Cisco
Current Performance
As a company Cisco Systems is still a powerhouse in their industry. It is the worldwide leader in networking for the Internet. Although they have broadened their product line tremendously since they first started, they still try to stick to the same business policies and plans that they had when they first started out. Cisco’s net sales for the last fiscal year were over eighteen billion dollars. This is an unbelievable amount of money for a company to generate if you consider this company is not even twenty-five years old. Of this eighteen billion dollars Cisco had a net income of 2.7 billion dollars. Their net sales and net income have grown ever year for the past five years by leaps and
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In that fifty-two week period the stock had a high of eighty-two dollars and a low thirty-two dollars. This is a lot of movement for a stock over such a short period of time. The good thing about this is that at the end of that traumatic period in the market Cisco was able to keep its stock steady. The market and technology and dot com companies have been taking a hit in the market over the last year. They are not the same easy money makers that they use to be a couple of years ago. People do not trust Internet companies like they use to and now consumers are much more knowledgeable and wary. A lot of people are dumping their computer stock because they are afraid that their stocks are going to fall. This is the reason for the great up and downs in the stock over the year. The stock reacts to how other stocks of its type are also doing. This is part of the outside forces that affect the stock price and the company. People will buy Cisco stock depending on how it is doing compared to its major competition. The stock trades an average of forty seven million shares a day. This is a very high volume of shares to be changing hands everyday. Cisco must watch their actions because any type of decision they make will affect everyone that is trading those forty seven million shares. They hold a 14.1% profit margin on their
The weekly performance of the stock has a trend of constant growth with a significant growth in price compared to the IBM stock which happened in week four to six (09/30/11-10/06/16). A major factor for the large jump in the stock price is due to the shocking current news of Google acquiring Motorola Mobility for $12.5 billion. Right after the announcement of
Net income on the income statement: $2,377,000,000 ($5.37 per share), which is an increase of 15% compared to 2014.
The stock price went from $34 at the beginning of the 2010 fiscal year to $46 dollars in April largely
The technology portion of their company has grown tremendously which has caused so much of their growth. In addition, they found the perfect formula to appeal to and retain customers. Most of their customers are loyal to their company and insist on sticking to their products. Their market capitalization, $639,922 million, is extremely high compared to other companies in their industry They returned about $8 billion to shareholders during their quarter. Also, their gross margins, currently at 38.01%, are high at passed by
This implies that there is upside potential relative to the current price of $37.5; or that it is an undervalued stock.
$18. 30 Day’s high $17.55 trade time Apr 22, 2017, Days low $17.55 trade time change- 1.14% at 52-week high $22.51 the previous close 17.40 and low at 52-weeks $13.06 open at 17.30 the Beta 0.74 The volume was 53.823 Avg.vol 112.122 looking at the above figures the stock they are in a good position. One of their competitors is Amazon. Both companies are star rating the stocks are doing great. Overstock have had a constant and sturdy growth. The online retail giant is a threat to brick-and-mortar stores. Theirs some negative profitability, rising cost and some feel overstock price, put them in a danger zone with the stock market. Overstock up against the competitor such as Amazon, and Wayfair has declined some but not a lot. They have not deteriorated to the point they are in trouble with stock. The profitability of overstock is growing 13% compounded annually from 2002 through 2016; they have lost yet
2. Given the industries in which the Cisco competes, what are the implications for the major types of buying situations?
Reportedly, analysts mentioned that Cisco’s supply chain structured like a pyramid. Based on Figure 2 below, there were quite a number of contract manufacturers on the second tier who were responsible for final assembly and they were dependent on large sub-tier companies for components such as processor chips and optical gear. And in turn, those companies were dependent on an even larger base of commodity
At the end of the fiscal year 2000, total company sales reached $191 billion dollars. This was an increase over the previous year of 15.9%. Total international sales amounted to $32 billion dollars at the end of the 2000 fiscal year, which was an increase of 41% over the previous year.
Simply, company started to sell everything that is commercially profitable, which is big mistake in the long term.
In the first week, the stock maintained its stability through the first 4 days but ended up taking a small dip on the last day of the week, which dropped the stock price from $118.69 to $116.40. In the second week, the stock dropped when the market opened back up then stabilized for the rest of the week. The stock price went from $116.40 to $112.88. In the third week, the stock increased considerably from the previous week when the market opened back up and was stable. The price was stable throughout the week until the last day of the week when the price of the stock ended up fallen. The stock price went from $112.88 to $112.40. In the fourth week, the stock market opened back up. The price of the stock had went down but increased dramatically and ended up rising back to its original price. The stock price went from $112.40 to $114.16. In the fifth week, the stock increased considerably. When the market opened back up, the stock price was slow and steady on the first day and then started increased throughout the rest of the week almost reaching back to the purchasing price. The stock price went from $114.16 to $117.20.
Basically, we can see that having a stock in a portfolio is better here as stock like Reynolds, which was moving less than the market is now very close to the market movement at .9974.
However, in spite of the successes of Apple, the Company’s stock price had been dipping since reaching its high
The company was profitable once again by the third quarter of 1985. To maintain market share, the company invested heavily in research and development in 1987 and was ranked by a leading trade journal, Electronic Business, as second in R&D spending, based on a 131.7% increase from 1986 to 1987. The company’s share price bounced back from a low $1 in 1985 to $13 in July 1988. With all these developments, it seemed that the company had indeed made a comeback and was on its way to becoming a billion-dollar company.
▪ Founded 1984 ▪ 2009 Revenue: $11.1 billion ▪ 2009 Net Income: $1.89 billion ▪ Employees: 12,000