CSCO

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved record gross billings of $3.8 billion driven by broad-based organic growth across AI, cloud, data center, and security segments. Transformed into a pure-play technology solutions provider by divesting the domestic financing business to focus resources on high-growth IT markets. Realized significant operating leverage by holding headcount flat while growing net sales by 22.1% and adjusted EBITDA by 49.5%. Experienced a shift in product margins due to a higher proportion of large enterprise sales at competitive rates and a lower mix of revenue recognized on a net basis. Strengthened the services portfolio through the integration of Bailiwick and the expansion of managed offerings for Cisco, Zoom, and Microsoft. Maintained a world-class Net Promoter Score of 74, indicating strong customer loyalty and successful execution of the solutions-led approach. Introduced fiscal year 2027 guidance expecting net sales, gross profit, and adjusted EBITDA to grow in the mid-single digit range. Guidance framework assumes a conservative stance due to difficult year-over-year comparisons and potential headwinds from worldwide memory chip shortages. Anticipates normalization of professional services projects in fiscal 2027 following timing delays with retail customers in the fourth quarter. Strategy focuses on 'land and expand' within large enterprises, aiming to improve margins over time through increased services attachment. Capital allocation priorities include organic hiring, strategic M&A, and returning value via an 8% dividend increase and ongoing share repurchases. Completed the divestiture of the domestic financing business, resulting in a $3 million fair value adjustment charge in the fourth quarter. Identified geopolitical unrest and supply chain lead times for memory chips as primary external risks to the growth trajectory. Reported a net loss from discontinued operations of $400 thousand in the fourth quarter, contrasting with income in the prior year period. Inventory levels decreased to $200.9 million as the company accelerated shipments to large enterprise customers. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained that mid-single...

Cisco Systems, Inc. (NASDAQ:CSCO) is included among the 10 Safe Stocks to Buy for the Long Term in 2026. Ken Wolter / Shutterstock.com On May 26, BofA raised the firm’s price target on Cisco Systems, Inc. (NASDAQ:CSCO) to $135 from $114. It reiterated a Buy rating on the shares. The analyst said Cisco’s recent fiscal Q3 results, along with management’s comments about continued strong demand for Acacia, support a positive view on the underlying demand environment for optical networking. On May 15, HSBC upgraded CSCO to Buy from Hold. It raised its price target on the stock to $137 from $77. As previously reported, the firm said the company delivered a “modest” beat in fiscal Q3, though new AI orders shifted the conversation around future growth. Management expects FY27 AI revenue to reach at least $6B, which implies roughly 50% year-over-year growth, the analyst told investors. HSBC said stronger momentum in AI infrastructure and improved earnings visibility were key reasons behind the rating upgrade and higher price target. Cisco Systems, Inc. (NASDAQ:CSCO) designs and sells a range of technologies that power the internet. The company is integrating its product portfolios across networking, security, collaboration, applications, and cloud services. While we acknowledge the potential of CSCO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Dividend Stock Portfolio For Retirement: Top 12 Stock Picks and 10 Best June Dividend Stocks to Buy Disclosure: None. Follow Insider Monkey on Google News.

The 2026 Q1 earnings cycle is essentially over, though there is a handful of S&P 500 companies yet to report. The AI frenzy has continued to dominate sentiment throughout the period, with favorable demand trends surrounding the buildout leading to record results from several companies, including Cisco Systems CSCO and NVIDIA NVDA. Cisco is positioned to provide critical AI infrastructure with an industry-leading networking portfolio, AI-native security solutions, and operating systems. Sales of $15.8 billion set a record for the company and exceeded the high end of its prior guidance. The company noted broad-based, record-high demand for its technology, with overall product orders growing by a sizable 35% YoY. Importantly, data center switching orders grew 40% from the year-ago period, underpinning its important role amid the buildout. Favorable EPS revisions for its current and next fiscal year have helped land it into a Zacks Rank #2 (Buy). Image Source: Zacks Investment Research NVIDIA again posted robust growth in its latest release, with adjusted EPS of $1.87 more than doubling year-over-year alongside record sales of $81.6 billion that grew 85% from the year-ago period. As expected, Data Center results throughout the period showed that everybody still wants their hands on the magical GPUs. Data Center sales of $75.2 billion again reflected a record, up 92% year-over-year. Near-term EPS revisions continue to show bullishness thanks to the favorable environment, a trend that the company has enjoyed for quite a while now. While shares have slowed a bit relative to what we’ve seen over recent years, the reality remains that the company’s outlook remains robust. Image Source: Zacks Investment Research Bottom Line Both companies above – Cisco Systems CSCO and NVIDIA NVDA – delivered robust earnings releases this cycle, delivering record results thanks to favorable trends stemming from the AI buildout. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Networking stocks got a serious boost this week after Cisco (CSCO) put up a strong fiscal Q3 2026 report. On May 13, the company posted networking revenue of $8.82 billion, up 25%, thanks to heavy spending on AI infrastructure and campus networking gear. The market liked what it saw. Cisco shares jumped between 18% and 22% in after-hours trading, and that enthusiasm spread quickly across the sector. Nokia (NOK) climbed more than 10%, which is notable because the company is starting to shake off its old image as just a legacy telecom business. NVDA Earnings, Alphabet Conference and Other Can't Miss Items this Week Microsoft Stock Is an AI Bargain That Investors Are Missing A $1.5 Trillion Reason to Buy Taiwan Semi Stock Here Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! This wasn't just traders piling into anything networking-related. AI buildouts are picking up speed, with major cloud companies planning to spend hundreds of billions in 2026 to handle larger training clusters and inference workloads. So here's the real question. If Cisco's results show that networking demand is heating up again, does Nokia have what it takes to be the next big winner in this space? Let's dive in. Nokia Corporation, based in Espoo, Finland, has a market value of about $83 billion and builds telecom equipment, optical gear, and network software for carriers, enterprises, and data centers. The Finnish gear maker is positioned to benefit when spending on connectivity, AI, and carrier infrastructure strengthens across global markets. As for the stock, NOK is up about 116% since the year started, 169% gain over the past 52 weeks, and closed at $13.98 on May 15. Even so, the valuation looks a bit rich. It trades at 33.72x trailing earnings and 27.59x cash flow, both above sector medians of 24.52x and 18.01x. Its latest quarterly report, released in March 2026, helped support the bullish view. Nokia posted $0.06 in earnings per share, while sales came in at $5.26 billion, down 25.60% quarter-to-quarter, so revenue was softer even though the company stayed profitable. That same quarter also showed stronger cash generation. Their operating cash flow rose to $578 million, up about 30% from the prior quarter, which suggests the core business was hol...

There's a version of Cisco (CSCO) that Wall Street wrote off years ago — a legacy networking giant stuck in the slow lane while flashier AI names grabbed all the attention. That story is getting harder to tell lately. The 41-year-old multinational technology conglomerate headquartered in California just reported record quarterly revenue of $15.8 billion, up 12% year over year, beating the high end of its own guidance. Non-GAAP earnings per share (EPS) came in at $1.06, ahead of expectations. CEO Chuck Robbins didn't bury the lead. "Cisco delivered record quarterly revenue in Q3, and we saw very strong, broad-based demand for our products," he said in the company’s third-quarter earnings statement, "demonstrating the relevance of our technology for connecting and securing AI." Morgan Stanley was already watching. The firm had been overweight on Cisco for a while, betting on a combination of hyperscaler relationships, an enterprise product cycle, and a networking spend backdrop that was quietly strengthening. The last time Cisco grew at this pace? More than 15 years ago. After this third quarter 2026 (Q32026), Morgan Stanley raised its price target to $120 from $91, in a note shared with me at TheStreet. The single most important number in Cisco's quarter wasn't revenue or EPS. It was the AI orders figure, and it moved dramatically. Coming into Q3, Cisco had guided for roughly $5 billion in AI infrastructure orders for fiscal year 2026 (FY26). After the quarter, that target was raised to $9 billion, according to Cisco’s Q32026 statement. Year-to-date AI orders already stood at $5.3 billion through Q3. My review of the data shows how fast this has moved: FY25 AI orders: $2 billion FY26 AI orders guidance (original): $5 billion FY26 AI orders guidance (revised): $9 billion FY27 AI revenue commitment: At least 50% YoY growth, targeting approximately $6 billion Source: Morgan Stanley note According to the Morgan Stanley note, all five major hyperscalers grew triple digits in AI-related orders. That means the strength is broad, not concentrated in one or two relationships. The firm added five new design wins in Q3 alone — two in optics and three in systems — according to the note. Morgan Stanley flagged one thing worth watching: AI orders totaled $1.9 billion in Q3, down from $2.1 billion in Q2 and $1.8 billion in Q1. The quarterly figure can be lumpy. The company...

The AI trade is splitting between stocks like Cisco, where investors have positioned aggressively on future earnings, versus Intel, where a potential Apple manufacturing deal could change the company’s long-term position in the semiconductor ecosystem. Cisco reported Q2 FY2026 revenue of $15.35B with networking revenue rising 21% year over year and AI infrastructure orders reaching $2.1B. Intel jumped 15% intraday on reports of a preliminary chip manufacturing agreement with Apple, pushing the stock up 113% over the past month and nearly 500% in the past year. The analyst who called NVIDIA in 2010 just named his top 10 stocks and Apple wasn't one of them. Get them here FREE. Friday’s CNBC Halftime Report on May 8 featured two very different AI market stories unfolding at the same time. One centered on growing optimism around Cisco Systems (NASDAQ:CSCO) ahead of earnings, while the other exploded mid-segment as Intel (NASDAQ:INTC) jumped double digits on reports of a preliminary chip manufacturing agreement with Apple (NASDAQ:AAPL). Options trader Oliver Rennick delivered a warning while discussing Cisco’s earnings setup: "Implied volatility in Cisco is the highest in more than a year. Paying up for these calls ahead of earnings is basically the options equivalent of accelerating into the turn." Call volume was running more than four times the put volume, while one of the biggest trades highlighted on air was a roughly $200,000 purchase of 95-strike calls betting on another move higher after earnings. Cisco reports earnings after the market's close on Wednesday, May 13. The analyst who called NVIDIA in 2010 just named his top 10 stocks and Apple wasn't one of them. Get them here FREE. Part of the enthusiasm comes from genuinely strong fundamentals. Cisco posted Q2 FY2026 revenue of $15.35 billion, with networking revenue rising 21% year over year. AI infrastructure orders from hyperscalers also reached $2.1 billion, reinforcing the company’s growing role in AI networking demand. But the discussion on CNBC focused less on the business itself and more on the expectations embedded in the stock. One longtime Cisco shareholder called into the show and admitted the rally was “making me a little queasy, not a lot, but a little,” while adding that he planned to hold through earnings in hopes of another breakout move. Investors increasingly agree that Cisco is benefit...

Cisco Systems (NASDAQ:CSCO), a networking and communication technology solutions provider, closed Thursday at $115.53, up 13.41%. The stock is rallying after a blowout fiscal Q3 report, raised guidance, and AI‑driven orders. Investors are watching how sustained AI infrastructure demand supports future growth and margins. Trading volume reached 68.4 million shares, coming in about 189% higher than its three-month average of 23.7 million shares. Cisco Systems IPO'd in 1990 and has grown 149,438% since going public. The S&P 500 (SNPINDEX:^GSPC) added 0.77% to finish Thursday at 7,501, while the Nasdaq Composite (NASDAQINDEX:^IXIC) advanced 0.88% to close at 26,635. Within communication equipment, peer Arista Networks (NYSE:ANET) closed at $147.78, rising 5.04% as networking names react to stronger AI and data center spending signals. Cisco reported record revenue in its fiscal Q3 results last night, and investors see more to come. AI-related orders surged helping to support the AI networking narrative that has helped drive Cisco stock up 40% in the last month alone. Cisco said it has received $5.3 billion in AI-related orders year to date to help large tech companies connect and secure AI infrastructure at data centers. Management is also restructuring to direct more spending toward high growth segments like AI. It will reduce its workforce by about 4,000 jobs, or about 5% of its staff, in the process. The report strongly reinforced the AI networking narrative that has investors jumping back into Cisco Systems stock. Before you buy stock in Cisco Systems, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Cisco Systems wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $472,205!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,384,459!* Now, it’s worth noting Stock Advisor’s total average return is 999% — a market-crushing outperformance compared to 208% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual invest...

The 2026 Q1 earnings season is nearing its end for S&P 500 members, with just a small portion yet to report their results. It’s been another period of momentum and strength, with both earnings and revenue growth remaining rock-solid across the board. So far, several companies have posted notably strong results, including Iron Mountain IRM, Cisco CSCO, and nVent Electric NVT, which each set quarterly sales records and are enjoying momentum thanks to the AI buildout. With an industry-leading networking portfolio, AI-native security solutions, and operating systems, Cisco is well-positioned to provide the critical infrastructure for the AI era. Sales of $15.8 billion reflected a record for the company, also exceeding the high end of its prior guidance. The company noted broad-based, record-high demand for its technology, with overall product orders growing by a sizable 35% YoY. Importantly, data center switching orders grew 40% from the year-ago period, underpinning its important role amid the buildout. Favorable EPS revisions for its current and next fiscal year have helped land it into a Zacks Rank #2 (Buy), with shares also soaring throughout 2026. Image Source: Zacks Investment Research nVent Electric designs, manufactures, markets, installs, and services high-performance products and solutions that connect and protect some of the world's most sensitive equipment, buildings, and critical processes. Sales of $1.2 billion in nVent Electric’s latest release grew 53% YoY, setting a new company record. The company also reported record orders and an all-time high backlog, underpinned by the favorable demand environment it’s currently in. Momentum within data center solutions led it to increase its full-year sales and EPS guidance. The stock sports the highly coveted Zacks Rank #1 (Strong Buy), with its current and next year EPS outlook remaining highly bullish. Image Source: Zacks Investment Research Iron Mountain builds and operates high-security, high-power facilities where they lease space, cooling, and massive electrical capacity to major corporations that need a physical home for their AI servers and data hardware. The company reported record results across several key performance metrics in its latest release, with record sales of $1.9 billion growing 22% YoY thanks to strong performance across its growth businesses of data center, asset lifecycle managemen...

Cisco Systems CSCO reported third-quarter fiscal 2026 non-GAAP earnings of $1.06 per share, beating the Zacks Consensus Estimate by 1.92%. The figure increased 10% year over year. Revenues of $15.841 billion topped the consensus mark by 1.71% and grew 12% year over year. Annualized recurring revenues were $31.2 billion at the end of the reported quarter, up 2%, underscoring the continued buildout of subscription and maintenance streams. Total subscription revenues were $7.83 billion and represented 51% of Cisco’s total revenues. Total software revenue increased 36.9% year over year to $5.6 billion. Cisco Systems, Inc. price-consensus-eps-surprise-chart | Cisco Systems, Inc. Quote Networking revenues were $8.82 million, up 25% year over year, highlighting accelerating demand for the company’s switching and routing portfolio. That strength aligned with management’s view that customers are modernizing networks to handle AI-driven traffic growth and campus refresh cycles. Cisco pointed to record campus networking orders growing more than 25% year over year and data center switching orders up more than 40%, supported by strong uptake in wireless and campus switching. Cisco’s hyperscaler AI infrastructure business remained a major engine of demand. AI infrastructure orders taken from hyperscalers were $1.9 billion in the quarter, helping lift the year-to-date total to $5.3 billion. Reflecting that momentum, Cisco raised expected hyperscaler AI orders to approximately $9 billion for fiscal 2026 and lifted expected AI infrastructure revenue from hyperscalers to about $4 billion. Cisco also highlighted a balanced mix between Silicon One-based networking systems and optics, alongside multiple hyperscaler design wins during the quarter. Security revenues were $2 billion, essentially flat year over year, as gains in newer offerings continued to be weighed down by declines in prior-generation products. Management noted progress in refreshed security products and highlighted that over 1,000 new customers purchased products such as Secure Access, XDR, Hypershield and AI Defense in the quarter, bringing net new customers since launch to roughly 5,000. At the same time, Cisco reiterated that Splunk’s transition toward cloud subscriptions from on-premise deals is creating a near-term revenue drag, even as the company targets more than 1,000 new Splunk customer logos in fiscal...

This article first appeared on GuruFocus. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. eGain Corp (NASDAQ:EGAN) reported a strong third quarter with continued momentum in its AI knowledge business, driven by customer expansion, growing partner engagement, and new products. Year-to-date, AI knowledge ARR has grown 26%, and the company has generated $18.7 million in operating cash flow, representing a 27% margin. The company has seen a meaningful increase in RFP activity, particularly from Fortune 1000 BFSI and healthcare enterprises, indicating strong market interest. eGain Corp (NASDAQ:EGAN) introduced several innovations, including the eGain AI Knowledge Suite for retail banking and AI agent for Cisco WebEx Contact Center, enhancing its product offerings. The company maintains a strong balance sheet with $80.5 million in cash and no debt, providing financial flexibility for future investments and growth opportunities. Total revenue for the third quarter was $22.5 million, only up 7% year-over-year, which may not meet some investor expectations for higher growth. Revenue was impacted by approximately $450,000 due to two fewer days in the quarter compared to the prior quarter. One on-premise subscription customer in EMEA chose not to migrate to eGain's cloud products, resulting in a $1.6 million reduction in total SaaS ARR. The company faces longer sales cycles for larger opportunities, affecting the timing of revenue conversion. Bookings reflected normal seasonal trends, with Q3 typically being a softer quarter, which could impact short-term financial performance. Warning! GuruFocus has detected 6 Warning Signs with EGAN. Is EGAN fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more context on the recent surge in RFP activity and how it compares to previous periods? A: Ashu Roy, CEO: The number of RFPs we've responded to in the last 60 days is about double our average rate. The decision process for these RFPs typically takes two to four months. Q: Without giving formal guidance for 2027, can you discuss your expectations for the year based on current ARR and pipeline? A: Ashu Roy, CEO: We anticipate a substantial increase in new logos and expansion in existing accounts, which should lead to double-digit growth in AI knowledge ARR. Eric Smith, CF...

Investing.com -- Nokia shares jumped more than 7% on Thursday after Cisco reported quarterly results and issued guidance that topped Wall Street expectations, lifting sentiment across the broader networking sector. Cisco said revenue climbed 12% to $15.84 billion in the quarter ended April 25, while net income rose to $3.37 billion, or 85 cents per share, from $2.49 billion, or 62 cents per share, a year earlier. Networking revenue jumped 25% to $8.82 billion, ahead of analyst estimates of $8.47 billion. The report sent Cisco shares soaring over 18% in U.S. premarket trading. The results reflect growing corporate spending on high-speed network infrastructure needed to support artificial intelligence data centers. Cisco’s networking product orders grew more than 50% year-on-year in the quarter, while data-center switching orders rose more than 40%. Nokia also sells networking and optical equipment used in AI-driven infrastructure buildouts. The company last month raised its growth targets for its AI business, now projecting the addressable market for AI and cloud to expand 27% annually between 2025 and 2028, up from a prior estimate of 16%. Cisco said it has received $5.3 billion in AI infrastructure and hyperscaler orders so far this fiscal year, and raised its full-year AI order forecast to $9 billion from $5 billion. It also lifted its revenue outlook for that market to $4 billion, up from a prior estimate of $3 billion. For the fiscal fourth quarter, Cisco guided for adjusted earnings of $1.16 to $1.18 per share on revenue of $16.7 billion to $16.9 billion, well above analyst expectations of $1.07 per share on $15.82 billion in revenue. Cisco also said it would cut fewer than 4,000 jobs this quarter, representing less than 5% of its workforce, with related severance and restructuring charges expected to reach $1 billion, of which roughly $450 million will be recognized in the fourth quarter. Related articles Nokia shares jump after Cisco’s blowout quarterly print These 2 stocks are best positioned to benefit from higher uranium prices: analyst As Claude disrupts stock market, Anthropic researcher warns ’world is in peril’

Technology giant Cisco is cutting nearly 4,000 jobs, or around 5% of its workforce, despite reporting better-than-expected profit and revenue in its fiscal third quarter. The networking equipment maker said it is reducing its headcount in order to change its “cost structure” and invest in AI and cybersecurity. Cisco’s decision follows a recent trend of tech companies increasingly citing a priority on AI spending as a reason to let employees go. Cloudflare and General Motors have both laid off staff in recent days, despite reporting strong financial results. Cisco said it plans to invest more in cybersecurity, as the company continues to contend with a slew of security vulnerabilities in its routers and firewalls that have allowed hackers to break into the networks of its corporate customers, including the U.S. government. Cisco last year also experienced a data breach in which customers’ personal information was affected. In a blog post published Wednesday, Cisco’s chief executive Chuck Robbins touted the company’s “record revenue” and “double-digit growth,” while acknowledging that Cisco was making strategic investments “in our employees’ use of AI across the company.” According to public filings, Robbins was slated to earn more than $52 million in executive compensation during 2025. When reached by TechCrunch, a Cisco spokesperson did not comment beyond Robbins’ statement, or say, when asked, if Robbins plans to reduce his compensation. This is the latest round of job cuts at Cisco in recent years. The company laid off thousands of employees during two separate layoffs in 2024 and cut over 150 jobs in 2025.