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

To: Kashish King who wrote (34190)	4/19/2000 12:35:00 PM
From: The Phoenix	Read Replies (1) \| Respond to of 77400

Rod, IF IF IF. I went through this same thing on the COMS thread when I bought that stock to take advantage of the run to the PALM IPO. There were those there telling me that COMS was a turnaround play and that I sould be in for the long term. History told me otherwise. COMS was a poorly run company with a equally poor future. I rode COMS from 25 to 110 and sold... today COMS trades at $40 again. CSCO - history tells us that this company executes and quite successfully. Yes, IF CSCO revenues flatten then perhaps you're right. But historically it hasn't. Yes, as revenues grow it gets more difficult to see huge % growth - agreed... but CSCO did around $8B in FY98 - $12B last FY and will likely do close to $20B this fiscal year. Looks like pretty good growth (These numbers are from memory so I might be a touch off.) CSCO continue to dominate the enterprise market (CS and COMS just exited providing more opportunities for CSCO - not less). The newcomers - JNPR, FDRY, ATON, SCMR are almost exclusively focused on the service provider market so CSCO has a pretty clear sail in the enterprise. Today however CSCO has a very small percentage of the service provider market and if this doubles every year for the next 5 years CSCO will still be perhaps 10% of that market - read this as lots of room to grow. If you assume 20% growth in the enterprise and doubling in the service provider space (which is easy to accept given the build out here and overseas) then I think its' reasonable to assume CSCO continues to grow revenues quite well... and with excellent margins. Your arguments are you don't see CSCO growing. Have you investigated network buildout here and overseas? Have you considered the new internet ecomony - with even brick and mortar companies going to the net? How will the existing infrastructure (at both the SP and the enterprise) support these new requirements? Do you understand the market at all? OG