Cisco Shares Drop Amid Ongoing Selling Pressure Despite Strong Earnings

Cisco Systems, Inc. (CSCO) shares dropped 2.05% on the day after reporting strong fourth-quarter earnings and record full-year revenue, despite ongoing selling pressure.

The company's fiscal fourth quarter revenue reached $17.25 billion, exceeding analyst forecasts, while earnings per share of $1.22 also surpassed expectations.

Cisco returned $3.2 billion to shareholders through dividends and share repurchases during the year, and management highlighted accelerating AI adoption and increased enterprise investment in high-performance networking as growth drivers.

Despite these strong financial results, Cisco's shares are trading below both its 20-day and 50-day moving averages, signaling short- and medium-term pressure from sellers.