Cisco Systems vs Nutanix Which Is More Profitable?

Cisco Systems and Nutanix are two prominent players in the tech industry, each offering cutting-edge solutions in networking and cloud computing. As the stock market continues to fluctuate, investors are eyeing these companies closely to determine which may be the more lucrative investment. Cisco Systems, with a long-standing reputation and a wide range of products and services, has shown consistency in its stock performance. On the other hand, Nutanix, a relatively newer player in the industry, has been making waves with its innovative approach to cloud computing. The competition between these two stocks is heating up, leaving investors eager to see which one will come out on top.

Cisco Systems or Nutanix?

When comparing Cisco Systems and Nutanix, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Cisco Systems and Nutanix.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Cisco Systems has a dividend yield of 2.71%, while Nutanix has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Cisco Systems reports a 5-year dividend growth of 3.90% year and a payout ratio of 61.86%. On the other hand, Nutanix reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Cisco Systems P/E ratio at 22.86 and Nutanix's P/E ratio at -143.52. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Cisco Systems P/B ratio is 5.19 while Nutanix's P/B ratio is -24.59.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Cisco Systems has seen a 5-year revenue growth of 0.37%, while Nutanix's is 0.13%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Cisco Systems's ROE at 22.60% and Nutanix's ROE at 19.19%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $58.43 for Cisco Systems and $71.10 for Nutanix. Over the past year, Cisco Systems's prices ranged from $44.50 to $59.38, with a yearly change of 33.44%. Nutanix's prices fluctuated between $38.60 and $73.69, with a yearly change of 90.91%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.