Changes in US stocks | Full-year AI revenue forecast disappoints the market, Cisco (CSCO.US) opens and falls by more than 7%

The Zhitong Finance App learned that on Thursday, the opening of Cisco (CSCO.US) fell by more than 7% and is now reported at $114.94. According to the news, Cisco announced strong results for the fourth fiscal quarter, but the first disclosed AI revenue forecast for the full year was far lower than the market's expectations based on order data, leaving investors disappointed. After the market on Wednesday, Cisco announced that revenue for the fourth fiscal quarter ending July 25, 2026 increased 18% year-on-year to US$17.3 billion, setting a single-quarter record. Adjusted earnings per share (EPS) were $1.22, all exceeding analysts' expectations. Non-GAAP adjusted earnings per share (EPS) increased 23% year over year to $1.22, more than 4% higher than market expectations; adjusted operating profit increased 23% year over year to US$6.2 billion, nearly 6% higher than market expectations, and adjusted operating margin reached 35.9%.

However, for the first time, Cisco has given an AI revenue forecast for the full year — about 7.5 billion US dollars for the 2027 fiscal year, accounting for only about 10% of the total estimated annual revenue, while the company's cumulative AI-related orders have reached 9.3 billion US dollars in the past year. This gap has caused the market to doubt the efficiency of order conversion.