Quick Read – Are AI Layoffs An Excuse To Help Earnings? – Cisco Is Still A Very Small Company – Will AI Hurt National Employment? – The analyst who called NVIDIA in 2010 just named his top 10 stocks and Cisco Systems wasn’t one of them.
Cisco (NASDAQ: CSCO), one of the older big tech companies in America, said in its earnings announcement that it would cut 4,000 jobs as it moves its businesses toward AI. Cisco calls itself “The critical infrastructure for the AI era.” That is a way to drive a stock up without really saying much. Cisco’s results for the most recently announced quarter were OK, but well short of spectacular.
Revenue rose 12% to $15.8 billion. EPS was up 37% to $.85. It is tiny compared to industry leaders like Microsoft (NASDAQ: MSFT) and Alphabet (NASDAQ: GOOG).