Today’s Top Stories: Cisco, Cerebras, S&P 500 Record and Bill Ackman’s Netflix Return

TLDR

• Cisco fell 6-7% despite record revenue of $17.3 billion as margin decline worried investors
• Cerebras dropped 15-17% after earnings despite 70% revenue growth year over year
• The S&P 500 hit a fresh intraday record helped by softer-than-expected inflation data
• Oil prices fell over 2% after a record U.S. crude inventory build of 17.4 million barrels
• Bill Ackman’s Pershing Square returned to Netflix as part of a major portfolio overhaul

Cisco Falls After Earnings Despite Record Revenue

Cisco reported record quarterly revenue of $17.3 billion, up 18% year over year. Demand for networking equipment used in AI data centers drove the growth.

The company also issued a fiscal 2027 revenue forecast of $72.2 billion to $73.4 billion, above Wall Street expectations.

Despite the strong numbers, the stock fell roughly 6-7%. Gross margin dropped to 66.3% from 68.4% a year earlier, and investors were not happy with the margin outlook management provided.

Cisco’s growing exposure to lower-margin AI hardware is lifting revenue but putting pressure on profitability at the same time.

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