Cisco (CSCO)

He has owned this for years. His model price is $48.96. He believes in blockchain technology and this company will profit from it. Chinese competitors have a security issue disadvantage compared to this one. From all perspectives he thinks this is a great investment. Yield 3.0%. (Analysts’ price target is $48.42 )

Has US$35 billion in net cash. Raised their dividend 14% recently and he foresees double-digit increases for years to come. They're number one for 20 years in their four major businesses. A major player in cyber security. Well-managed company which keeps buying back stock and increasing their dividend. They will repatriate a large part of its cash. (Analysts' price target $48.30)

Pre-Huawei and ZTE, Cisco was the pre-eminent company. Cisco will be cut off from China, due to Trump's China tariffs. This stock will fall away, though cooler heads will prevail between the US and China. Watch this. There could be an entry point later.

He thinks this “old-tech” company is finally coming alive and likes the valuation. He is up 90% in his fund holdings. They had a healthy write-off last quarter. Blockchain will be good for this company. His model value is $50.86. Yield 2.9%. (Analysts’ price target is $47.87 )

It's cheap for a tech stock. Has growth opportunity but not too aggressive. Has USD$70 billion cash, will repatriate cash, buy back stock and raise dividends. There's good news for the coming year, though she doesn't love it for the next five years. They will make acquisitions for growth. (Analysts’ price target is $47.87.)

He seems them have a good position in the block-chain technology race. He thinks this new form of technology will become bigger than the internet itself and is thinking a big upgrade in valuations could be coming for these companies. Yield 3.1%. (Analysts’ price target is $47.71 )

Long-term prospects are improving. As broadband demand grows, Cisco will certainly benefit. Dividend is nice, but he'd be just as happy if they reinvested that money. Likes it. Overall, likes Cisco.

Likes it. Return of capital to shareholders is positive. If you surf the internet, you're going to somehow use their services. In past quarters have moved revenue from hardware to service side, so this transition will bode well long-term. Just released earnings look strong with solid long-term outlook.

Has increased software sales which boosted share price. He sold a month ago. Valuation still good. Will have cash from U.S. tax bill. Still a good company.

(A Top Pick Nov 24/16. Up 48%.) Has held this for years, and it is finally starting to deliver some returns to shareholders. It is still an incredibly cheap stock, trading at way below the market multiple, with $35 billion of net cash on the balance sheet. They'll be raising their dividend by 10% a year until the cows come home.

Has owned this since 2012. There was a lot of fear on their switches and networking being old technology and their business was going to get destroyed. However, Cisco has managed this before. They take their installed base and then pivot to where the industry is going. Instead of selling switches and routers to IT people, they do consulting as to what is actually needed. They are selling a solution, as opposed to just a piece of hardware. Has done a good job on holding growth margins above 60%. The valuation is still attractive.

This had a positive transit of EBV +4. It makes new highs every day. His model price is $52.01, a 30% upside from here. If Blockchain is as big as they say it is going to be, this company has a chance of upgrading everyone's system to blockchain. Dividend yield of 2.9%. (Analysts' price target is $40.)

(A Top Pick Sept 27/16. Up 33%.) They had done so much in acquisitions, and is not sure how the digestion of all of that is going to go. Sold it, but would consider getting back in, but wants more clarity as to where they are going and how the transition from switches and routers to software is going.

He would be a little cautious. It was amongst the 1st wave of technology stocks. They dominated in the hardware of switches and routers. They’re trying to reinvent themselves, but as a big ship, it is going to be very tough to turn. The fundamentals have been relatively flat in terms of revenue growth and earnings growth. The company has gotten on the valuation escalator i.e., as people become more positive about the company, they bid it up to the point where the valuation rises, with a higher P, but with a similar E. That can only go on so long.

(Market Call Minute.) The chart on this looks great and it is in the right theme. Capital spending will be the name of the game next year. This is one he would buy.