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A Look at the Top 5 Communication Equipment Stocks

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Cisco Systems leads the communication equipment space

In this series, we’ll look at the top five players in the communication equipment space, comparing their market capitalization, earnings growth, margins, level of debt, dividend yields, and valuation.

Cisco Systems (CSCO) is the largest communication equipment company in the world, with a market cap of approximately $161 billion and an enterprise value of $124 billion. A company’s market cap is calculated by multiplying its total outstanding shares by its current stock price.

Enterprise value (or EV) is considered a more comprehensive way to calculate a company’s total value. EV is market cap plus debt, preferred shares, and minority interest minus cash and cash equivalents.

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Other players

Nokia (NOK) has a market cap of $36.5 billion and EV of $32.6 billion, Ericsson (ERIC) has a market cap of $19.2 billion and EV of $19.1 billion, and Harris (HRS) has a market cap of $15.4 billion and EV of $18.9 billion. Motorola Solutions (MSI) is the fifth-largest communication equipment company, with a market cap of $14 billion and EV of $17.6 billion.

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