Cisco 8% cash yield
När alla stirrar sig blinda på tillväxt så övergår många bolag till att bli rena kassakor istället vilket kan vara nog så bra, lägre risk men lägre tillväxtpotential.
"The $16.5 billion in cash on Cisco?s balance sheet at the end of January 2005 is $2.7 billion less than the $19.2 billion on its balance sheet at the end of January 2004. Regardless of what Cisco?s funds flow statement shows, the $8.1 billion gap between actual stock buybacks and the reduction in cash on its balance sheet comes primarily from free cash flow. Subtracting $16.5 billion in balance sheet cash from Cisco?s $116 billion market capitalization leaves roughly $100 billion in market capitalization. $8 billion in free cash flow against $100 billion in market capitalization less billion in balance sheet cash means Cisco is generating an 8% cash yield."
1
Det förtäljer icke historien, kanske du kan räkna på i helgen ;-)
Jag glömde slutklämmen till texten i #0:
"Cisco is likely to continue shrinking its shares outstanding by about $6 billion to $8 billion per year ? even after $3 to $4 billion of option exercise. At some point, the market will recognize that Cisco is worth more than just a meager multiple of earnings per share.""
Inlägget är redigerat av författaren.
Tydligen fler som börjat få upp ögonen för detta nu
Cisco Systems (CSCO: news, chart, profile) looks like an attractive buy for value-oriented investors, according to the newest edition of Barron's. In addition to its strong position in the networking industry and "substantial" progress in newer sectors such as Voice Over Internet protocol, Cisco has no debt and holds $16.5 billion in cash and securities. Barron's said stripping out the cash and its interest, Cisco is trading for a "relatively modest" 17 times estimated 2005 earnings, slightly below the price-earnings ratio on the Standard & Poor's 500, with 17.4 times projected 2005 operating earnings. Barron's said it is the first time the technology bellwether has traded at roughly the same multiple as the S&P 500 during its 15 years as a public company.
Cisco handlas till lägre p/e än S&P500 och lägre än många verkstadsbolag, det trodde man inte för 5 år sen :-)
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Ogilla! 2
Gilla!
#0
Intressant. Vad avkastar då Nokias kassa på grund av återköp av sina (billiga) aktier ?!
mvh/viotto
Inlägget är redigerat av författaren.