Behind The Hype At Cisco

from the how-stable-are-they? dept

I sense a pattern. Since the surprise collapse of Enron, there have been a ton of financial analysis articles about other companies looking carefully (and challenging them) on their accounting practices. The latest is just such an article all about what’s going on at Cisco. While they say clearly that they don’t think Cisco is going to be another Enron, they’re clearly concerned about some of their accounting practices. I think these business and financial magazines just don’t want to be accused of being caught off guard again. This way, if any of these companies do stumble, they can point to their article and say “see? we knew this would happen!”. The fact is that all companies hide stuff with their accounting practices. Anyone who trusts financial reports as being an accurate representation of how a company is really doing is in for trouble (in both good times and bad – though the glaring critical eye only seems to show up in bad times).


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Comments on “Behind The Hype At Cisco”

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3 Comments
pam says:

Cisco

I completely agree with you regarding pointing fingers in bad times……..Cisco has been and continues to be an outstanding company in practice and product. Cisco has nothing to hide…..It is a company trying to do the right thing in poor economic times……. Chambers is a brilliant man. Carter is an extremely conservative CFO the industry knows that… But selling a good story on Cisco after Enron does not sell copies of a magazine. It is also disturbing how these so call analysts (some only having less than 5 year experience) can come up these strong inaccurate industry altering recommendations with limited foundation. YET the masses glab onto this information and just by association thing then happen according to the analysts predictions.

How about an article that focuses on the good of all companies…..
Just remember dirt sells…….and who got paid for the negative article on the big company.

We all know that analysts get paid off all the time.

I have friends who are analyst and they brag about all the perks they get for good word or bad word again the other company to boost another competitors stock price…..
But the problem is proof is hard to find.

Lets see an article about analysts and how they operate with big corporation..

No name says:

Re: Cisco

This is from Business weekely

Howard Schilit, a former American University accounting professor, has been dubbed “the Sherlock Holmes of accounting.” As the director of the Maryland-based Center for Financial Research & Analysis, he and his team of forensic accountants attempt to unravel financial results for major investors.

Does being former American university accounting professor make him ” GOD of accounting?
Or is he getting the big bucks and found a nich for himself to make money on bad mouthing Cisco’s accounting practices.

Oh lets see Howard Schilit says he thinks Cisco accounting is bad? so it is.?…. he doesn’t know anything the only people who know the complete story is the CFO Carter and the Cisco staff. And if you have questions then call Cisco and become involved with your investments instead of listening to fools and reading once sided articles.

This is the reality

Howard Schilit is no better than any other accountant he just god paid for his opinion and someone is making money on “THE STORY”

What a great Cover story on the front of Business Weekly. Everyone getting looking for a magazine in an Airport Sees Cisco’s name and possible dirt and guess what…. SOLD another magazine is sold to find out the dirt on Cisco. A widely help company and name everyone knows.

Anonymous Coward says:

No Subject Given

This is from Business weekely

Howard Schilit, a former American University accounting professor, has been dubbed “the Sherlock Holmes of accounting.” As the director of the Maryland-based Center for Financial Research & Analysis, he and his team of forensic accountants attempt to unravel financial results for major investors.

Does being former American university accounting professor make him ” GOD of accounting?
Or is he getting the big bucks and found a nich for himself to make money on bad mouthing Cisco’s accounting practices.

Oh lets see Howard Schilit says he thinks Cisco accounting is bad? so it is.?…. he doesn’t know anything the only people who know the complete story is the CFO Carter and the Cisco staff. And if you have questions then call Cisco and become involved with your investments instead of listening to fools and reading once sided articles.

This is the reality

Howard Schilit is no better than any other accountant he just god paid for his opinion and someone is making money on “THE STORY”

What a great Cover story on the front of Business Weekly. Everyone getting looking for a magazine in an Airport Sees Cisco’s name and possible dirt and guess what…. SOLD another magazine is sold to find out the dirt on Cisco. A widely help company and name everyone knows.

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