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CSCO vs. NFLX: A Head-to-Head Stock Comparison

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Here’s a clear look at CSCO and NFLX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolCSCONFLX
Company NameCisco Systems, Inc.Netflix, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyCommunication Services
GICS IndustryCommunications EquipmentEntertainment
Market Capitalization271.78 billion USD514.42 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateFebruary 16, 1990May 23, 2002
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CSCO and NFLX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CSCO vs. NFLX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCSCONFLX
5-Day Price Return1.33%-3.09%
13-Week Price Return-0.51%-9.49%
26-Week Price Return11.97%19.88%
52-Week Price Return29.18%65.09%
Month-to-Date Return0.48%-2.34%
Year-to-Date Return16.13%31.37%
10-Day Avg. Volume21.60M3.09M
3-Month Avg. Volume19.74M3.12M
3-Month Volatility18.80%25.53%
Beta0.871.73

Profitability

Return on Equity (TTM)

CSCO

22.18%

Communications Equipment Industry

Max
32.30%
Q3
20.90%
Median
9.10%
Q1
4.29%
Min
-13.50%

In the upper quartile for the Communications Equipment industry, CSCO’s Return on Equity of 22.18% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

NFLX

42.50%

Entertainment Industry

Max
42.50%
Q3
24.06%
Median
13.69%
Q1
5.35%
Min
-17.95%

In the upper quartile for the Entertainment industry, NFLX’s Return on Equity of 42.50% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

CSCO vs. NFLX: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Net Profit Margin (TTM)

CSCO

17.97%

Communications Equipment Industry

Max
23.65%
Q3
12.56%
Median
5.62%
Q1
2.50%
Min
-3.09%

A Net Profit Margin of 17.97% places CSCO in the upper quartile for the Communications Equipment industry, signifying strong profitability and more effective cost management than most of its peers.

NFLX

24.58%

Entertainment Industry

Max
45.33%
Q3
24.40%
Median
13.94%
Q1
4.28%
Min
-23.67%

A Net Profit Margin of 24.58% places NFLX in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

CSCO vs. NFLX: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

CSCO

20.76%

Communications Equipment Industry

Max
25.23%
Q3
13.72%
Median
6.44%
Q1
3.00%
Min
-10.95%

An Operating Profit Margin of 20.76% places CSCO in the upper quartile for the Communications Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

NFLX

29.51%

Entertainment Industry

Max
41.77%
Q3
28.26%
Median
16.13%
Q1
8.03%
Min
-3.93%

An Operating Profit Margin of 29.51% places NFLX in the upper quartile for the Entertainment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CSCO vs. NFLX: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Profitability at a Glance

SymbolCSCONFLX
Return on Equity (TTM)22.18%42.50%
Return on Assets (TTM)8.37%19.42%
Net Profit Margin (TTM)17.97%24.58%
Operating Profit Margin (TTM)20.76%29.51%
Gross Profit Margin (TTM)64.94%48.49%

Financial Strength

Current Ratio (MRQ)

CSCO

1.00

Communications Equipment Industry

Max
3.33
Q3
2.13
Median
1.55
Q1
1.15
Min
0.91

CSCO’s Current Ratio of 1.00 falls into the lower quartile for the Communications Equipment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

NFLX

1.34

Entertainment Industry

Max
6.76
Q3
4.02
Median
1.55
Q1
0.86
Min
0.38

NFLX’s Current Ratio of 1.34 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

CSCO vs. NFLX: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CSCO

0.60

Communications Equipment Industry

Max
1.44
Q3
0.86
Median
0.53
Q1
0.22
Min
0.00

CSCO’s Debt-to-Equity Ratio of 0.60 is typical for the Communications Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NFLX

0.58

Entertainment Industry

Max
1.54
Q3
0.77
Median
0.16
Q1
0.02
Min
0.00

NFLX’s Debt-to-Equity Ratio of 0.58 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CSCO vs. NFLX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

CSCO

22.76

Communications Equipment Industry

Max
55.49
Q3
34.19
Median
7.59
Q1
3.73
Min
-9.94

CSCO’s Interest Coverage Ratio of 22.76 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

NFLX

23.05

Entertainment Industry

Max
87.17
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

NFLX’s Interest Coverage Ratio of 23.05 is positioned comfortably within the norm for the Entertainment industry, indicating a standard and healthy capacity to cover its interest payments.

CSCO vs. NFLX: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolCSCONFLX
Current Ratio (MRQ)1.001.34
Quick Ratio (MRQ)0.911.34
Debt-to-Equity Ratio (MRQ)0.600.58
Interest Coverage Ratio (TTM)22.7623.05

Growth

Revenue Growth

CSCO vs. NFLX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CSCO vs. NFLX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CSCO

2.37%

Communications Equipment Industry

Max
8.13%
Q3
3.29%
Median
0.94%
Q1
0.00%
Min
0.00%

CSCO’s Dividend Yield of 2.37% is consistent with its peers in the Communications Equipment industry, providing a dividend return that is standard for its sector.

NFLX

0.00%

Entertainment Industry

Max
2.90%
Q3
1.29%
Median
0.59%
Q1
0.00%
Min
0.00%

NFLX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

CSCO vs. NFLX: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

CSCO

63.23%

Communications Equipment Industry

Max
111.16%
Q3
70.91%
Median
30.78%
Q1
0.00%
Min
0.00%

CSCO’s Dividend Payout Ratio of 63.23% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

NFLX

0.00%

Entertainment Industry

Max
82.30%
Q3
38.45%
Median
29.74%
Q1
0.00%
Min
0.00%

NFLX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

CSCO vs. NFLX: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Dividend at a Glance

SymbolCSCONFLX
Dividend Yield (TTM)2.37%0.00%
Dividend Payout Ratio (TTM)63.23%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

CSCO

26.70

Communications Equipment Industry

Max
103.74
Q3
61.65
Median
26.20
Q1
18.12
Min
4.19

CSCO’s P/E Ratio of 26.70 is within the middle range for the Communications Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

NFLX

48.49

Entertainment Industry

Max
92.09
Q3
54.51
Median
28.92
Q1
19.75
Min
2.96

NFLX’s P/E Ratio of 48.49 is within the middle range for the Entertainment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

CSCO vs. NFLX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

CSCO

4.80

Communications Equipment Industry

Max
6.86
Q3
6.24
Median
2.44
Q1
1.02
Min
0.48

CSCO’s P/S Ratio of 4.80 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NFLX

11.92

Entertainment Industry

Max
12.34
Q3
7.67
Median
5.06
Q1
2.72
Min
0.67

NFLX’s P/S Ratio of 11.92 is in the upper echelon for the Entertainment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

CSCO vs. NFLX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

CSCO

5.74

Communications Equipment Industry

Max
6.28
Q3
5.73
Median
3.32
Q1
2.02
Min
0.42

CSCO’s P/B Ratio of 5.74 is in the upper tier for the Communications Equipment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

NFLX

22.84

Entertainment Industry

Max
22.84
Q3
10.54
Median
6.60
Q1
2.30
Min
0.65

NFLX’s P/B Ratio of 22.84 is in the upper tier for the Entertainment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

CSCO vs. NFLX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and Entertainment industry benchmarks.

Valuation at a Glance

SymbolCSCONFLX
Price-to-Earnings Ratio (TTM)26.7048.49
Price-to-Sales Ratio (TTM)4.8011.92
Price-to-Book Ratio (MRQ)5.7422.84
Price-to-Free Cash Flow Ratio (TTM)20.4558.46