Cisco Systems Inc (CSCO) is overvalued and Motorola Solutions Inc (MSI) is undervalued.
Against our estimates of intrinsic value, MSI trades at the wider discount: a margin of safety of +24%, against -101% for CSCO.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.7% (average of 3 methods) values the shares at $53.03; the price of $106.44 is 101% above that value, and 73% of that value comes from beyond year five.
Leak Score 44/100 on 10 of 12 signals
A 8.8x revenue multiple, adjusted for growth and margin, values the shares at $602.32; the price of $456.70 is 24% below that value.
Leak Score 90/100 on 9 of 12 signals
| Metric | CSCO | MSI |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $106.44 | $456.70 |
| Intrinsic value | $53.03 | $602.32 |
| Margin of safety | -101% | +24% |
| Leak Score | 44/100 (10/12) | 90/100 (9/12) |
| Market cap | $419.6B | $75.6B |
| Revenue growth, 5 years | 4.9% | 9.5% |
| Operating margin | 25.2% | 25.3% |
| Net margin | 20.9% | 17.4% |
| Return on equity | 27.3% | 92.0% |
| Debt to equity | 0.62 | 3.60 |
| P/E | 32.0x | 36.0x |
| Forward P/E | 19.2x | 23.8x |
| P/B | 8.3x | 28.3x |
| Dividend yield | 1.6% | 1.0% |