Cisco Systems, Inc. (NASDAQ:CSCO) kept active in under and overvalue discussion, CSCO holds price to book ratio of 2.52 that presents much better indicator to find market price of a share price over its book value of equity for investment valuation. In addition, the firm has price to earnings ratio of 15.09, which is authentic method to judge but not universal for all situation.
Fundament/ News Factor in Focus
Evergent Technologies and Cisco announced their alignment to accelerate delivery and monetization of OTT video services for operators and broadcasters. The collaboration brings together the Evergent proven cloud-based Subscriber Management solution, which is deployed in over 150 countries with recent success in supporting massive OTT viewership for UEFA EURO 2016 in Europe and Asia, and the Cisco Infinite Video technology launched at IBC 2015, which helps service providers, media and entertainment companies deliver content direct to consumers.
Senior Director and Service Provider Video Software of Cisco, Rajeev Raman stated that Evergent’s carrier grade, cloud-based Subscriber Management system provides extensive functionality and a rich set of APIs that enable fast deployment of OTT services. He continued “Evergent works with the world’s largest carriers and broadcasters and brings deep domain experience to the table.”
Taking look on ratio analysis, CSCO has forward price to earnings ratio of 12.43, compare to its price to earnings ratio of 15.09. Adding one more ration to find detail valuation of security, price to earnings growth ration that stands at 1.62. The co is presenting price to cash flow as 2.44 and while calculating price to free cash flow it concluded at 20.89, the low single digit may indicate stock is undervalued and vise versa. On other hand, keeping in mind stable cash flows but few growth prospects make traders to value lower.
The firm has price volatility of 0.95% for a week and 1.13% for a month. Its beta stands at 1.49 times. Narrow down four to firm performance, its weekly performance was 0.92% and monthly performance was 2.67%.
Cognizant Technology Solutions Corporation (NASDAQ:CTSH) runs in leading trade, it are increasing 0.51% to traded at $58.66. CTSH attains analyst recommendation of 1.80 on scale of 1-5 with week’s performance of 1.40%.
To find out the technical position of CTSH, it holds price to book ratio of 3.61 that unearth high-growth companies selling at low-growth prices, but it requires appropriate measurement approach. It has forward price to earnings ratio of 15.83, and price to earnings ratio calculated as 23.70. The price to earnings growth ration calculated as 1.77. CTSH is presenting price to cash flow of 7.93 and free cash flow concluded as 21.44.
EPS estimates indicating constrictive facts, the current year from sell-side analysts, Price to current year EPS stands at 12.70%, and looking further price to next year’s EPS is 9.78%. While take a short look on price to sales ratio, that was 2.74 and price to earning ration of 23.70 attracting passive investors.