Better Buy: Cisco or All 30 Dow Jones Stocks?
Even without giving it much thought it's easy to dismiss Cisco Systems (NASDAQ: CSCO) as a prospective purchase. The networking giant's guidance for the current quarter wasn't as bold as expected, and besides, isn't there a microchip shortage under way? A more broad-based bet like the Dow Jones Industrial Average (DJINDICES: ^DJI) seems the safer trade right now.
That thinking, however, oversimplifies a more complicated situation. The noise of the chip shortage is obscuring a much bigger bullish tailwind, while the market indexes themselves may be headed into a period of weakness.
Its fiscal third quarter's results were more than fine. Cisco's revenue of $12.8 billion was up 7% year over year, topping estimates. Per-share earnings of $0.83 also beat analyst expectations of $0.82, growing 5% from the year-ago comparison of $0.79 per share.
Source Fool.com
