A Network To Rely Upon

A Network To Rely Upon

The Cisco Systems logo is displayed at the Mobile World Congress (MWC) in Barcelona on February 25, ... [+] 2019. - Phone makers will focus on foldable screens and the introduction of blazing fast 5G wireless networks at the world's biggest mobile fair starting February 25 in Spain as they try to reverse a decline in sales of smartphones. (Photo by GABRIEL BOUYS / AFP) (Photo credit should read GABRIEL BOUYS/AFP via Getty Images) While economists warn of the possibility of an impending recession, investors should focus on putting their money in the stocks of companies with enduring business models that generate significant free cash flow and offer an attractive yield. Cisco Systems, Inc. (CSCO) fits the bill and is this week's Long Idea. Focus on Free Cash Flow in a Stormy Market While money moves away from profitless growth stories, investors can find safety and value with companies, such as Cisco, that generate strong, consistent free cash flow (FCF). Companies that generate healthy amounts of FCF are better equipped than others to navigate challenging macro environments. Cisco generated $40. 8 billion (19% of market cap) in cumulative FCF over the past five years, and $74. 0 billion (35% of