Networking and communications device provider Cisco Systems (NASDAQ:CSCO) is set to transmit fourth-quarter and full-year results on Tuesday. If all goes according to plan, the company will continue its double-digit ways, with strong sales and cash flow. Below is some data to get Fools up to speed on what to expect. 

What analysts say:

  • Buy, sell, or waffle? Thirty-one analysts follow Cisco. Twenty-three are bullish, seven have a hold rating, and one believes investors should sell the stock.
  • Revenue. Analysts on average expect $9.3 billion in fourth-quarter sales, or about 17% more than last year's fourth-quarter sales. 
  • Earnings. Analysts project quarterly earnings of $0.35, or almost 17% growth from last year's quarter.

What management says:
Back when Cisco released third-quarter results in May, management didn't offer specific forward guidance, but CEO John Chambers did say, "Our success is based on the ability to foresee market transitions, which has enabled us to deliver the right products for today's market opportunities and prepares us to take advantage of new opportunities in the future." 

What management does:
Except for a short-term blip after the bursting of the dot-com bubble, Cisco has a stellar growth track record. The five-year record is average because it includes difficulties encountered in 2002, but Cisco has still managed to grow sales and earnings close to 20% annually over the past decade. It has also returned to growth over the past three years, expanding sales, earnings, and cash flow at around a 14% annual clip. And as can be seen in the chart, impressive net margins lead to generating prodigious capital with which to buy back stock, make acquisitions, and maintain the existing business. 

Margins

01/06

04/06

07/06

10/06

01/07

04/07

Gross

67.7%

67.2%

66.4%

65.5%

64.6%

64.4%

Operating

29.9%

29.3%

28.8%

28.2%

27.8%

27.8%

Net

21.5%

20.6%

19.6%

19.7%

20.3%

20.8%
All data courtesy of Capital IQ, a division of Standard & Poor's. Data reflects trailing-12-month performance for the quarters ended in the named months.

One Fool says:
Fellow Fool Anders Bylund recently pointed out that Cisco is bearing the fruits of decisions it made three to seven years ago on where the market was heading. And according to Chambers, "We are in the midst of a unique market transition, where all of the action is going to the network and our vision for the network as a platform for all forms of communications and IT has become a reality."

Cisco is definitely unique in how it has been able to anticipate market trends and work them to its advantage. As a result, it dwarfs archrivals such as Juniper Networks (NASDAQ:JNPR), Foundry Networks (NASDAQ:FDRY), Sycamore Networks (NASDAQ:SCMR), and 3Com (NASDAQ:COMS). It has also been able to inflict a certain amount of pain on traditional telecom providers such as Nortel (NYSE:NT) and Alcatel-Lucent (NYSE:ALU).  Investors will soon learn if Cisco extended its lead for the fourth quarter and all of fiscal 2007.

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Fool contributor Ryan Fuhrmann is long shares of Cisco but has no financial interest in any other company mentioned. Feel free to email him with feedback or to discuss any companies mentioned further. The Fool has an ironclad disclosure policy.