In a bull market seemingly made up of influential technology stocks, not all companies of that caliber have enjoyed 2020’s new socially distanced normal. Cisco Systems (NASDAQ:CSCO) and its shareholders can attest as much. But has the time finally come to buy Cisco stock? Let’s examine what’s happening off and on the price chart, then offer a risk-adjusted determination in alignment with those findings.
Despite September’s market correction, it’s not exactly a secret the large-cap, tech-heavy Nasdaq Composite index has been a great spot to invest this year. The leadership of course has been the byproduct of muscular rallies in trillion-dollar-plus outfits and rising growth stock stars. Apple (NASDAQ:AAPL). Microsoft (NASDAQ:MSFT). Amazon (NASDAQ:AMZN) and others, as well as dizzyingly powerful gains from growth juggernauts such as Tesla (NASDAQ:TSLA) and Zoom Video (NASDAQ:ZM) are the much lauded suspects.
It is what it is. There’s also no arguing those companies’ products and services, now more than ever, have proven essential amid the novel coronavirus pandemic. Well, maybe not Tesla. Still, it would be foolhardy for investors to think they can simply throw a dart at the wall covered with blue-chip tech stocks and expect to hit a bullseye.
Not the End of Days for Cisco Stock
Cisco investors are painfully aware of this fact. On the year — and in the face of the Nasdaq being up nearly 24% or against AAPL stock’s burly 55% return — CSCO shares are down roughly 5%. The other truth facing Cisco stock holders are the company’s networking and security services haven’t proven wholly critical amid