Cisco Systems (CSCO) shares rose as much as 17% to reach a record high. This move marks the stock's best single-day gain in over 20 years. The rally followed a Q3 earnings report that exceeded analyst expectations.
Cisco nearly doubled its full-year AI infrastructure order forecast from $5 billion to $9 billion. Total product orders increased 35% year-over-year. Surging demand from hyperscalers drove the massive guidance increase.
The company will cut nearly 4,000 jobs as part of a restructuring plan. Cisco intends to reallocate these resources toward high-growth areas including AI, custom silicon, and optics.