NEW YORK ( TheStreet) -- After reporting fourth-quarter earnings results, shares of Cisco Systems ( CSCO) are under pressure on Thursday. TheStreet's Jim Cramer told Debra Borchardt it was widely considered to be a good quarter, where Cisco beat earnings estimates.

However, guidance came in a little light and 4,000 job cuts seemed to spook investors. Cramer attributed the stock's large run, up 34% on the year, as the main problem.

He added that after Thursday's selloff, the stock now trades at 12 times earnings, far too low for the current growth. Cisco is a holding in Cramer's charitable trust, Action Alerts PLUS.

Microsoft ( MSFT), Oracle ( ORCL), and International Business Machine ( IBM) all trade near 12 times earnings but are in secular declines, unlike Cisco, which remains in a secular advance, Cramer pointed out.

In regards to the Cisco job cuts, Cramer said the company has been making a lot of acquisitions and that it made sense to trim some positions, otherwise the company would become too bloated.

Along with a 2.8% dividend yield, which is very good for a growth company, Cramer stuck to his earlier call this week that Cisco is a buy on the selloff and would look to purchase shares in the $22 to $23 range.

-- Written by Bret Kenwell in Petoskey, Mich.

Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter. Focuses on short-to-intermediate-term trading opportunities that can be exposed via options. He prefers to use debit trades on momentum setups and credit trades on support/resistance setups. He also focuses on building long-term wealth by searching for consistent, quality dividend paying companies and long-term growth companies. He considers himself the surfer, not the wave, in relation to the market and himself. He has no allegiance to either the bull side or the bear side.

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