Cisco stock falls after record Q4 2026 AI-driven earnings beat

Cisco stock trades below its recent highs after the Nasdaq-listed networking giant delivered record fourth-quarter 2026 results and strong AI-fueled guidance, even as investors digest the sharp rally and margin signals.

Cisco Systems Inc. (ISIN US17275R1023) stock is trading below its recent peak after the Nasdaq-listed networking company reported record fiscal fourth-quarter 2026 results on August 12, 2026, powered by surging demand for AI networking equipment.

Record Q4 numbers and fiscal 2026 earnings

According to Cisco's official earnings release dated August 12, 2026, the company reported fiscal fourth-quarter revenue of $17.3 billion for the period ended July 25, 2026, an 18 percent increase from approximately $14.7 billion a year earlier.

In the same quarter, GAAP net income rose to $3.9 billion, up roughly 51 percent from about $2.6 billion in the prior-year period, while GAAP earnings per share climbed to $0.97 from $0.64, highlighting that profit growth significantly outpaced already strong top-line expansion.

On a non-GAAP basis, Cisco delivered net income of $4.9 billion in the fourth quarter of fiscal 2026, with adjusted earnings per share of $1.22, a 23 percent year-over-year increase from $0.99 per share, underscoring robust operating leverage as AI and networking orders scaled.

Guidance, valuation context and recent trading

For investors looking ahead, Cisco's management guided for current-quarter revenue of $18.0 billion to $18.2 billion and adjusted earnings per share of $1.32 to $1.34, ranges that sit well above consensus expectations and imply roughly double-digit growth on both metrics if delivered, according to coverage summarized by a detailed market commentary published August 13, 2026.

Market data compiled by MarketBeat's Cisco stock overview shows that as of the latest Nasdaq close, Cisco traded at $120.46, down 1.72 percent on the day, with a market capitalization of approximately $474.79 billion and trading volume of about 16.34 million shares, indicating that the shares have eased back after a sharp AI-driven rally earlier in 2026.

In a separate valuation snapshot, GuruFocus' GF Value metric analysis on August 13, 2026 estimated an intrinsic value of $69.43 for Cisco compared with a contemporaneous share price of $123.88, suggesting the stock was roughly 78.4 percent above that valuation benchmark, a gap that may shape how some longer-term investors assess risk after the AI-fueled surge.

Cisco networking portfolio underpins AI momentum

Cisco Systems Inc. generates much of its growth from its core networking and data center hardware, where its switching and routing platforms are increasingly optimized for AI workloads that require high bandwidth, low latency and secure, software-defined connectivity.

In the fourth quarter of fiscal 2026, product revenue reached $13.5 billion compared with services revenue of $3.8 billion, and networking product orders were reported up around 40 percent year over year, while networking revenue rose roughly 28 percent, illustrating how AI-related infrastructure demand is reshaping the mix and driving volume through Cisco's portfolio, according to the same earnings-related commentary.

Cisco stock and Nasdaq listing

Cisco stock trades on the Nasdaq, and as of the latest reported close referenced earlier, the shares changed hands around the $120 level in U.S. dollars, reflecting a substantial market capitalization in excess of $470 billion that positions the company among the larger constituents of major U.S. equity indices tied to the technology and communications infrastructure sectors.

Cisco Systems stock facts

• Company: Cisco Systems Inc.
• ISIN: US17275R1023
• CUSIP: 17275R102
• Ticker: CSCO
• Exchange: Nasdaq
• Price (as of August 12, 2026, 4:00 p.m. ET): $120.46 USD
• Market cap: $474.79 billion (as of August 12, 2026)
• Sector / Industry: Information Technology / Communications Equipment
• Index membership: S&P 500
• Next earnings date: November 12, 2026