Amazon, Meta, Microsoft Fuel Cisco's $2B AI Growth

Cisco is experiencing significant growth driven by AI, with fiscal year 2025 AI-related sales doubling to $2 billion. This surge is fueled by substantial investments from major tech companies like Amazon, Meta, and Microsoft, with AI network infrastructure orders exceeding $800 million in the fourth quarter alone. CEO Chuck Robbins highlights strong interest in Cisco's Catalyst 9000 switches. The company forecasts revenue between $59 billion and $60 billion for fiscal year 2026. Cisco is also collaborating with Nvidia and AMD on AI solutions and recently acquired Splunk for $25 billion to broaden its software and services. In contrast, C3.ai is facing challenges, with Oppenheimer downgrading its stock after a significant miss in preliminary fiscal Q1 2026 numbers, projecting a 35% revenue decline. CEO Thomas Siebel is stepping down due to health reasons. Similarly, Wolfe Research predicts further downside for C3.ai stock. Despite these challenges, other companies are making strides in AI. Salesforce shares increased due to its AI-enhanced customer experience strategies, while Marathon Digital's stock rose following its $168 million acquisition of a stake in Exaion to expand its AI and high-performance computing capabilities. Nvidia and AMD may be permitted to sell AI chips in China under a U.S. deal, contingent on sharing 15% of the profits with the U.S. government. ASML, a key player in manufacturing advanced chips, sees a positive long-term outlook despite uncertain growth in 2026. AIM Intelligence secured $1.3 million in Pre-A funding to advance AI security, partnering with Meta and Anthropic. Meanwhile, software company shares are declining amid investor concerns that AI tools could make software development faster and cheaper. Cardano's price could reach $5 due to network upgrades, while Ozak AI projects substantial returns by integrating AI and blockchain.

Key Takeaways

• Cisco's AI-related sales doubled to $2 billion in fiscal year 2025, driven by investments from Amazon, Meta, and Microsoft.
• Cisco's AI network infrastructure orders exceeded $800 million in Q4, with expected fiscal 2026 revenue between $59 billion and $60 billion.
• C3.ai faces challenges with a projected 35% revenue decline in fiscal Q1 2026, leading to a stock downgrade and CEO departure.
• Salesforce stock increased due to AI-enhanced customer experience strategies, despite remaining below its price target.
• Marathon Digital acquired a 64% stake in Exaion for $168 million to expand AI and high-performance computing capabilities.
• Nvidia and AMD may sell AI chips in China under a U.S. deal, sharing 15% of profits with the U.S. government.
• ASML, a key chip manufacturing company, projects revenue between 44 billion and 60 billion euros by 2030.
• AIM Intelligence secured $1.3 million to advance AI security, partnering with Meta and Anthropic.
• Software company shares are declining due to concerns that AI tools could make software development faster and cheaper.
• Ozak AI projects 18,000% returns by 2025 by integrating AI and blockchain for real-time trading insights.

Cisco's AI growth drives strong quarterly results, stock undervalued

Cisco Systems exceeded expectations in its fiscal 2025 fourth-quarter results, with revenue up 8% to $14.67 billion and earnings per share up 14% to 99 cents. The company's success is driven by artificial intelligence infrastructure spending and enterprise networking upgrades. Cisco is securing billions in AI orders from major tech companies like Amazon, Meta, and Microsoft. Analysts believe Cisco's stock is undervalued given its AI potential and have reiterated a buy rating with a $78 price target. Cisco is also working with Nvidia and AMD on AI solutions.

Cisco's AI sales surge to $1 billion amid hyperscaler demand

Cisco's AI-related sales doubled to $2 billion in fiscal year 2025, driven by significant investments from major tech companies. CEO Chuck Robbins noted strong interest in Cisco's Catalyst 9000 switches. Cisco expects revenue between $59 billion and $60 billion for fiscal year 2026. While Cisco's AI revenue is growing, it still represents a small portion of the overall datacenter spending by companies like Microsoft, AWS, and Google.

Cisco's AI product orders boost earnings, sales beat estimates

Cisco Systems reported strong fiscal fourth-quarter earnings, with revenue up 8% to $14.7 billion and adjusted earnings of 99 cents per share. AI network infrastructure orders exceeded $800 million, driven by new AI data centers. Cisco forecasts first-quarter sales of $14.75 billion and fiscal 2026 revenue of $59.5 billion. The company recently acquired Splunk for $25 billion to expand its software and services offerings.

Cisco forecasts strong revenue as AI drives networking equipment demand

Cisco Systems predicts higher-than-expected first-quarter revenue due to increased demand for networking equipment driven by the AI boom. AI infrastructure orders surpassed $800 million in the fourth quarter, bringing the fiscal year total to over $2 billion. Cisco is partnering with Humain, a Saudi Arabian AI company, and providing solutions for Bahrain's infrastructure. The company expects first-quarter revenue between $14.65 billion and $14.85 billion.

Cisco's AI product orders reach $800M, earnings and sales beat

Cisco Systems reported fiscal fourth-quarter earnings and sales that exceeded expectations, driven by a 7% increase in product orders. Net income was $2.8 billion, or 65 cents per share, while adjusted earnings reached $1.09 per share. Revenue rose 16% to $15.2 billion, supported by growing demand for AI-related products, with orders reaching $800 million. Cisco expects first-quarter revenue to grow between 5% and 7%, with earnings per share of $1.01 to $1.03.

Oppenheimer cuts C3.ai stock target after weak Q1 results

Oppenheimer downgraded C3.ai's stock, citing a significant miss in preliminary fiscal Q1 2026 numbers. Revenue is expected to drop from $105 million to $70 million, a 35% decline. The non-GAAP operating loss guidance has widened to ?$58 million from ?$29 million. C3.ai has restructured its sales and services unit and appointed new leaders to address the poor performance. CEO Thomas Siebel is stepping down due to health reasons.

C3.ai stock faces scrutiny after 'catastrophic' results

C3.ai's stock is under pressure after the company reported preliminary July quarter results described as "completely unacceptable." CEO Tom Siebel attributed the shortfall to health challenges and internal reorganization. Analysts have labeled the quarter as "brutal" and "catastrophic." C3.ai specializes in enterprise AI software and applications, with solutions for various sectors. Analysts currently have a "Hold" rating on the stock.

Wolfe Research predicts further downside for C3.ai stock

Wolfe Research reiterated an Underperform rating for C3.ai with a $15 price target, following disappointing first-quarter fiscal 2026 results. The company expects revenue of $70.2 million-$70.4 million, below the previous guidance of $100 million-$109 million. The adjusted operating loss is projected to be $57.7 million-$59.9 million, worse than expected. Wolfe Research believes the results will drive shares lower despite the company's sales reorganization.

Salesforce stock rises on AI strategy, lags price target

Salesforce shares increased by 2.32% on August 13, 2025, driven by its AI-enhanced customer experience strategies. The company is partnering with NiCE to integrate AI-powered workflows into Service Cloud. Despite these advancements, the stock price remains below the target of $349.41 due to economic uncertainties. A strategy of buying top stocks by trading volume yielded a 31.52% return over 365 days.

Marathon Digital stock jumps on Exaion acquisition for AI expansion

Marathon Digital's stock rose 0.89% on August 13, 2025, following its $168 million acquisition of a 64% stake in Exaion, a data center subsidiary of EDF. The investment aims to expand Marathon Digital's AI and high-performance computing capabilities. Exaion operates four data centers and 1,250 GPUs, including a quantum computer. The acquisition is expected to accelerate the international deployment of Exaion's commercial cloud services by Q4 2025.

Nvidia, AMD may sell AI chips in China with US deal

Nvidia and Advanced Micro Devices may be allowed to sell their AI chips in China under a U.S. deal. The deal would require the companies to give the U.S. government 15% of the profits.

Is ASML a good AI stock to buy now?

ASML is a key company in the AI industry, making machines used to manufacture advanced chips. Taiwan Semiconductor, Intel, and Samsung are major customers for ASML's technology. ASML's stock is down from its all-time high, and management is uncertain about growth in 2026. However, the long-term outlook remains positive, with revenue projected between 44 billion and 60 billion euros by 2030.

Software stocks decline amid AI coding tool concerns

Software company shares are declining due to investor concerns that AI tools could make software development faster and cheaper. Companies like SAP and Adobe have seen stock drops. Analysts believe the fears may be overblown, but investors remain cautious. AI is transforming software development by helping developers brainstorm, write code, and fix bugs. Generative AI can write code in multiple languages, increasing efficiency.

Sezzle stock soars despite recent pullback, growth remains strong

Sezzle, a buy-now-pay-later fintech company, has seen its stock price increase significantly since its Nasdaq listing. The company executed a 6-for-1 stock split in March. Despite a recent 30% drop after its second-quarter earnings report, Sezzle's revenue grew by 76%. The company expects 60%-65% year-over-year revenue growth. Sezzle's annualized gross merchandise volume is just 1.4% of the overall BNPL market, indicating significant growth potential.

Cardano eyes $5, Ozak AI targets 18000% returns with AI

Cardano's price could reach $5 due to network upgrades and ecosystem expansion. Ozak AI, a presale AI-trading token, projects 18,000% returns by 2025. Ozak AI integrates AI and blockchain, providing real-time trading insights. The platform has passed a CertiK audit and is listed on CoinMarketCap and CoinGecko. Ozak AI's partnerships with Weblume and SINT enable AI-powered trading tools and voice/text trade execution.

AIM Intelligence raises $1.3M for AI security

AIM Intelligence secured $1.3 million in Pre-A funding, led by Mirae Asset Capital, to advance AI security. The company's product suite includes AIM Red, AIM Guard, and AIM Supervisor, addressing AI risks. Clients include KB Kookmin Card, LG Uplus and Woori Bank. AIM Intelligence won Meta's Llama Impact Innovation Award and partners with Anthropic. The funding will support research, international growth, and development of multimodal AI systems.

AI stock valuations face negative sentiment, bubble concerns

AI stock valuations may be entering a negative sentiment phase, with some software companies experiencing sharp declines. Investors are concerned that AI tools could disrupt existing business models. Red flags include slowing revenue growth, rising capital spending, and flat margins. Green signals include rising AI-related revenue and strong unit economics. Investors can manage risk by trimming rallies, using a barbell strategy, and capturing volatility through options.

Sources

• Cisco Systems deserves more respect in AI, and its quarterly results prove it
• AI boosted Cisco's sales by a cool billion dollars
• Cisco Fiscal Q4 Earnings, Sales Beat As AI Product Orders Reach $800 Million
• Cisco projects upbeat quarterly revenue as AI fuels networking equipment demand
• Cisco Fiscal Q4 Earnings, Sales Beat As AI Product Orders Reach $800 Million
• C3.ai Stock Price Target Slashed By Oppenheimer After Brutal Q1 Miss
• Is C3.ai Stock a Buy, Sell, or Hold After Posting Early ‘Catastrophic’ Results?
• Why Wolfe Research Sees More Downside Ahead for C3.ai (AI)
• Salesforce Surges on AI-Driven Strategy as $2.4B Trading Volume Ranks 29th Shares Still Lag Below Price Target
• Marathon Digital's $730M Trading Volume Surge Propels Stock to 158th Rank Amid Strategic Exaion Acquisition for AI Expansion
• Nvidia, AMD's China AI chip sales deal with US a bullish sign for AI related tech stocks: Wedbush
• 1 Unstoppable Artificial Intelligence (AI) Stock to Buy Right Now
• Software Shares Slide Amid Investor Concerns About AI Coding Tools
• 1 Stock-Split AI Stock Up More Than 2,200% That Looks (Sort Of) Cheap @themotleyfool #stocks $SEZL
• Cardano Eyes $5 as Ozak AI Targets 18000% Returns With AI-Driven Trading
• AIM Intelligence Announces $1.3M Pre-A to Set Global Standard in Generative AI Security
• AI stock: Key news, insider trading, valuation & analysts