SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 76.04-0.3%Nov 26 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: The Phoenix who wrote (36891)6/2/2000 7:13:00 AM
From: GVTucker  Read Replies (3) of 77400
 
Gary, RE: Cisco has historically doubled - or more - every year for I can't remember how long. How is this equivalent to a fixed income instrument generating returns of .... what... 7%??

First of all, I never said equivalent, I said competitive. And return isn't the only part of the equation, risk is also. As rates rise, the risk/return features of a fixed income instrument are more attractive versus the risk/return features of Cisco stock. Perhaps not enough to get you to sell your stock and buy a bond, but others do not have the same risk parameters as you.

Second of all, the fact that Cisco has doubled every year for the past few years is irrelevant. A stock's historical return has very little correlation, if any, to a stock's future return.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext