Cisco Systems Inc (CSCO)vsAlphabet Inc Class A (GOOGL)
CSCO
Cisco Systems Inc
$81.83
+1.20%
TECHNOLOGY · Cap: $319.49B
GOOGL
Alphabet Inc Class A
$290.93
+0.17%
COMMUNICATION SERVICES · Cap: $3.65T
Smart Verdict
WallStSmart Research — data-driven comparison
Alphabet Inc Class A generates 582% more annual revenue ($402.84B vs $59.05B). GOOGL leads profitability with a 32.8% profit margin vs 18.8%. CSCO appears more attractively valued with a PEG of 1.32. GOOGL earns a higher WallStSmart Score of 70/100 (B).
CSCO
Strong Buy70
out of 100
Grade: B-
GOOGL
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+37.1%
Fair Value
$130.10
Current Price
$81.83
$48.27 discount
Margin of Safety
+42.6%
Fair Value
$505.91
Current Price
$290.93
$214.98 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 24 in profit
Strong operational efficiency at 24.9%
Earnings expanding 31.2% YoY
Generating 1.5B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 31.6%
Generating 24.6B in free cash flow
Safe zone — low bankruptcy risk
Areas to Watch
Moderate valuation
Distress zone — elevated risk
Expensive relative to growth rate
Moderate valuation
Trading at 8.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CSCO
The strongest argument for CSCO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 18.8% and operating margin at 24.9%. PEG of 1.32 suggests the stock is reasonably priced for its growth.
Bull Case : GOOGL
The strongest argument for GOOGL centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 32.8% and operating margin at 31.6%. Revenue growth of 18.0% demonstrates continued momentum.
Bear Case : CSCO
The primary concerns for CSCO are P/E Ratio, Altman Z-Score.
Bear Case : GOOGL
The primary concerns for GOOGL are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
CSCO profiles as a mature stock while GOOGL is a growth play — different risk/reward profiles.
GOOGL carries more volatility with a beta of 1.11 — expect wider price swings.
GOOGL is growing revenue faster at 18.0% — sustainability is the question.
GOOGL generates stronger free cash flow (24.6B), providing more financial flexibility.
Bottom Line
CSCO scores higher overall (70/100 vs 70/100), backed by strong 18.8% margins. GOOGL offers better value entry with a 42.6% margin of safety. Both earn "Strong Buy" and "Strong Buy" 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.
Visit Website →Alphabet Inc Class A
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.
Visit Website →Compare with Other COMMUNICATION EQUIPMENT Stocks
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