CISCO SYSTEMS, INC. (CSCO) vs. ORACLE CORP (ORCL) Stock Comparison & Valuation | Edwyn

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CISCO SYSTEMS, INC. (CSCO) vs. ORACLE CORP (ORCL) Stock Comparison & Valuation | Edwyn

Updated 2026-04-15 14:30 UTC

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CSCO appears modestly undervalued versus ORCL on equity multiples (~22% upside to ORCL-implied P/E) while showing strong quality scores, though fundamentals are mixed.

Actionable Takeaway

If you believe CSCO will be rerated closer to ORCL's P/E multiple (driven by investor willingness to pay for relative earnings quality and comparable growth), then buy CSCO (current $82.63) because ORCL-implied P/E implies a $101.00 price (~22.2% upside) and CSCO shows strong quality (F-Score 8/9, Altman Z 3.38) to support a rerating.

CSCO trades at $82.63 with an implied P/E-based price of $101.00 (22.2% upside) versus ORCL, reflecting a meaningful equity-multiple discount. The gap is driven by ORCL's higher P/E and P/S but is tempered by CSCO's cheaper P/S and P/E relative to some enterprise multiples where CSCO looks expensive.

Supporting Metrics

Key Risks

ORCL's superior EBITDA margin (47.5% vs CSCO 24.8%) and higher net income ($12.4B vs $10.2B) could justify a persistent premium (metric: EBITDA Margin, Net Income)
ROIC disparity (295.5% for ORCL vs 19.4% for CSCO) suggests ORCL may be structurally more capital efficient and could sustain valuation premium (metric: ROIC)
EV/EBITDA positioning: CSCO's higher EV/EBITDA (24.2x vs ORCL 17.2x) implies limited upside if enterprise-value based multiples reassert, especially given ORCL's net cash position (metric: EV/EBITDA and Net Debt/EBITDA)