Cisco fell sharply on Thursday even after reporting quarterly results and guidance that beat market expectations. According to Sina Finance, the stock dropped as much as 8.4% intraday and closed at $113.47, down from its record closing high of $130 in June.

Fourth-quarter revenue rose 18% from a year earlier to $17.3 billion, above analysts' estimate of $16.8 billion. Cisco said it expects revenue of $18 billion to $18.2 billion this quarter, also above the market average forecast of $16.8 billion, and it projected full-year revenue growth of about 15%.

CEO Chuck Robbins said the company had just passed through a record year and a record quarter, adding that it is entering the new fiscal year with opportunities ahead but will remain cautious at the start.

Piper Sandler said Cisco's numbers were solid but described the guidance as conservative in the current demand environment, while KeyBanc Capital Markets kept an overweight rating. The firm said hyperscalers and neoclouds are continuing to increase capital spending.

AI-related business remained a key focus. Hyperscalers placed $4 billion of infrastructure orders with Cisco this quarter, bringing the full-year total to $9.3 billion.