Cisco Systems, Inc. (CSCO) Is Cheap. Should You Buy?

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NetGear, Inc. (NASDAQ:NTGR) is a very well-known manufacturer of routers and other networking equipment.  Shares trade at 15.2 times TTM earnings with 9% forward growth projected.  Netgear pays no dividend, but does have an extremely strong balance sheet, with a third of its market capitalization in cash.  However, being a smaller company that is more dependent on a smaller range of products, Netgear does come with added risks.

Buy?

Not only is Cisco Systems, Inc. (NASDAQ:CSCO) an extremely stable company with a yield sure to please income investors, but the company is extremely cheap right now.  A P/E ratio of just 8 times earnings in a growing tech company is almost unheard of, especially in such a bull market like we’re in (officially, as of recently).  Cisco should reward its shareholders with excellent growth and income for years to come.

The article The Biggest Networking Company Is On Sale Right Now originally appeared on Fool.com and is written by Matthew Frankel.

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