You ask Is Chambers anti-american, I ask if he is anti Cisco? He is the only CEO, I am aware of, that continually drops speculative bad news about his company. He must now have a crystal ball predicting slower growth 5 years into the future., If his prediction is correct, what is he doing to increase growth and stock appreciation. Apparently nothing? Why is he the CEO? I think Jim Crammer has it right, Chambers has to go. Shareholders need to rebel.
The socalled stock buyback is the biggest scam going. They buy it back cheap after they drive the price down, then gives thousands of shares to each other as compensation for doing a good job of ripping off the shareholders, then sell it. Then start all over again. Its a SCAM !!!
I suspect Chambers is talking down the stock so they can buy more stock in their 15B buyback. I just hope they RETIRE the shares, rather than pass them out to the executives. Lately they've been doing a better job retiring shares, but this wasn't always the case.
I covered my remaining short today at $20.35 and actually went long a few shares at $20.30. Everyone has been saying bad things, knocking the company relentlessly. Revenue and earnings guidance were taken down a while ago. Baked in comes to mind.
The analyst call: The CFO scared me a little being short at the time. You don't want to be short when the CFO promises he will enhance shareholder value. Not smart to battle his objective.
So revenue will increase 5% over the next 5 years. Earnings will be higher in 2015 than 2014. It seems the most important aspects have been lost along the way. You want a 10% grower, expect a 25 PE. Cisco is not that. The current price to cash flow, cash on hand, debt ratios, dividend and buyback tell me downside is pretty limited. I have a short term view of $22 within a couple weeks.
i dont understand what you mean by a 25 PE. the stock has a PE of 11 right now. for that to happen earnings/share would have to drop to 92 cents from $1.84 or the stock would have to double in value to 40. appreciate the rest of your remarks but ya lost me on the 25 PE comment.