Shares of Cisco rival Juniper Networks (NasdaqGS: JNPR), 8.7% of IGN’s weight, are up 12.6%. Brocade (NasdaqGS: BRCD) and JDS Uniphase (NasdaqGS: JDSU) may never again party like it’s 1999, but those stocks are up 15.6% and 8.7%, respectively, year-to-date. The pair combine for almost 9% of IGN’s weight.
IGN offers other attributes. For example, Cisco’s dividend has more than doubled in just two years. Qualcomm’s payout has more than doubled over the past four years, indicating that there is not only some degree of safety in old school tech stocks compared to higher beta names, but compensation as well. [Tech ETFs: Dividend Darlings]
IGN’s P/E is 29.2 with a price-to-book ratio of 3.74. The ETF’s beta against the S&P 500 is 0.43 with a three-year standard deviation of 20.6%, according to iShares data. The iShares Nasdaq Biotechnology ETF (NasdaqGS: IBB) has a price-to-book ratio of almost 10 and its beta is more than double that of IGN’s.
iShares North American Tech-Multimedia Networking ETF
Tom Lydon’s clients own shares of Cisco.