Cisco's AI Momentum Surges, Fuels Double-Digit Growth

Cisco Systems' fourth-quarter results topped guidance, with revenue rising 18% year over year to $17.3 billion.

The company's fiscal 2027 guidance suggests another year of double-digit revenue and earnings growth, with hyperscaler artificial intelligence revenue expected to be $7.5 billion, up from $4.0 billion this year.

Cisco is converting AI demand into revenue faster than anticipated, while its momentum across campus and enterprise remains healthy.

The company booked more AI infrastructure business than it recognized as revenue, leaving a healthy backlog that should start flowing in the coming year.