earnings per share (EPS). Green means EPS was higher than the same quarter a year earlier; red means lower; a dash means the figure is not tagged in the filings.

Oct 2022
0.65
Jan 2023
0.67
Apr 2023
0.78
Jul 2023
—
Oct 2023
0.89
Jan 2024
0.65
Apr 2024
0.46
Jul 2024
—
Oct 2024
0.68
Jan 2025
0.61
Apr 2025
0.62
Jul 2025
—
Oct 2025
0.72
Jan 2026
0.80
Apr 2026
0.85
Jul 2026
—

Basis: GAAP diluted EPS from SEC company facts, compared with the same quarter a year earlier.

Key facts

Table 3
ItemValue
Company (legal name in filings)CISCO SYSTEMS, INC.
Chief executiveChuck Robbins (source: https://newsroom.cisco.com/c/r/newsroom/en/us/executives/robbins-chuck.html)
SectorTechnology — Communications Equipment — sells networking hardware, software and security for enterprises and data centres
Share price (Oct 28, 2026)$110.73
Market value (market cap)$439.1B — share price times shares outstanding of 3,942,586,873 (SEC filings; SEC EDGAR dei EntityCommonStockSharesOutstanding (latest))
Sales, last twelve months$63.3B
Net income, last twelve months$13.3B
Free cash flow, last twelve months$12.8B
Latest reported quarterQ/E Jul 2026 (of 24 quarters in the data pack)
Six-year price return vs S&P 500+165.00% vs +118.28%
Worst peak-to-trough fall-38.6% (2021-12-29 to 2022-10-12)

What we could not verify

  • TTM GAAP diluted EPS could not be summed from company facts because at least one of the last four quarters (typically Q4) has no standalone tagged EPS; trailing P/E is therefore taken from the labelled secondary source in valuation_label.md.
  • Own-history P/E range not yet compiled for this company in the Phase 1 batch run; the label rests on peer-median, growth and PEG evidence.
  • Guidance record (each quarter scored against the guidance the company gave the quarter before) is not yet compiled for this company — it is a Phase 2 layer. The earnings strip below therefore uses reported EPS versus a year earlier, which is fully sourced from filings.

The IT factor — the most exciting thing the market is overlooking — is not assessed on an X-Ray page. It belongs to the Deep Dive (Phase 2), where it gets the evidence standard it needs. Leadership-era scoring (the six years split by chief executive) is likewise a Phase 2 layer; this page names the current chief executive only, from a sourced profile.

Sources

  • SEC EDGAR submissions — Filing index; company legal name. https://data.sec.gov/submissions/CIK0000858877.json
  • SEC EDGAR company facts — Quarterly financial spine: revenue, gross profit, net income, GAAP diluted EPS, operating cash flow, PP&E capex, buybacks, dividends, diluted shares. https://data.sec.gov/api/xbrl/companyfacts/CIK0000858877.json
  • Nasdaq official daily history — Daily closes for the company; SPY (assetclass=etf) saved as raw/nasdaq_spy_raw.json over identical dates. https://api.nasdaq.com/api/quote/CSCO/historical?assetclass=stocks
  • Valuation multiples and peer figures — stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026; see valuation_label.md in the data pack.

Conventions: earliest-filed value per period, as first reported; cash-flow years-to-date differenced quarter by quarter; EPS never differenced; free cash flow = operating cash flow minus plant-and-equipment spending. This page is a dated snapshot — updates are new versions, never silent edits.

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