WallStSmart

Cisco Systems Inc (CSCO)vsGilat Satellite Networks Ltd (GILT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cisco Systems Inc generates 12822% more annual revenue ($60.75B vs $470.09M). CSCO leads profitability with a 19.7% profit margin vs 6.8%. CSCO appears more attractively valued with a PEG of 1.68. CSCO earns a higher WallStSmart Score of 71/100 (B).

CSCO

Strong Buy

71

out of 100

Grade: B

Growth: 6.7Profit: 8.0Value: 4.3Quality: 5.0
Piotroski: 6/9Altman Z: 1.17

GILT

Hold

41

out of 100

Grade: D

Growth: 6.7Profit: 4.0Value: 3.3Quality: 6.0
Piotroski: 1/9Altman Z: 1.09
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CSCO.

GILTSignificantly Overvalued (-43.2%)

Margin of Safety

-43.2%

Fair Value

$9.57

Current Price

$14.52

$4.95 premium

UndervaluedFair: $9.57Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CSCO5 strengths · Avg: 8.6/10
Market CapQuality
$473.64B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
24.5%9/10

Every $100 of equity generates 24 in profit

Operating MarginProfitability
25.0%8/10

Strong operational efficiency at 25.0%

EPS GrowthGrowth
37.1%8/10

Earnings expanding 37.1% YoY

Free Cash FlowQuality
$3.56B8/10

Generating 3.6B in free cash flow

GILT3 strengths · Avg: 8.7/10
Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
20.0%8/10

Revenue surging 20.0% year-over-year

Areas to Watch

CSCO4 concerns · Avg: 3.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Price/BookValuation
9.8x4/10

Trading at 9.8x book value

P/E RatioValuation
40.1x2/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.172/10

Distress zone — elevated risk

GILT4 concerns · Avg: 3.3/10
P/E RatioValuation
27.5x4/10

Moderate valuation

Market CapQuality
$1.08B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.0%3/10

ROE of 6.0% — below average capital efficiency

Profit MarginProfitability
6.8%3/10

6.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CSCO

The strongest argument for CSCO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 19.7% and operating margin at 25.0%. Revenue growth of 12.0% demonstrates continued momentum.

Bull Case : GILT

The strongest argument for GILT centers on Debt/Equity, Price/Book, Revenue Growth. Revenue growth of 20.0% demonstrates continued momentum.

Bear Case : CSCO

The primary concerns for CSCO are PEG Ratio, Price/Book, P/E Ratio. A P/E of 40.1x leaves little room for execution misses.

Bear Case : GILT

The primary concerns for GILT are P/E Ratio, Market Cap, Return on Equity.

Key Dynamics to Monitor

CSCO profiles as a mature stock while GILT is a growth play — different risk/reward profiles.

GILT carries more volatility with a beta of 1.01 — expect wider price swings.

GILT is growing revenue faster at 20.0% — sustainability is the question.

CSCO generates stronger free cash flow (3.6B), providing more financial flexibility.

Bottom Line

CSCO scores higher overall (71/100 vs 41/100), backed by strong 19.7% margins and 12.0% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Cisco Systems Inc

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Cisco Systems, Inc. is an American multinational technology conglomerate headquartered in San Jose, California, in the center of Silicon Valley. Cisco develops, manufactures and sells networking hardware, software, telecommunications equipment and other high-technology services and products. Through its numerous acquired subsidiaries, such as OpenDNS, Webex, Jabber and Jasper, Cisco specializes in specific tech markets, such as the Internet of Things (IoT), domain security and energy management. On January 25, 2021, Cisco reincorporated in Delaware.

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Gilat Satellite Networks Ltd

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Gilat Satellite Networks Ltd. (GILT) is a prominent provider of satellite-based communication solutions, serving key sectors such as telecommunications, government, and enterprise. The company specializes in advanced satellite infrastructure and high-performance broadband connectivity, which are essential for applications ranging from disaster recovery to rural connectivity improvements. Leveraging its robust technological expertise and strategic alliances, Gilat is strategically positioned to meet the rising global demand for broadband access and to adapt to the evolving landscape of satellite communications. This strategic focus underlines Gilat's potential for sustained growth within the dynamic telecommunications industry.

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