Cisco Systems Soars 3.38% on AI-Driven Revenue Surge

On May 15, 2025, Cisco Systems rose 3.38% in pre-market trading, reflecting strong investor confidence in the company's recent performance and future prospects.

Cisco's recent financial performance has been bolstered by its strong position in the AI-driven network hardware market. The company's cloud AI orders have surged from $350 million to $600 million per quarter, indicating a growing demand for AI-related infrastructure. This trend is expected to continue, with Cisco's management forecasting increased AI-related revenue in the coming years.

Cisco's collaboration with NVIDIA has also been a significant factor in its recent success. The partnership has enabled Cisco to leverage NVIDIA's advanced AI GPU technology, enhancing its ability to provide high-performance network infrastructure solutions. This collaboration is expected to drive further growth in Cisco's AI-related revenue streams.

Despite economic uncertainties and potential tariff impacts, Cisco's CEO, Chuck Robbins, has expressed confidence in the company's ability to maintain its momentum. Robbins highlighted that AI investments remain a priority for many enterprises, and Cisco is well-positioned to capitalize on this trend. The company's strong financial performance and strategic partnerships are expected to continue driving its growth in the coming quarters.