BUZZ - Preview: Cisco shares rise ahead of earnings, focus on AI strategy

November 12 - ** Cisco Systems (CSCO.O) shares rose 0.8% on Thursday, with the market awaiting the quarterly earnings to be released after the bell. Investors are focused on whether the expansion of its artificial intelligence business can further drive revenue growth.

** According to London Stock Exchange Group (LSEG) forecasts, the network equipment maker's quarterly revenue is expected to jump about 22% to $18.135 billion, with adjusted earnings per share (EPS) expected to be $1.33, up from $1.00 a year earlier.

** In its previous earnings release on August 12 (link), Cisco forecast that fiscal 2027 revenue would exceed Wall Street expectations, indicating the company’s confidence that strong demand for AI network equipment will continue to drive growth.

** BofA Global Research analysts wrote in a preview report last week: “We are optimistic about Cisco's ability to achieve its fiscal 2027 outlook, thanks to strong orders last quarter, improved demand from both cloud and non-cloud customers, and favorable trends in the switching and routing business.”

** The stock has risen 32% so far this year, outperforming the Nasdaq index .IXIC gain of 10%.

** According to data from London Stock Exchange Group (LSEG), Cisco (CSCO) currently trades at 19 times expected earnings, higher than its five-year average forward P/E of 15 times.

** The stock remains about 22% below the all-time closing high of $130 set on June 4, 2026.

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