The company has restructured its entire business model in recent years, and some of the craziest moves are starting to pay off. Keep an eye on growth in the unified computing server line, which jumped 87% year over year last quarter. And these server systems are often sold as a package deal with high-end network routers. That’s exactly the high-margin division that Cisco would love to see improving.
Juniper said a couple of weeks ago that enterprise sales was a challenging market. I think Cisco is grabbing market share in that high-end segment. If so, this report should be a turning point for Cisco Systems, Inc. (NASDAQ:CSCO) investors as margin-boosting wins unlock a catalyst for share prices.
And that’s why I think Cisco is one of the best Dow stocks you can buy today. This stock is about to enter another growth phase.
The article Is Cisco One of the Best Dow Stocks for New Investors? originally appeared on Fool.com and is written by Anders Bylund.
Fool contributor Anders Bylund holds no position in any company mentioned. Check out Anders’ bio and holdings or follow him on Twitter and Google+. The Motley Fool owns shares of Cisco Systems. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.
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