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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 72.11-0.3%Nov 5 3:59 PM EST

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To: JakeStraw who wrote (77210)11/14/2013 8:47:56 AM
From: robert b furman  Read Replies (1) of 77397
 
Should be some serious premium in the 2015 15 puts this morning.

Csco is still making large money and I hope they now learn that stock buybacks take a second fiddle to dividends.

Csco's 68 cent annual dividend yields 5 % at 13.60. At a 50 % payout of earnings they could easily pay $1.00.

They have 48 billion in cash and much like intc were slow to evolve from the ole gravy train.

That does not mean they can turn and redeploy their cash in acquisitions - which they've been solid on anyway.

I won't count out this great company.

They did not miss on earnings - they missed on revenue and they guided down 10% for the next quarter.

The government shutdown is not their doing ,but it did have an impact and emerging markets were off bad.

This is second quarter in a row = longer term turnaround story.

Time to lock in some premium that hopefully will become a dividend play.

screencast.com

Second big gap down coming up!!

Bob
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