Combined with the fact that profit margins continuing to expand and Cisco's core routing business still showing signs of life, it's tough to ignore the buying opportunity this selloff in the stock has created. Cisco shares are now priced attractively at just 12 times fiscal 2017 estimates of $2.43 per share, which is a five-point discount to the S&P 500 Index.

Assuming the stock was priced on par with the rest of the market, it would trade today at around $37, or 23% higher than current levels. On top of that, Cisco's 26-cent per share quarterly dividend yields a robust 3.28% annually, besting the 2.00% average yield paid out by companies in the S&P 500 Index.