Cisco Fair Value
CS
The fair market value of CSCO stock is 40.11 USD. Relative to the market price of 58.77 USD Cisco is overvalued by 25.3%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Cisco Valuation
Current CSCO share ticker price is 58.77 USD.
The fair value level of 40.11 USD can be considered as an effective entry point for long-term investors to start investing in CSCO stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 32% higher its fair value
Current price is 37% higher its minimum value
Current price is 17% higher its maximum value
Market price:
CSCO stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Cisco Systems Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
20.88
2
Median P/E over 5 years
17.21
3
Minimum P/E over 5 years
15.83
4
Earning per share (last 12 months)
2.33 USD
Maximum value
1
x
4
=
48.67 USD
Fair value
2
x
4
=
40.11 USD
Minimum value
3
x
4
=
36.9 USD
Cisco Systems Inc price metrics
4.98
Annual return (geometric mean)
27.44
Risk (standard deviation) of returns
β
0.83
Beta (volatility compared to market)