5 Companies Making Headlines on Earnings Reports

4. Cisco Systems, Inc. (NASDAQ:CSCO)

Number of Hedge Fund Holders: 57

Cisco Systems, Inc. (NASDAQ:CSCO) appears to be in serious trouble after missing revenue expectations for its fiscal third quarter and releasing disappointing guidance for the current quarter.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO) plummeted to a nearly 18-month low on Thursday, May 19, 2022, following the results. The California-based networking giant earned 87 cents per share on an adjusted basis, compared to 83 cents per share in the year-ago period.

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In addition, Cisco Systems, Inc. (NASDAQ:CSCO) posted revenue of $12.84 billion, nearly unchanged from the same quarter of the prior year. Analysts were looking for earnings of 86 cents per share on revenue of $13.34 billion.

For the current quarter, Cisco Systems, Inc. (NASDAQ:CSCO) guided for adjusted earnings in the range of 76 – 84 cents per share, missing the consensus of 92 cents per share with a big margin.

Discussing the results, CEO Chuck Robbins said in a statement:

“While Covid lockdowns in China and the war in Ukraine impacted our revenue in the quarter, the fundamental drivers across our business are strong and we remain confident in the long term.”