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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 374.22-0.2%Nov 21 4:00 PM EST

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To: TobagoJack who wrote (11419)11/11/2006 6:50:59 PM
From: energyplay  Read Replies (1) of 217949
 
Cisco sell lots of stuff overseas, and has really large gross margins. Even a 30% rise in assemble cost won't kill the gross margins. Direct labor is likely to be under 40% of assembly costs, this provides lots of room for increase. I will assume that financial crisis will cut sales everywhere, in both the strong and weak currencies. I would expect any sales gain in weak currencies to be more than wiped out by the currency drop, at least initially.

Cisco

stock price 27.64

Shares outstanding 6.0 Billion

Cash per share 3.12
Cash 19 Billion

Debt 6.4 Billion

Sales 30 Billion

Almost every high tech company that has been around a few years is sitting on lots of cash. Most high tech companies sell into multiple markets around the world.

Is some of this cash diversified out of USD, to Euros, GBP, etc. ? In Cisco's case, that is almost a certainty. For smaller companies, you might want to call investor relations.

If we looked at say a refrigerator sold at Wal-Mart, it would look VERY different.
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