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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Eric who wrote (30628)	12/22/1999 2:49:00 PM
From: telecomguy	Respond to of 77400

(Cisco paid $2.15 billion, or about 10 times the unit's trailing revenues. Compare this with the 69 times trailing revenues that Cisco paid for Cerent, and you can see why I call 10 times sales a bargain.) HMMMMMM.........I DIDN'T THINK VALUATION WAS THIS EASY! JUST LOOK AT SALES MULTIPLE AND IF ONE DEAL HAS LOWER SALES MULTIPLE THAN ANOTHER ONE, THAT MUST BE THE BETTER DEAL!!! The flip side is that acquisitions and announcements are one thing, while delivering products is quite another. John Chambers was, after all, a salesman for much of his career. HERE IS THE DIFFERENCE BETWEEN CHAMBERS AND ROTH. ROTH HAS BEEN BUILDING NETWORKS FOR THE MOST DEMANDING CUSTOMERS WHILE CHAMBERS HAS BEEN "SELLING" TO THE OFFICE MANAGERS AND MIS GUYS.