By Faizan Farooque
Publication Date: 2025-11-13 12:25:00
This article first appeared on GuruFocus.
Cisco Systems (CSCO, Financials) shares rose 7% after the firm raised its annual financial estimate. The company said this was because demand for networking equipment linked to artificial intelligence data centers was rising.
The company now thinks that its sales for fiscal year 2026 would be between $60.2 billion and $61 billion, up from its previous estimate of $59 billion to $60 billion. The new range for adjusted earnings per share is $4.08 to $4.14, up from $4.00 to $4.06.
Chuck Robbins, the CEO of Cisco, predicted that the company’s AI infrastructure revenue will go from $2 billion last year to $3 billion this year. as hyperscale customers expand data-center capacity. AI-related orders totaled $1.2 billion in the first quarter alone.
Robbins noted particularly strong demand for switching, routing, and wireless products as enterprise clients prepare their networks for AI-driven workloads. He added that AI use cases…
