Cisco Systems Inc (CSCO)vsTesla Inc (TSLA)
CSCO
Cisco Systems Inc
$96.57
+4.79%
TECHNOLOGY · Cap: $364.02B
TSLA
Tesla Inc
$428.35
+4.02%
CONSUMER CYCLICAL · Cap: $1.55T
Smart Verdict
WallStSmart Research — data-driven comparison
Tesla Inc generates 66% more annual revenue ($97.88B vs $59.05B). CSCO leads profitability with a 18.8% profit margin vs 4.0%. CSCO appears more attractively valued with a PEG of 1.46. CSCO earns a higher WallStSmart Score of 70/100 (B-).
CSCO
Strong Buy70
out of 100
Grade: B-
TSLA
Avoid33
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-63.6%
Fair Value
$56.34
Current Price
$96.57
$40.23 premium
Margin of Safety
-57.7%
Fair Value
$261.17
Current Price
$428.35
$167.18 premium
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
Conservative balance sheet, low leverage
15.8% revenue growth
Generating 1.4B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
Distress zone — elevated risk
Trading at 19.6x book value
ROE of 4.9% — below average capital efficiency
4.0% margin — thin
Operating margin of 4.2%
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 1.46 suggests the stock is reasonably priced for its growth.
Bull Case : TSLA
The strongest argument for TSLA centers on Market Cap, Debt/Equity, Revenue Growth. Revenue growth of 15.8% demonstrates continued momentum.
Bear Case : CSCO
The primary concerns for CSCO are P/E Ratio, Altman Z-Score.
Bear Case : TSLA
The primary concerns for TSLA are Price/Book, Return on Equity, Profit Margin. A P/E of 384.9x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
CSCO profiles as a mature stock while TSLA is a growth play — different risk/reward profiles.
TSLA carries more volatility with a beta of 1.79 — expect wider price swings.
TSLA is growing revenue faster at 15.8% — sustainability is the question.
CSCO generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
CSCO scores higher overall (70/100 vs 33/100), backed by strong 18.8% margins. Both earn "Strong Buy" and "Avoid" 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 →Tesla Inc
CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA
Tesla, Inc. is an American electric vehicle and clean energy company based in Palo Alto, California. Tesla's current products include electric cars, battery energy storage from home to grid-scale, solar panels and solar roof tiles, as well as other related products and services. In 2020, Tesla had the highest sales in the plug-in and battery electric passenger car segments, capturing 16% of the plug-in market (which includes plug-in hybrids) and 23% of the battery-electric (purely electric) market. Through its subsidiary Tesla Energy, the company develops and is a major installer of solar photovoltaic energy generation systems in the United States. Tesla Energy is also one of the largest global suppliers of battery energy storage systems, with 3 GWh of battery storage supplied in 2020.
Visit Website →Compare with Other COMMUNICATION EQUIPMENT Stocks
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