Chuck Robbins Says AI Is Fueling a "Networking Supercycle." Cisco's Guide Puts a $7.5 Billion Number on It.
The networking giant's new outlook calls for 15% growth -- so why did shares drop more than 8%?
Overview
Cisco Systems (NASDAQ: CSCO) delivered about as strong a close to fiscal 2026 as investors could have asked for. Fourth-quarter revenue rose 18% year over year to a record $17.3 billion, and full-year revenue climbed 12% to a record $63.3 billion. Management also guided fiscal 2027 revenue to grow about 15% at the midpoint -- a second straight year of accelerating growth for a company that grew 5% in fiscal 2025.
CEO Chuck Robbins put a name on what's driving it. "We believe the accelerating adoption of agentic AI is fueling a Networking Supercycle," he said on Wednesday's fiscal fourth-quarter earnings call.
Details
And yet shares fell 8.4% Thursday, closing at about $113.
Source
Originally published at www.fool.com.