Avoid FAANG Stocks, Invest in Cisco

J.P. Morgan is the latest Wall Street firm to recommend Cisco Systems, saying in a note on Thursday that investors trying to protect themselves from the trade war should look to the stock as a technology company with little exposure in China.

The nod from J.P. Morgan comes after Bank of America highlighted Cisco’s “relatively low exposure to China,” especially when compared to the other biggest tech stocks. Known as FAANG – Facebook, Apple, Amazon, Netflix and Google-parent Alphabet – the top tech stocks have been among the hardest hit by the heightened trade risk from China, falling 5% to 11% this month.

Cisco shares have risen 4.3% this month, by comparison. Both J.P. Morgan and Bank of America see upside in part due to Cisco’s limited exposure to China, as well as improving overall prospects. Only 3.3% of Cisco’s revenue comes from China, according to FactSet. The average revenue from China among FAANG companies is 7.5% – although that is heavily influenced by Apple and Netflix. The two tech giants respectively bring in 18.3% and 10.3% of total revenues from China.

Read the full article at CNBC.

Don’t Stop Here

More To Explore

The Hottest Graphene Stocks To Watch In 2025

Forbes predicts this may be the next “multibillion-dollar material”… while Bloomberg says “this material will change the world”. The biggest technological advances in the future

Top Graphene Stocks For 2025

Graphene is an excellent conductor of electricity and heat, surpassing traditional materials like silicon, and it possesses exceptional mechanical strength, being hundreds of times stronger