Cisco Raises FY26 Revenue Outlook to $61B on AI Networking
Cisco raised its fiscal 2026 revenue outlook to $60.2 billion–$61 billion, surpassing Wall Street estimates by nearly $1 billion. The networking giant posted Q1 revenue of $14.9 billion, an 8% year-on-year gain, and delivered adjusted EPS of $4.14, beating analyst forecasts of $4.05. Cisco’s fiscal 2026 revenue outlook reflects stronger-than-expected demand for AI-ready networking systems.
AI infrastructure orders climbed to $1.3 billion from $800 million in the prior quarter, highlighting surging demand for secure, high-speed networks. Partnerships with Nvidia and upgraded chips and routing hardware have positioned Cisco ahead of rivals like Broadcom and Hewlett Packard Enterprise. Bloomberg Intelligence suggests Cisco’s AI momentum could keep accelerating, making its fiscal 2026 revenue outlook conservative if growth continues.
This strong performance and optimistic guidance underline Cisco’s leading role in AI networking. Traders should watch ongoing AI infrastructure trends and strategic partnerships, as they may influence tech sector earnings and market sentiment.
Neutral
Although Cisco’s upgraded fiscal 2026 revenue outlook and robust AI networking demand signal strong growth for the tech sector, the direct impact on the cryptocurrency market is limited. Cisco focuses on enterprise IT infrastructure and partnerships with Nvidia, enhancing its AI data center position but not directly involving blockchain networks or digital assets. Historically, tech earnings beats can boost overall market sentiment, potentially lifting technology-linked tokens slightly. However, without direct crypto applications or blockchain services, this news is likely to have a neutral effect on crypto trading volumes and asset prices in both the short term and long term.