Why Cisco Systems Stock Is Gaining Today

Cisco Systems (NASDAQ: CSCO) stock is climbing higher in Thursday's trading. The company's share price was up 2% as of 2 p.m. ET. Meanwhile, the S 500 index was up 0.5%, and the Nasdaq Composite index was up 0.9%. Shares had been up as much as 6.3% earlier in trading.

After the market closed yesterday, Cisco published results for the second quarter of its current fiscal year, which ended Dec. 31. The network technologies specialist posted sales and earnings performance for the period that beat Wall Street's target. The company's valuation is also moving higher today following new bullish coverage from analysts.

In fiscal Q2, Cisco reported non-GAAP (adjusted) earnings per share of $0.94 on sales of $13.99 billion. The performance topped the average analyst estimate's call for adjusted earnings per share of $0.91 on sales of $13.87 billion. Revenue in the period was up 9.4% year over year, and the company reported artificial intelligence (AI) infrastructure orders of $350 million. Management said product orders in the period were up 29% annually -- or 11% after factoring out the contribution from Splunk.

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Source Fool.com