Schaeffer's 43rd Anniversary Stock Picks in 2024

Cisco Stock Has Staged Quite the Bounce

Cisco stock gapped lower on Nov. 18

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Three weeks ago, Cisco Systems, Inc. (NYSE:CSCO) was mired in supply chain woes. Heading into the end of 2021, how should investors approach the blue-chip tech stock? 

Cisco stock has rallied back from that mid-November bear gap to test the $58 level once more. Year-to-date, CSCO is up 29%, but there's not a lot of pessimism around the stock that could fuel additional upside; a slim 1% of the stock's total available float is sold short. After a thorough fundamental analysis, Cisco stock offers the most opportunity as a dividend stock, with  a forward dividend of $1.48 with a dividend yield of 2.60%.

CSCO trades at a slightly high price-earnings ratio of 21.59 but Cisco stock has a forward price-earnings ratio of 16.37, which is a decent value given the tech company’s huge market capitalization of $245 billion. In addition, Cisco Systems has a strong balance sheet with $23.35 billion in cash and $10.69 billion in total debt, making CSCO a secure long-term investment. In general, the only true fundamental downfall when considering investing in Cisco stock is its stagnant top and bottom-line growth.

 

A.I.’s Dirty Little Secret: The Real Power Behind The AI. Boom ✨

Anyone who’s seen the The Matrix movies knows that A.I. needs power.  Lots and lots of power.

If you’ve seen the movie, you also know the grizzly results of the ensuing battle for that power.

Now, Wall Street’s battle for A.I. power won’t go to such extremes. Hopefully?

A.I. needs more power and that means more opportunities for stock traders in the know.

Download your free copy of “The A.I. Revolution: 4 Stocks to Buy Now”!