EMC vs Cisco Systems Which Is More Reliable?

EMC Corporation and Cisco Systems are two prominent players in the technology industry, specifically in the realm of data storage and networking. Both companies have experienced fluctuations in their stock prices over the years, with investors closely monitoring their performance. EMC's focus on data storage solutions and Cisco's strength in networking hardware and software have positioned them as key competitors in the market. This analysis will delve into the historical performance and future outlook of EMC vs Cisco stocks, providing insights for potential investors.

EMC or Cisco Systems?

When comparing EMC and Cisco Systems, 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 EMC and Cisco Systems.

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. EMC has a dividend yield of -%, while Cisco Systems has a dividend yield of 2.71%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. EMC reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Cisco Systems reports a 5-year dividend growth of 3.90% year and a payout ratio of 68.09%.

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 EMC P/E ratio at -2.53 and Cisco Systems's P/E ratio at 24.90. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. EMC P/B ratio is 0.74 while Cisco Systems's P/B ratio is 5.17.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, EMC has seen a 5-year revenue growth of -0.81%, while Cisco Systems's is 0.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with EMC's ROE at -32.11% and Cisco Systems's ROE at 20.56%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ฿0.07 for EMC and $58.38 for Cisco Systems. Over the past year, EMC's prices ranged from ฿0.04 to ฿0.12, with a yearly change of 200.00%. Cisco Systems's prices fluctuated between $44.50 and $60.23, with a yearly change of 35.35%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.