Stock Analysis on Net
Stock Analysis on Net

Cisco Systems Inc. (NASDAQ:CSCO)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Beginner level

Two-Component Disaggregation of ROE

Cisco Systems Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = ROA × Financial Leverage
May 1, 2021 25.41% = 10.88% × 2.34
Jan 23, 2021 25.89% = 10.60% × 2.44
Oct 24, 2020 27.42% = 11.01% × 2.49
Jul 25, 2020 29.57% = 11.82% × 2.50
Apr 25, 2020 30.20% = 11.80% × 2.56
Jan 25, 2020 31.11% = 12.22% × 2.54
Oct 26, 2019 31.95% = 11.89% × 2.69
Jul 27, 2019 34.62% = 11.88% × 2.91
Apr 27, 2019 35.91% = 13.59% × 2.64
Jan 26, 2019 31.54% = 12.56% × 2.51
Oct 27, 2018 2.88% = 1.20% × 2.40
Jul 28, 2018 0.25% = 0.10% × 2.52
Apr 28, 2018 -2.72% = -1.11% × 2.44
Jan 27, 2018 -2.78% = -1.10% × 2.53
Oct 28, 2017 14.77% = 7.42% × 1.99
Jul 29, 2017 14.53% = 7.40% × 1.96
Apr 29, 2017 15.29% = 7.94% × 1.93
Jan 28, 2017 15.41% = 7.79% × 1.98
Oct 29, 2016 16.77% = 8.42% × 1.99
Jul 30, 2016 16.89% = 8.83% × 1.91
Apr 30, 2016 16.43% = 8.63% × 1.90
Jan 23, 2016 16.98% = 9.17% × 1.85
Oct 24, 2015 15.98% = 8.57% × 1.86
Jul 25, 2015 15.04% = 7.91% × 1.90
Apr 25, 2015 = × 1.81
Jan 24, 2015 = × 1.82
Oct 25, 2014 = × 1.83

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2021 is the decrease in financial leverage ratio.


Three-Component Disaggregation of ROE

Cisco Systems Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
May 1, 2021 25.41% = 20.92% × 0.52 × 2.34
Jan 23, 2021 25.89% = 21.09% × 0.50 × 2.44
Oct 24, 2020 27.42% = 21.76% × 0.51 × 2.49
Jul 25, 2020 29.57% = 22.75% × 0.52 × 2.50
Apr 25, 2020 30.20% = 21.32% × 0.55 × 2.56
Jan 25, 2020 31.11% = 21.44% × 0.57 × 2.54
Oct 26, 2019 31.95% = 21.15% × 0.56 × 2.69
Jul 27, 2019 34.62% = 22.39% × 0.53 × 2.91
Apr 27, 2019 35.91% = 25.76% × 0.53 × 2.64
Jan 26, 2019 31.54% = 25.31% × 0.50 × 2.51
Oct 27, 2018 2.88% = 2.52% × 0.48 × 2.40
Jul 28, 2018 0.25% = 0.22% × 0.45 × 2.52
Apr 28, 2018 -2.72% = -2.61% × 0.43 × 2.44
Jan 27, 2018 -2.78% = -3.00% × 0.37 × 2.53
Oct 28, 2017 14.77% = 20.26% × 0.37 × 1.99
Jul 29, 2017 14.53% = 20.02% × 0.37 × 1.96
Apr 29, 2017 15.29% = 20.61% × 0.39 × 1.93
Jan 28, 2017 15.41% = 20.24% × 0.38 × 1.98
Oct 29, 2016 16.77% = 21.73% × 0.39 × 1.99
Jul 30, 2016 16.89% = 21.81% × 0.40 × 1.91
Apr 30, 2016 16.43% = 20.72% × 0.42 × 1.90
Jan 23, 2016 16.98% = 20.84% × 0.44 × 1.85
Oct 24, 2015 15.98% = 19.32% × 0.44 × 1.86
Jul 25, 2015 15.04% = 18.27% × 0.43 × 1.90
Apr 25, 2015 = × × 1.81
Jan 24, 2015 = × × 1.82
Oct 25, 2014 = × × 1.83

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2021 is the decrease in financial leverage ratio.


Five-Component Disaggregation of ROE

Cisco Systems Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
May 1, 2021 25.41% = 0.80 × 0.97 × 27.20% × 0.52 × 2.34
Jan 23, 2021 25.89% = 0.80 × 0.96 × 27.40% × 0.50 × 2.44
Oct 24, 2020 27.42% = 0.81 × 0.96 × 28.05% × 0.51 × 2.49
Jul 25, 2020 29.57% = 0.80 × 0.96 × 29.52% × 0.52 × 2.50
Apr 25, 2020 30.20% = 0.75 × 0.96 × 29.73% × 0.55 × 2.56
Jan 25, 2020 31.11% = 0.76 × 0.95 × 29.66% × 0.57 × 2.54
Oct 26, 2019 31.95% = 0.77 × 0.95 × 29.17% × 0.56 × 2.69
Jul 27, 2019 34.62% = 0.80 × 0.94 × 29.73% × 0.53 × 2.91
Apr 27, 2019 35.91% = 0.91 × 0.94 × 29.89% × 0.53 × 2.64
Jan 26, 2019 31.54% = 0.91 × 0.94 × 29.52% × 0.50 × 2.51
Oct 27, 2018 2.88% = 0.09 × 0.94 × 29.67% × 0.48 × 2.40
Jul 28, 2018 0.25% = 0.01 × 0.93 × 28.34% × 0.45 × 2.52
Apr 28, 2018 -2.72% = -0.10 × 0.93 × 27.91% × 0.43 × 2.44
Jan 27, 2018 -2.78% = -0.12 × 0.93 × 28.04% × 0.37 × 2.53
Oct 28, 2017 14.77% = 0.79 × 0.93 × 27.61% × 0.37 × 1.99
Jul 29, 2017 14.53% = 0.78 × 0.93 × 27.39% × 0.37 × 1.96
Apr 29, 2017 15.29% = 0.80 × 0.94 × 27.46% × 0.39 × 1.93
Jan 28, 2017 15.41% = 0.79 × 0.94 × 27.11% × 0.38 × 1.98
Oct 29, 2016 16.77% = 0.83 × 0.95 × 27.50% × 0.39 × 1.99
Jul 30, 2016 16.89% = 0.83 × 0.95 × 27.61% × 0.40 × 1.91
Apr 30, 2016 16.43% = 0.82 × 0.95 × 26.50% × 0.42 × 1.90
Jan 23, 2016 16.98% = 0.83 × 0.95 × 26.26% × 0.44 × 1.85
Oct 24, 2015 15.98% = 0.80 × 0.95 × 25.33% × 0.44 × 1.86
Jul 25, 2015 15.04% = 0.80 × 0.95 × 23.94% × 0.43 × 1.90
Apr 25, 2015 = × × × × 1.81
Jan 24, 2015 = × × × × 1.82
Oct 25, 2014 = × × × × 1.83

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2021 is the decrease in financial leverage ratio.


Two-Component Disaggregation of ROA

Cisco Systems Inc., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Net Profit Margin × Asset Turnover
May 1, 2021 10.88% = 20.92% × 0.52
Jan 23, 2021 10.60% = 21.09% × 0.50
Oct 24, 2020 11.01% = 21.76% × 0.51
Jul 25, 2020 11.82% = 22.75% × 0.52
Apr 25, 2020 11.80% = 21.32% × 0.55
Jan 25, 2020 12.22% = 21.44% × 0.57
Oct 26, 2019 11.89% = 21.15% × 0.56
Jul 27, 2019 11.88% = 22.39% × 0.53
Apr 27, 2019 13.59% = 25.76% × 0.53
Jan 26, 2019 12.56% = 25.31% × 0.50
Oct 27, 2018 1.20% = 2.52% × 0.48
Jul 28, 2018 0.10% = 0.22% × 0.45
Apr 28, 2018 -1.11% = -2.61% × 0.43
Jan 27, 2018 -1.10% = -3.00% × 0.37
Oct 28, 2017 7.42% = 20.26% × 0.37
Jul 29, 2017 7.40% = 20.02% × 0.37
Apr 29, 2017 7.94% = 20.61% × 0.39
Jan 28, 2017 7.79% = 20.24% × 0.38
Oct 29, 2016 8.42% = 21.73% × 0.39
Jul 30, 2016 8.83% = 21.81% × 0.40
Apr 30, 2016 8.63% = 20.72% × 0.42
Jan 23, 2016 9.17% = 20.84% × 0.44
Oct 24, 2015 8.57% = 19.32% × 0.44
Jul 25, 2015 7.91% = 18.27% × 0.43
Apr 25, 2015 = ×
Jan 24, 2015 = ×
Oct 25, 2014 = ×

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the increase in return on assets ratio (ROA) over Q3 2021 is the increase in asset turnover ratio.


Four-Component Disaggregation of ROA

Cisco Systems Inc., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
May 1, 2021 10.88% = 0.80 × 0.97 × 27.20% × 0.52
Jan 23, 2021 10.60% = 0.80 × 0.96 × 27.40% × 0.50
Oct 24, 2020 11.01% = 0.81 × 0.96 × 28.05% × 0.51
Jul 25, 2020 11.82% = 0.80 × 0.96 × 29.52% × 0.52
Apr 25, 2020 11.80% = 0.75 × 0.96 × 29.73% × 0.55
Jan 25, 2020 12.22% = 0.76 × 0.95 × 29.66% × 0.57
Oct 26, 2019 11.89% = 0.77 × 0.95 × 29.17% × 0.56
Jul 27, 2019 11.88% = 0.80 × 0.94 × 29.73% × 0.53
Apr 27, 2019 13.59% = 0.91 × 0.94 × 29.89% × 0.53
Jan 26, 2019 12.56% = 0.91 × 0.94 × 29.52% × 0.50
Oct 27, 2018 1.20% = 0.09 × 0.94 × 29.67% × 0.48
Jul 28, 2018 0.10% = 0.01 × 0.93 × 28.34% × 0.45
Apr 28, 2018 -1.11% = -0.10 × 0.93 × 27.91% × 0.43
Jan 27, 2018 -1.10% = -0.12 × 0.93 × 28.04% × 0.37
Oct 28, 2017 7.42% = 0.79 × 0.93 × 27.61% × 0.37
Jul 29, 2017 7.40% = 0.78 × 0.93 × 27.39% × 0.37
Apr 29, 2017 7.94% = 0.80 × 0.94 × 27.46% × 0.39
Jan 28, 2017 7.79% = 0.79 × 0.94 × 27.11% × 0.38
Oct 29, 2016 8.42% = 0.83 × 0.95 × 27.50% × 0.39
Jul 30, 2016 8.83% = 0.83 × 0.95 × 27.61% × 0.40
Apr 30, 2016 8.63% = 0.82 × 0.95 × 26.50% × 0.42
Jan 23, 2016 9.17% = 0.83 × 0.95 × 26.26% × 0.44
Oct 24, 2015 8.57% = 0.80 × 0.95 × 25.33% × 0.44
Jul 25, 2015 7.91% = 0.80 × 0.95 × 23.94% × 0.43
Apr 25, 2015 = × × ×
Jan 24, 2015 = × × ×
Oct 25, 2014 = × × ×

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the increase in return on assets ratio (ROA) over Q3 2021 is the increase in efficiency measured by asset turnover ratio.


Disaggregation of Net Profit Margin

Cisco Systems Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel LibreOffice Calc
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
May 1, 2021 20.92% = 0.80 × 0.97 × 27.20%
Jan 23, 2021 21.09% = 0.80 × 0.96 × 27.40%
Oct 24, 2020 21.76% = 0.81 × 0.96 × 28.05%
Jul 25, 2020 22.75% = 0.80 × 0.96 × 29.52%
Apr 25, 2020 21.32% = 0.75 × 0.96 × 29.73%
Jan 25, 2020 21.44% = 0.76 × 0.95 × 29.66%
Oct 26, 2019 21.15% = 0.77 × 0.95 × 29.17%
Jul 27, 2019 22.39% = 0.80 × 0.94 × 29.73%
Apr 27, 2019 25.76% = 0.91 × 0.94 × 29.89%
Jan 26, 2019 25.31% = 0.91 × 0.94 × 29.52%
Oct 27, 2018 2.52% = 0.09 × 0.94 × 29.67%
Jul 28, 2018 0.22% = 0.01 × 0.93 × 28.34%
Apr 28, 2018 -2.61% = -0.10 × 0.93 × 27.91%
Jan 27, 2018 -3.00% = -0.12 × 0.93 × 28.04%
Oct 28, 2017 20.26% = 0.79 × 0.93 × 27.61%
Jul 29, 2017 20.02% = 0.78 × 0.93 × 27.39%
Apr 29, 2017 20.61% = 0.80 × 0.94 × 27.46%
Jan 28, 2017 20.24% = 0.79 × 0.94 × 27.11%
Oct 29, 2016 21.73% = 0.83 × 0.95 × 27.50%
Jul 30, 2016 21.81% = 0.83 × 0.95 × 27.61%
Apr 30, 2016 20.72% = 0.82 × 0.95 × 26.50%
Jan 23, 2016 20.84% = 0.83 × 0.95 × 26.26%
Oct 24, 2015 19.32% = 0.80 × 0.95 × 25.33%
Jul 25, 2015 18.27% = 0.80 × 0.95 × 23.94%
Apr 25, 2015 = × ×
Jan 24, 2015 = × ×
Oct 25, 2014 = × ×

Based on: 10-Q (filing date: 2021-05-25), 10-Q (filing date: 2021-02-16), 10-Q (filing date: 2020-11-17), 10-K (filing date: 2020-09-03), 10-Q (filing date: 2020-05-18), 10-Q (filing date: 2020-02-18), 10-Q (filing date: 2019-11-19), 10-K (filing date: 2019-09-05), 10-Q (filing date: 2019-05-21), 10-Q (filing date: 2019-02-19), 10-Q (filing date: 2018-11-20), 10-K (filing date: 2018-09-06), 10-Q (filing date: 2018-05-22), 10-Q (filing date: 2018-02-20), 10-Q (filing date: 2017-11-21), 10-K (filing date: 2017-09-07), 10-Q (filing date: 2017-05-23), 10-Q (filing date: 2017-02-21), 10-Q (filing date: 2016-11-22), 10-K (filing date: 2016-09-08), 10-Q (filing date: 2016-05-24), 10-Q (filing date: 2016-02-18), 10-Q (filing date: 2015-11-19), 10-K (filing date: 2015-09-08), 10-Q (filing date: 2015-05-20), 10-Q (filing date: 2015-02-18), 10-Q (filing date: 2014-11-20).

The primary reason for the decrease in net profit margin ratio over Q3 2021 is the decrease in operating profitability measured by EBIT margin ratio.