|
Cisco - neues von der Straße Ich habe mich mal auf der Straße umgehört-Streetauthority When a Bad Quarter Spells Opportunity -- By David Sterman For any company counting on the global economy for sales growth, it's tough and getting tougher. Cisco Systems (Nasdaq: CSCO) just alerted investors to serious headwinds in Asia, which is leading to a round of lower profit forecasts, and a nearly double-digit percentage drop in its stock. Only recently, Cisco's shares had been on the mend, posting a 24% gain in three-months. much of that gain has now been wiped out. Should you follow the crowd and unload shares as Cisco braces for a bumpier road in the next quarter or two? No way. As I noted a few quarters ago, Cisco remains as one of the best-positioned tech companies in the world, thanks to a broad set of products and compelling growth strategies. Make no mistake, the fact that sales are likely to grow just 5% this year (to around $51 billion) is hardly inspiring. Indeed Cisco will never be a high-growth company. Those days are over. Yet the key point remains: Cisco's product portfolio is leading-edge, and the company is still likely to be a key beneficiary of the eventual upturn in global technology spending. Equally important, this is a company that has learned to maintain a sharp focus on the bottom line. Cisco was once averse to layoffs, but just-announced plans to shed 4,000 employees, which means that Cisco will still be very profitable, no matter the economic climate. Cisco consistently generates more than $10 billion in annual free cash flow, which has not only boosted the company's cash balance north of $50 billion, but also fueled stock buybacks that have dropped the share count by nearly one billion shares over the past seven years. So whenever you see a great company like this stumble through a short-term phase of sales weakness, you should always buck the herd and see such a sell-off as an opportunity. Zusammengefasst: In die Schwäche kaufen! |
|
| aus der Diskussion: | Cisco - Bärenfalle oder Waterloo??? |
| Autor (Datum des Eintrages): | boyoboy (16.08.13 19:19:09) |
| Beitrag: | 1,097 von 1,437 (ID:45267985) |
| Alle Angaben ohne Gewähr © wallstreetONLINE | |