Cisco Return On Equity from 2010 to 2024

CSCO Stock  USD 57.56  0.06  0.10%   
Cisco Systems Return On Equity yearly trend continues to be very stable with very little volatility. Return On Equity is likely to grow to 0.26 this year. Return On Equity is a measure of the profitability of Cisco Systems in relation to the equity, calculated by dividing net income by shareholder's equity. View All Fundamentals
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
0.22702774
Current Value
0.256596
Quarterly Volatility
0.05931981
 
Credit Downgrade
 
Yuan Drop
 
Covid
Check Cisco Systems financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Cisco Systems' main balance sheet or income statement drivers, such as Depreciation And Amortization of 1.5 B, Interest Expense of 1.1 B or Selling General Administrative of 3 B, as well as many indicators such as Price To Sales Ratio of 4.69, Dividend Yield of 0.0264 or PTB Ratio of 5.66. Cisco financial statements analysis is a perfect complement when working with Cisco Systems Valuation or Volatility modules.
  
Check out the analysis of Cisco Systems Correlation against competitors.
To learn how to invest in Cisco Stock, please use our How to Invest in Cisco Systems guide.

Latest Cisco Systems' Return On Equity Growth Pattern

Below is the plot of the Return On Equity of Cisco Systems over the last few years. Return on Equity is the amount of Cisco Systems net income returned as a percentage of Cisco Systems equity. Return on equity measures Cisco Systems profitability by revealing how much profit Cisco Systems generates with the money shareholders have invested. It is a measure of the profitability of a business in relation to the equity, calculated by dividing net income by shareholder's equity. Cisco Systems' Return On Equity historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in Cisco Systems' overall financial position and show how it may be relating to other accounts over time.
ViewLast Reported 0.2110 Years Trend
Slightly volatile
   Return On Equity   
       Timeline  

Cisco Return On Equity Regression Statistics

Arithmetic Mean0.23
Geometric Mean0.22
Coefficient Of Variation25.90
Mean Deviation0.05
Median0.23
Standard Deviation0.06
Sample Variance0
Range0.1453
R-Value0.50
Mean Square Error0
R-Squared0.25
Significance0.06
Slope0.01
Total Sum of Squares0.05

Cisco Return On Equity History

2024 0.26
2020 0.23
2015 0.3
2011 0.15
2010 0.19

About Cisco Systems Financial Statements

Cisco Systems investors utilize fundamental indicators, such as Return On Equity, to predict how Cisco Stock might perform in the future. Analyzing these trends over time helps investors make informed market timing decisions. For further insights, please visit our fundamental analysis page.
Last ReportedProjected for Next Year
Return On Equity 0.23  0.26 

Pair Trading with Cisco Systems

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Cisco Systems position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Cisco Systems will appreciate offsetting losses from the drop in the long position's value.

Moving together with Cisco Stock

  0.86HPQ HP IncPairCorr
  0.89S SentinelOnePairCorr

Moving against Cisco Stock

  0.89ENPH Enphase EnergyPairCorr
  0.79FRGT Freight TechnologiesPairCorr
  0.69VRRM Verra Mobility CorpPairCorr
The ability to find closely correlated positions to Cisco Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Cisco Systems when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Cisco Systems - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Cisco Systems to buy it.
The correlation of Cisco Systems is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Cisco Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Cisco Systems moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Cisco Systems can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
When determining whether Cisco Systems offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Cisco Systems' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cisco Systems Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cisco Systems Stock:
Is Communications Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cisco Systems. If investors know Cisco will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cisco Systems listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.24)
Dividend Share
1.19
Earnings Share
2.35
Revenue Per Share
13.158
Quarterly Revenue Growth
(0.06)
The market value of Cisco Systems is measured differently than its book value, which is the value of Cisco that is recorded on the company's balance sheet. Investors also form their own opinion of Cisco Systems' value that differs from its market value or its book value, called intrinsic value, which is Cisco Systems' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cisco Systems' market value can be influenced by many factors that don't directly affect Cisco Systems' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cisco Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cisco Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cisco Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.